Lyft is an American transportation network company based in San Francisco, California. Launched in June 2012 by Logan Green and John Zimmer, the companys mobile-phone application facilitates peer-to-peer ridesharing by connecting passengers who need a ride with drivers who have a car. Lyft now operates in over 200 U.S. cities, including San Francisco, Los Angeles, and New York City, and is valued at $5.5 billion. As of January 2016, Lyft had raised more than $2 billion from investors General Motors ($500M), Alibaba, Andreessen Horowitz, Coatue Management, Didi Kuaidi, fbFund, Floodgate, Fontinalis Group, Fortress, Founders Fund, GSV Capital, Icahn Enterprises, Janus Capital Management, K9 Ventures, Mayfield Fund, Prince Alwaleeds Kingdom Holdings Company, Rakuten, Tencent, and Third Point Ventures. Lyft was launched in the summer of 2012 by Logan Green and John Zimmer as a service of Zimride, a ridesharing company the two founded in 2007. Zimride focused on ridesharing for longer trips, often between cities, and linked drivers and passengers through the Facebook Connect application. Zimride eventually became the largest rideshare program in the United States (U.S.). Lyft launched as an on-demand ridesharing network for shorter trips within cities. Similar to Zimride, the app connects drivers with cars to passengers that need rides. Drivers and passengers rate each other on a five-star scale after each ride, and the ratings establish the reputations of both drivers and passengers within the network. In order to take advantage of the Lyft system, clients must set up an account that links directly to a funding source such as a debit card or PayPal account. Once the ride is completed, funds are debited from the funding source. Lyft then retains approximately 20-25% (20% from drivers who applied before January 2016 and 25% from those who applied starting January 2016) of this total as business revenue, an amount that has been called "parasitic".