Waymo is raising $16B at a valuation of $110B
What's the story
Waymo, the self-driving car company owned by Alphabet, is close to finalizing a massive $16 billion funding round. The Financial Times reports that this investment will give Waymo a whopping valuation of $110 billion. A major chunk of the funding is expected to come from Alphabet itself, where Waymo operates as a subsidiary.
Investor involvement
Funding round to include both new and existing investors
The upcoming funding round will see Alphabet, Waymo's parent company, contributing more than 75% of the total amount. New investors Dragoneer, Sequoia Capital, and DST Global are also expected to join the round. Existing backers like Andreessen Horowitz and Abu Dhabi sovereign fund Mubadala will also be part of this major investment.
Company statement
Waymo's focus on safety and operational excellence
When approached by TechCrunch for a comment on the funding round, a Waymo spokesperson said, "While we don't comment on private financial matters, our trajectory is clear." "With over 20 million trips completed, we are focused on the safety-led operational excellence and technological leadership required to meet the vast demand for autonomous mobility."
Expansion hurdles
Waymo's recent expansion and challenges
Waymo has been expanding rapidly, including a recent launch in Miami. However, the company has also faced some issues during its expansion. For instance, several of its robotaxis stalled at traffic lights during a major blackout in San Francisco. Despite these challenges, Waymo continues to have over $350 million in annual recurring revenue.