Waabi raises $1B to expand self-driving tech beyond trucks

Waabi, a Canadian artificial intelligence company, has secured $1 billion in new funding and announced a major partnership with Uber to deploy at least 25,000 self-driving robotaxis on the ride-hailing platform. The announcement marks the startup's first major expansion beyond autonomous trucking, a field where it has been operating for several years.

The funding package includes a $750 million Series C round led by Khosla Ventures and G2 Venture Partners, along with approximately $250 million in milestone-based capital from Uber tied to the robotaxi deployment. No timeline has been provided for when the 25,000 vehicles will hit the road.

Background

Waabi was founded in 2021 by Raquel Urtasun, a computer scientist who previously led Uber's autonomous vehicle research division. Uber sold its own self-driving technology unit to Aurora Innovation in 2020, but has maintained ties to Waabi since its early funding rounds and holds a seat on the company's board.

Until now, Waabi has focused on building software for autonomous trucks. Last October, the company announced it had integrated its AI system into Volvo's fleet of autonomous trucks, which are currently operating on highways in Texas and at mining and quarrying sites in Norway and Sweden. Those trucks still use safety drivers while Volvo completes full validation of the platform.

Uber has been investing in multiple autonomous vehicle companies in recent months. The company recently announced partnerships with Nuro and Lucid Motors to deploy 20,000 robotaxis, invested $300 million in those companies, and has existing agreements with Waymo and Chinese company Baidu for self-driving services in various cities.

Key Details

Waabi's expansion into robotaxis differs from how competitors have approached the market. The company says it has developed a single AI system that can operate multiple types of vehicles rather than building separate software for trucks and cars.

"Our incredible core technology really enables, for the first time, a single solution that can do multiple verticals, and they can do them at scale," Urtasun said. "It's not about two programs, two stacks."

Urtasun explained that the same AI models powering Waabi's autonomous trucks will also power its robotaxis. She compared the approach to how humans operate different vehicles without switching their brain, only adjusting for the specific vehicle being driven.

This unified approach stands in contrast to companies that have developed separate systems for different vehicle types. It also means improvements made to the trucking software automatically benefit the robotaxi system, and vice versa.

The Deployment Plan

Under the partnership agreement, Waabi will deploy its robotaxis exclusively on Uber's platform. The companies have committed to deploying a minimum of 25,000 vehicles but have not disclosed specific deployment locations, timelines, or performance benchmarks needed to access Uber's funding.

Urtasun told reporters the rollout would happen quickly, saying it would be "much faster than anybody can think" and "much faster than you had traditionally seen on the robotaxi side." She did not provide specific dates.

One detail remains unclear: the companies have not announced which vehicles Waabi's self-driving system will operate. With Nuro and Lucid, Uber committed to purchasing vehicles and paying fees based on mileage. No similar vehicle acquisition deal has been announced with Waabi.

Technology and Safety

Waabi's autonomous driving system relies on a combination of lidar, radar, and cameras for its commercial operations. The company has prioritized safety validation over speed, choosing to keep safety drivers in Volvo's trucks in Texas until the platform is fully validated. Volvo has said that full validation is "just quarters away."

What This Means

The Waabi-Uber partnership represents a significant bet that a single AI system can successfully operate across multiple autonomous vehicle markets. Waymo, one of the most advanced self-driving companies, previously attempted to operate both robotaxis and freight services before shutting down its trucking program.

For Uber, the deal is part of a broader strategy to reduce its dependence on human drivers while protecting its core ride-hailing business. By investing in multiple autonomous vehicle companies rather than developing its own technology, Uber is hedging its bets across different approaches and companies.

For Waabi, the partnership provides access to Uber's massive network of riders and drivers, potentially allowing the company to scale rapidly if its technology proves reliable. The funding also accelerates development of its autonomous trucking business while supporting the new robotaxi initiative.

Vinod Khosla, founder of Khosla Ventures, called Waabi's technology "a fundamental leap forward" in how driverless technology is being developed, citing the company's progress in autonomous trucking and expansion into robotaxis as evidence of its scalability.

The autonomous vehicle industry remains highly competitive and unpredictable. Questions remain about whether Waabi can successfully operate both trucks and robotaxis at scale, how quickly it can deploy vehicles, and whether its unified AI approach will prove superior to competitors' separate systems. The coming months will provide answers as Waabi moves from development into commercial deployment on one of the world's largest ride-hailing platforms.