Waabi Raises $1 Billion and Partners with Uber for Self-Driving Cars Deployment
The autonomous vehicle startup Waabi has recently secured $1 billion in funding and formed a partnership with Uber to introduce self-driving cars on the ride-hailing platform. This marks Waabi’s first foray into autonomous transportation beyond trucks.
The funding round includes a $750 million Series C investment, which was oversubscribed and co-led by Khosla Ventures and G2 Venture Partners. Additionally, Uber has committed approximately $250 million in milestone-based capital to facilitate the deployment of 25,000 or more Waabi Driver-powered robotaxis exclusively on its platform. However, no specific timeline for the large-scale deployment has been disclosed.
This collaboration signifies a strategic move by both companies to leverage Waabi’s AI technology in scaling across various self-driving verticals with a unified technology stack. Waabi’s founder and CEO, Raquel Urtasun, believes that the company’s capital-efficient approach and adaptable AI architecture give it a distinct advantage in simultaneously addressing multiple markets.
Urtasun stated, “Our remarkable core technology enables a single solution capable of servicing multiple verticals at scale for the first time. It’s not about managing two separate programs or technology stacks.”
Notably, Urtasun’s prior experience as the chief scientist at Uber’s autonomous vehicle division, Uber ATG, adds depth to the partnership, which builds upon Waabi’s existing collaboration with Uber Freight.
Waabi joins a roster of AV companies partnering with Uber to deploy self-driving vehicles globally, including Waymo, Nuro, Avride, Wayve, WeRide, Momenta, among others.
Furthermore, this partnership aligns with Uber’s launch of a new division called Uber AV Labs, focused on utilizing its vehicles for data collection purposes in support of AV partners.
Waabi’s Innovative Approach to Autonomous Driving
Waabi distinguishes itself by emphasizing an AI-driven approach that minimizes reliance on extensive data collection. The Waabi Driver is trained, tested, and validated using a closed-loop simulator known as Waabi World. This simulator facilitates the creation of digital replicas of real-world environments, conducts real-time sensor simulations, generates scenarios for rigorous testing, and enables the Driver to learn from its experiences autonomously.
Urtasun claims that Waabi’s Driver can interpret its surroundings akin to human reasoning, making optimal decisions. This ability allows the system to learn and generalize from fewer examples compared to conventional autonomous driving systems.
Over the past four and a half years, Waabi has honed this technology for highway and surface street operations with trucks. Urtasun asserts that the Waabi Brain is adaptable to various vehicle types, hinting at potential expansion into robotics as the company’s next vertical.
According to Urtasun, Waabi’s streamlined development process enables faster and more cost-effective progress compared to competitors, bypassing the need for massive data centers, substantial energy consumption, or extensive human resources.
Future Prospects and Expansion Plans
The recent funding round brings Waabi’s total raised capital to approximately $1.28 billion, following a $200 million Series B round in June 2024. In comparison, competitors like Aurora Innovation and Kodiak Robotics have garnered significant investments through various funding channels.
While Waabi has conducted commercial pilots with human supervision in Texas, the company aims to introduce fully driverless trucks on public highways soon. Collaborating with Volvo, Waabi is developing purpose-built autonomous trucks, with the technology poised for deployment pending full validation.
Urtasun expresses confidence in the demand for Waabi’s trucks, emphasizing the company’s direct-to-consumer model that allows shippers to purchase equipped trucks directly. With the support of the Uber partnership, Urtasun anticipates rapid market penetration and scalability for a reliable product.
Looking ahead, Urtasun envisions a promising future for Waabi in the robotaxi segment, emphasizing the company’s commitment to integrating sensors and technology into vehicles from the manufacturing stage to ensure safety and scalability.
Investors in Waabi’s Series C round include Uber, NVentures, Volvo Group Venture Capital, Porsche Automobil Holding SE, BlackRock, BDC Capital’s Thrive Venture Fund, and others.
