Waymo Receives $5 Billion Investment from Alphabet to Advance Autonomous Driving

Waymo, the self-driving taxi unit of Alphabet Inc., has secured a $5 billion investment from its parent company, as announced by Alphabet CFO Ruth Porat during the firm’s second-quarter earnings call for 2024. This new multi-year investment reflects Alphabet’s continued confidence in Waymo’s progress and its role in advancing autonomous driving technology.

“This new round of funding, which is consistent with recent annual investment levels, will enable Waymo to continue to build the world’s leading autonomous driving technology company,” Porat said.

Waymo CEO Sundar Pichai highlighted the company’s achievements, noting that Waymo has delivered over 2 million trips and accumulated more than 20 million fully autonomous miles on public roads. “Waymo is now delivering well over 50,000 weekly paid public rides, primarily in San Francisco and Phoenix,” Pichai said. “In June, we removed the wait list in San Francisco, so anyone can take a ride.”

The company is also expanding its services to commercial driverless rides in parts of Los Angeles, preparing to launch in Austin, and targeting airport rides in San Francisco. Additionally, Waymo’s next-generation self-driving taxi, linked to the Zeekr MIX, is currently undergoing testing in the U.S.

Waymo’s growth contrasts sharply with its competitor, General Motors’ Cruise. Following a significant incident involving a Cruise self-driving taxi in San Francisco in October, which led to a pedestrian being injured and the subsequent suspension of Cruise’s California operating license, Waymo has gained a stronger foothold in the autonomous taxi market. Cruise has faced setbacks, including the recent cancellation of its purpose-built Origin self-driving taxi by GM.

Kyle Vogt, former CEO of Cruise, criticized GM’s decision to scrap the Origin, reflecting on past missed opportunities. “Disappointed to see GM kill the Origin. Would have been amazing for cities. GM repeatedly finds themselves with a 5-10 year head start, but then fumbles the ball, shuts things down, and loses the lead,” Vogt wrote on X.