Toyota is investing $500 million in Uber at a $72 billion valuation as part of a self-driving car partnership

pulse

August 27, 2018 7:49 PM

It's a mammoth investment as Uber develops self-driving car technology.

Toyota is reportedly investing $500 million into Uber.
The investment round values Uber at $72 billion, according to The Wall Street Journal.
Toyota and Uber are partnering to develop self-driving car technology, an area where Uber has struggled.

Toyota is going to invest $500 million into Uber at a mammoth $72 billion company valuation, according to a new report from The Wall Street Journal citing people familiar with the matter. The investment will reportedly focus on autonomous vehicle technology.

Uber and the Japanese auto giant have previously been in talks — both about self-driving technology and more general opportunities. Toyota previously invested in Uber in 2016 alongside an auto-leasing deal. And a report from March 2018 said that Uber was discussing selling self-driving tech to the company.

A spokesperson for Uber did not immediately respond to Business Insider's request for comment, and reportedly declined to comment to the WSJ. A representative for Toyota was not immediately available for comment.

Uber has previously been valued at $69 billion in a private venture capital investment round, though Softbank more recently invested in the California firm in December 2017 at a $48 billion valuation.

Uber has previously said it considers self-driving technology crucial to its future — but it has had a bumpy ride.

It was caught up in a high-profile trade secrets lawsuit over Anthony Levandowski, an executive in the space it hired away from Waymo, the self-driving car startup that spun out of Google. And in March 2018, one of its self-driving vehicles hit and killed a woman in Arizona — the first time an autonomous vehicle has killed a pedestrian.

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