After Alphabet's Waymo, Tesla, and Uber, online shopping giant Amazon is stepping into the field of autonomous vehicles.
The Jeff Bezos-led company, according to a report in The Informationand The Financial Times, has agreed to buy Zoox, an early-stage developer of self-driving cars, in a deal estimated to be worth more than $1.2 billion.
In late May, TheWall Street Journal had reported that Amazon was in talks with Zoox for an acquisition.
Now, sources familiar with the development have confirmed to The Information that the e-commerce giant is paying over $1.2 billion to take control of the nearly 1,000-person start-up, its assets, including IP and self-driving technology.
Zoox is working on self-driving bi-directional vehicles
Since 2014, Zoox has been building a self-driving "bi-directional" vehicle, which has no steering wheel or discernible front or rear end and can move in either direction.
The prototype vehicle hasn't been publicly unveiled but was slated to go into testing later this year. Additionally, Zoox self-driving technology has also been in testing stage with modified Hyundai SUVs in San Francisco and Las Vegas.
While we cannot be completely sure, speculation is rife that Amazon might be planning to use this acquisition to develop a fleet of ride-hailing autonomous robotaxis and take on the likes of Waymo, Uber, and others.
However, as The Information suggests, there is also a possibility that the company might use the technology of the start-up to create a network of self-driving delivery vehicles.