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Didi Chuxing raises US$500 million for self-driving unit in funding round led by SoftBank

  • The investment will bankroll further research and development, testing and collaboration on autonomous driving services in China and overseas
  • It marks the single largest investment in China’s autonomous driving sector

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Didi Chuxing is conducting trials with self-driving vehicles in China and the US, where the ride-hailing giant has open-road testing permits. Photo: Handout
Didi Chuxing has raised more than US$500 million for its autonomous driving subsidiary in a funding round led by SoftBank Group Corp’s Vision Fund 2, heating up the race in China to develop a driverless future.
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The deal marks the first fundraising effort for the Didi unit, which became an independent business last year, as well as the single largest investment made in China’s autonomous driving sector, according to the Beijing-based ride-hailing giant in a statement on Friday. It did not provide a valuation for the subsidiary.

That transaction surpassed the US$462 million raised in February by Chinese start-up Pony.ai in a funding round led by Toyota Motor Co. It put the valuation of Pony.ai at just over US$3 billion.
Didi said the new investment will bankroll continued research and development, testing and industry cooperation to “accelerate the deployment of autonomous driving services in specific areas in China and abroad”.
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With more resources directed to self-driving technology, so-called vehicle-to-everything systems and related artificial intelligence (AI) capabilities, Didi said it plans to launch autonomous fleet operations in select locations across China, the world’s biggest car market. In addition, the company aims to deepen ties with car industry partners to mass-produce autonomous vehicles.

Didi Chuxing plans to launch a pilot robotaxi service in Shanghai that will enable users to hail autonomous vehicles from the company’s app. Photo: Handout
Didi Chuxing plans to launch a pilot robotaxi service in Shanghai that will enable users to hail autonomous vehicles from the company’s app. Photo: Handout
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