Waymo announced a $16 billion investment round aimed at bringing its robotaxi business to more US cities as well as some foreign markets. The funding round was led by Dragoneer Investment Group, a “crossover” firm known for investing in late-stage tech companies before going public.
Waymo’s co-CEO said in a blog post that they will use some of the money to buy more vehicles to increase the size of their fleet, an important step as it looks to launch in at least 20 new cities in 2026. The company currently operates more than 2,500 robotaxis in six US cities. The new funding values Waymo at $126 billion.
Waymo’s latest funding round attracted several new investors, including Dragoneer, Sequoia Capital, and DST Global. Returning investors include Andreessen Horowitz, Abu Dhabi sovereign fund Mubadala, Fidelity Management & Research Co., Perry Creek Capital, Silver Lake, Tiger Global, Temasek and T. Rowe Price. The company last raised $5.6 billion in 2024, giving it a valuation of $45 billion.
Despite their promise to reduce costs by eliminating driver jobs, autonomous ridehail vehicles are prohibitively expensive. In addition to vehicle purchases, companies must install expensive sensors and computers in each vehicle. Robotaxis must be monitored by remote operators during trips. And fleet managers handle EV charging, cleaning, and sensor calibration when the robotaxis is offline.
Still, Waymo is one of the few companies in the US running a paid service with fully driverless vehicles. Amazon’s Zoox is still running free trips in some cities, while Tesla has not yet stopped using in-vehicle safety monitors.
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