Waymo secures $5.6 billion in funding to expand autonomous driving services
Last week, Waymo announced that it had raised $5.6 billion in an oversubscribed investment round led by Alphabet, with participation from Andreessen Horowitz, Fidelity, Perry Creek, Silver Lake, Tiger Global, and T. Rowe Price.
The new round of investment will help fuel Waymo's continued expansion of its Waymo One ride-hailing service, currently available in San Francisco, Phoenix, and Los Angeles. Waymo also plans to extend its reach to Austin and Atlanta through a strategic partnership with Uber.
The funding will also support the advancement of the Waymo Driver, the company's AI-powered autonomous driving system. This technology will be integrated into various applications, promising to revolutionize transportation and logistics.
Speaking on why his company chose to invest in the ride-hailing company, Chase Coleman, Founder of Tiger Global had this to say: "Customers love Waymo. The company has built the safest product in the autonomous vehicle ecosystem as well as the best. Their proven experience fostering rider loyalty, securing key partnerships, and collaborating with automotive industry leaders demonstrates their ability to balance ambitious goals with responsible execution, positioning them as the enduring leader in the space.”
Egon Durban, Co-CEO of Silver Lake, added, "Waymo's cutting-edge technology and real-world experience make them a true pioneer in the field of AI-powered transportation. We are excited to support their mission to transform the future of mobility."
For Egon Durban, Co-CEO at Silver Lake, it was the company’s ability to make the best out of the relatively new AI technology. “While AI is only just beginning to capture the public imagination, Waymo has been working to bring its endless possibilities to the world of physical transportation for years,” the CEO said. “The Waymo Driver leads in earning trust by safely actualizing the value and potential of AI through cutting-edge research, practical solutions, and a vastly expanding scope and scale of real-world experience.”
In 2024, Waymo facilitated a remarkable 100,000 paid weekly trips representing a tenfold increase from last year. “This year has marked incredible commercial progress towards our mission to be the world’s most trusted driver,” the company wrote in its press release highlighting its expansion to curbside services at Sky Harbor International Airport. “To create an even more useful experience, we've begun fully autonomous freeway operations in Phoenix and San Francisco,” it added.
The company recently unveiled the 6th-generation Waymo Driver, optimized for cost-effectiveness and enhanced capabilities. It’s also actively testing its technology in diverse environments, including road trips to cities like Buffalo, New York, and Washington, D.C.
To foster transparency and build trust, Waymo has launched a safety impact hub, providing insights into the positive impact of the Waymo Driver on road safety. The company also regularly publishes research papers highlighting its safety record.
