After several setbacks, the robotaxi industry is gaining momentum again, with companies like Tesla, Alphabet’s Waymo, and Amazon’s Zoox leading the charge in development, testing, and early commercial deployment.
Uber is positioning itself as a key player in this emerging industry and has formed partnerships with various autonomous vehicle firms, including Chinese tech giant Baidu, U.S. electric vehicle manufacturer Rivian, and British startup Wayve. It is also collaborating with Waymo in certain U.S. cities.
A notable commitment from Uber includes a three-way partnership with Nuro and electric vehicle manufacturer Lucid to deploy 35,000 robotaxis utilizing Lucid’s Gravity SUVs and upcoming midsize models, combined with Nuro’s technology and Uber’s platform.
The magnitude and specifics of Uber’s financial involvement with Nuro have not been previously disclosed, showcasing the depth of the financial connections between the companies.
Uber had earlier indicated investing $500 million in Lucid and planning a multi-hundred-million dollar stake in Nuro, which included participation in a $203 million funding round that valued the Silicon Valley startup at $6 billion.
Uber has made an additional, undisclosed follow-on investment in Nuro, reportedly larger than its initial funding, according to the sources, who wished to remain anonymous. Additionally, Uber has committed to providing extra funding for Nuro upon achieving certain developmental and commercial milestones, although terms have not been revealed. In total, these commitments amount to nearly $500 million.
Some initial milestones have already been met on schedule, prompting the release of funds from Uber, one source informed Reuters.
The remaining funds are linked to targets such as driverless testing, which is slated to occur later this year, transporting passengers in those driverless vehicles by year-end, and scaling the service in the following year, the source stated.
Both Uber and Nuro declined to comment.
The funding is vital for Nuro as it works to demonstrate its technology at a commercial scale. Initially, the company focused on small delivery bots before shifting in 2024 to license its self-driving software to automakers and mobility firms.
Currently, the company is conducting tests with safety drivers, with plans to launch its service in the San Francisco Bay Area later this year.
In April, Nuro received a permit from California to test Gravity autonomous vehicles without a safety driver in selected counties and was subsequently authorized in May to transport passengers during testing with drivers.
Investors in Nuro also include Nvidia and SoftBank.
(Edited by : Vivek Dubey)
