Alphabet's autonomous vehicle division, Waymo, is reportedly seeking a substantial capital injection of over $10 billion, which could elevate its market worth to more than $100 billion. This significant financial endeavor underscores the escalating competition within the self-driving car industry, particularly as major players like Tesla ramp up their efforts in robotaxi development. Waymo's current operational scale, marked by over a million driverless rides each month, positions it as a frontrunner in this innovative sector.
According to recent reports, Waymo, the self-driving car arm of Alphabet Inc., is in advanced negotiations for a substantial funding round. The proposed financing could exceed $10 billion and potentially value the company at $100 billion or more. Sources close to the matter suggest that this capital raise is anticipated to materialize early next year. Additionally, separate reports indicate that the company might even seek upwards of $15 billion, with Alphabet expected to lead this investment round.
Waymo, which originated from Google's self-driving car initiative in 2016, has consistently been recognized for its pioneering role in the robotaxi domain. Industry experts, including Ross Gerber, co-founder of Gerber Kawasaki, have highlighted Waymo's considerable lead over its competitors, a gap that appears to widen with each passing week. A notable achievement for Waymo is the deployment of its robotaxis on highways without the need for human safety drivers onboard, showcasing a significant leap in autonomous technology.
In a parallel development, Waymo's key competitor, Tesla Inc., announced its own advancements in robotaxi technology. Elon Musk, CEO of Tesla, revealed that the electric vehicle manufacturer is conducting tests of its robotaxis without safety operators positioned in the front passenger seat. This move signals an intensifying race among tech and automotive giants to commercialize fully autonomous transportation solutions.
Waymo recently shared impressive operational milestones, reporting that it has surpassed one million fully driverless rides per month since spring. The company has set an ambitious goal to achieve this volume on a weekly basis by the close of 2026. Furthermore, Waymo has completed 14 million trips in the current year, tripling last year's total, and projects that its lifetime rides will exceed 20 million by the end of the year. These figures underscore the company's rapid expansion and growing footprint in the autonomous mobility sector.
The strategic pursuit of significant funding by Waymo reflects its ambition to further solidify its market position and accelerate the deployment of its autonomous vehicle technology. This capital infusion will likely support continued research, development, and expansion of its services, ensuring Waymo remains at the forefront of the evolving robotaxi industry.