Waymo Eyes $16 Billion Funding at Near $110 Billion Valuation, Fueling Autonomous Vehicle Race

Waymo Accelerates Funding Drive Amid Robotaxi Wars

Waymo, the autonomous vehicle pioneer under Alphabet Inc., is negotiating a landmark funding round that could see its valuation soar to approximately $110 billion, according to sources familiar with the matter. The financing, expected to total around $16 billion, would mark one of the largest private raises in the automotive technology sector.

Alphabet is poised to contribute the lion's share of the investment, roughly $13 billion, with the remainder sought from a consortium of high-profile external investors. Potential new backers in discussions include venture capital giant Sequoia Capital, international investment firm DST Global, and Dragoneer Investment Group. Sources caution that terms are not yet finalized but indicate a deal could be sealed before the month's end.

This move represents a dramatic step-up from Waymo's previous capital raise in October 2024, which was led by Alphabet and valued the company at over $45 billion. The near-doubling of its valuation in under a year underscores the heated investor appetite for scalable autonomous mobility solutions, despite the sector's technical and regulatory hurdles.

Expansion and Escalating Competition

Waymo currently operates fully driverless ride-hailing services—with no human safety drivers behind the wheel—in several U.S. metropolitan areas, including the San Francisco Bay Area and Los Angeles. It also offers rides booked through Uber's app in Austin and Atlanta. The company has publicly stated plans to expand its commercial footprint into additional U.S. markets and the United Kingdom this year.

"While we don't comment on private financial matters, our trajectory is clear," a Waymo spokesperson told Bloomberg. "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."

The funding push comes as the competitive landscape grows increasingly crowded. Tesla is preparing to launch its own robotaxi service and has begun limited driverless operations in Austin. Meanwhile, Amazon's Zoox has deployed its purpose-built, steering-wheel-free robotaxis along the Las Vegas Strip and is conducting tests near San Francisco.

Just this month, Waymo opened its fully autonomous service to the public in Miami, where nearly 10,000 residents have already signed up. The company is rolling out access gradually across an initial 60-square-mile service area, with plans to soon extend service to Miami International Airport.

Industry Voices: A Mixed Reaction

David Chen, Transportation Analyst at Horizon Insights: "This valuation isn't just about current operations; it's a bet on Waymo's first-mover advantage and its potential to define the operational and safety standards for the entire industry. The capital will be crucial for scaling manufacturing and navigating complex urban expansions."

Marcus Thorne, Venture Partner at a Silicon Valley fund: "The numbers are staggering, but they reflect the winner-take-most dynamics anticipated in this space. The company that achieves ubiquitous, reliable service first could capture an enormous market. However, the path to profitability remains long and capital-intensive."

Rebecca Shaw, Urban Planning Advocate & Critic: "A $110 billion valuation for a service that still operates in a handful of cities? This is speculative frenzy at its worst. These resources should be directed toward improving and subsidizing public transit, not funding a niche, unproven technology that could exacerbate urban congestion and equity issues. It's a solution in search of a problem."

Anita Lopez, Early Waymo Rider in San Francisco: "As a daily user for my commute, the reliability has improved dramatically. This funding could mean faster expansion to more neighborhoods, which would be a game-changer for people like me who don't own a car. The safety record speaks for itself."

This report is based on original information from Just Auto, a GlobalData brand.