Uber announced on Tuesday that it has teamed up with German automaker Daimler to produce self-driving cars that will operate on the ride-hailing app's transportation network.

This is the first time a major carmaker will build autonomous vehicles particularly to be operated on Uber's global ride-sharing network.

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The agreement, however, is not exclusive. This means that Uber is allowed to sign in other automakers to what it call the "open platform" for ride hailing. Daimler, on the other hand, could also produce cars (self-driving or not) for other firms.

"Auto manufacturers like Daimler are crucial to our strategy because Uber has no experience making cars - and in fact, making cars is really hard," Travis Kalanick, Uber's CEO, said, adding that both companies can instead combine their expertise and provide great experience to Uber drivers in getting around their cities.

Although both parties have presented some details about the deal, these could still change depending on how the self-driving market evolves, according to Bloomberg. Moreover, it is not clear yet when the autonomous cars will hit the road or what their financial terms are.

"While Daimler will try and start delivering self-driving cars to Uber as soon as possible, this won't happen for a number of years, and will also depend on regulation," Hendrik Sackmann, Daimler's spokesperson, said.

Uber has previously teamed up with Volvo to develop a self-driving sport utility vehicle, the XC90, which is now currently undergoing some testing in Pittsburgh. It has also altered several Ford Fusion vehicles, installing them with sensors and cameras to carry out autonomous abilities, the New York Times reported.

Uber's biggest rival Lyft also closed a $500 million deal with General Motors early last year and acquired the autonomous car startup Cruise. Alphabet Inc., on the other hand, also struck an agreement with Fit Chrysler Automobiles NV to supply its cars with a full self-driving kit.

Meanwhile, don't be boring and check out Daimler's self-driving truck, the very first licensed autonomous heavy-duty vehicle in the world allowed on public road: