Self-driving startup Cruise raises $2.75bn, launches ride-hail in Dubai

Self-drive automaker Cruise, backed by General Motors Co (GM.N), on Thursday said it raised $2.75 billion in its latest funding round with additional investment from Walmart Inc (WMT.N) and others, taking the startup’s valuation over $30 billion.

The announcement comes a week after peer TuSimple revealed plans for an initial public offering (IPO), at a time when self-drive technology is yet to be commercialised.

“We are focused on our path to commercialisation right now but the IPOs happening in the space right now are a great indication of the strength of the industry and the opportunity self-driving presents,” a Cruise spokeswoman said in a statement to Reuters.

“This investment is a marker for us – it shows our commitment to bringing the benefit of self-driving cars to our customers and business,” Walmart US CEO John Furner said in a blog post on Thursday. “We’re excited to join Cruise’s already impressive partner and investor ecosystem with the likes of GM, Honda and Microsoft as we work towards pioneering this emerging technology.”

In January, the San Francisco-based startup said Microsoft Corp (MSFT.O) would join General Motors, Japan’s Honda Motor Co Ltd (7267.T) and institutional investors for a combined new equity investment of over $2 billion.