Waymo, the autonomous driving company owned by Alphabet, is preparing to raise around $16 billion in fresh funding, a move that could push its valuation close to $110 billion, according to people familiar with the discussions.
Most of the new capital, roughly $13 billion, is expected to come from Alphabet itself, according to reports. The remaining amount is set to be filled by outside investors, including Sequoia Capital, DST Global and Dragoneer Investment Group. Abu Dhabi-based Mubadala Capital is also taking part, sources said.
The deal could close as early as February. If completed, the round would mark a major jump from Waymo’s previous valuation of more than $45 billion, set during its October 2024 funding led by Alphabet.
“With over 20 million trips completed, we are focused on safety-led operational excellence and technological leadership to meet the growing demand for autonomous mobility,” the company said in a statement.
We previously reported that Waymo was exploring a funding raise of about $15 billion at a valuation above $100 billion.
Expanding robotaxi operations
Waymo currently runs fully driverless ride-hailing services in several US cities, including San Francisco and Los Angeles. It also operates through the Uber app in Austin and Atlanta.
The company plans to scale its commercial service to many more US cities this year and is also eyeing an expansion into the UK. The autonomous ride-hailing market is becoming increasingly competitive. Tesla is developing its own robotaxi service and has begun limited driverless operations in Austin.
Meanwhile, Amazon’s Zoox is testing purpose-built robotaxis without steering wheels or pedals, including deployments on the Las Vegas Strip.
Despite rapid growth, Waymo has faced operational challenges, such as robotaxis briefly stalling during a major power outage in San Francisco. Still, the company is generating meaningful revenue, with reports estimating more than $350 million in annual recurring revenue.
