Volkswagen is planning to launch self-driving electric shuttles that urban commuters can hail with the tap of a smartphone.

The German automaker, which earlier this year admitted to adjusting the software in its diesel engines to illegally skirt emissions regulations, will set up a subsidiary called Moia to handle its autonomous shuttle ambitions, TechCrunch reported.

Moia will be headquartered in Berlin, and hopes to begin operations in two European cities by the end of 2017, eventually expanding to China and the US, according to TechCrunch. Initially it will work much the same as Uber or Lyft: customers will hail shared cars via an app. Moia's ridesharing approach will borrow heavily from Uber competitor Gett, which has received significant investment from Volkswagen.

"Together with Gett we are pursuing a clearly defined expansion strategy in Europe," Moia CEO Ole Harms said in a statement. Eventually, Moia will build its own autonomous electric shuttles that will serve riders on fixed routes during peak demand periods, with Gett as a backup for riders who want to go where it isn't practical for a shuttle to take them.

The first shuttle pilot projects will begin next spring, Volkswagen said, and the company intends to generate a "substantial share" of its sales revenue from Moia by 2025.

Moia is one of the most ambitious of the many attempts to reinvent urban transportation that traditional automakers have announced so far this year. Some competitors, like BMW, are focusing on hourly car rentals, expanding its ReachNow car sharing service to several US cities. General Motors, meanwhile, is strengthening its partnership with Lyft, in which it has invested $500 million.