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Alphabet to invest another $5B into Waymo

75 pointsby chrixf11 months ago

15 comments

ra711 months ago
Waymo has had a stellar year. 50,000+ rides per week across 3 major cities is nothing to scoff at, their users give overwhelmingly positive reviews. They are now testing their new purpose built robotaxis [1], which are supposed to be cheaper and get them to scale.<p>They also don&#x27;t seem to have any real competition right now. Cruise kind of self destructed and it came out today that GM is scrapping plans to build their &#x27;Origin&#x27; robotaxis [2]. Tesla pushed out its robotaxi reveal and going by their track record, it won&#x27;t exist for a long time (they are also nowhere close to doing fully autonomous rides [3], so there&#x27;s that).<p>Fully deserved, IMO. It&#x27;s interesting how this funding round doesn&#x27;t include external investors, but the previous two did. What&#x27;s the calculation by Alphabet here?<p>[1] <a href="https:&#x2F;&#x2F;techcrunch.com&#x2F;2024&#x2F;07&#x2F;23&#x2F;the-waymo-zeekr-robotaxi-has-come-to-san-francisco&#x2F;" rel="nofollow">https:&#x2F;&#x2F;techcrunch.com&#x2F;2024&#x2F;07&#x2F;23&#x2F;the-waymo-zeekr-robotaxi-h...</a><p>[2] <a href="https:&#x2F;&#x2F;techcrunch.com&#x2F;2024&#x2F;07&#x2F;23&#x2F;gms-cruise-abandons-origin-robotaxi-takes-583-million-charge&#x2F;" rel="nofollow">https:&#x2F;&#x2F;techcrunch.com&#x2F;2024&#x2F;07&#x2F;23&#x2F;gms-cruise-abandons-origin...</a><p>[3] <a href="https:&#x2F;&#x2F;www.teslafsdtracker.com" rel="nofollow">https:&#x2F;&#x2F;www.teslafsdtracker.com</a>
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nserrino11 months ago
I&#x27;ve mostly switched over to Waymo, but had to take Ubers twice in the last month:<p>* The first one, the driver made multiple racist remarks about different groups he observed as we drove.<p>* The second one, the driver talked at length about UFOs and how they are real, for the entire 50 minute drive.<p>Most drivers are totally normal and don&#x27;t do things like that, but the tail end of negative experiences can be quite bad. Dirty cars, loud radios, body odor, and unsafe driving are all relatively common with human drivers. A Lyft driver I was riding with a few years back almost ran over a man in a wheelchair who had the right of way.<p>Wait times are also more reliable so far with Waymo. It&#x27;s not uncommon for an Uber&#x2F;Lyft driver to accept a ride but then not drive toward you for 5+ minutes. Waymo has the advantage of predictability - both in terms of arrival time and overall travel time (whereas there is variance among human drivers).<p>Sometimes I&#x27;ve had Waymos get stuck, but it usually resolves within 10-15 seconds.<p>Given how smooth, predictable, and safe Waymos are, I don&#x27;t see a strong reason to risk a negative experience with a human driver (beyond ideological reasons). However, I hope another strong provider comes on the market soon to give them some competition.
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andrewmcwatters11 months ago
I&#x27;m so happy with Waymo, the current Waymo passenger experience is unparalleled. It&#x27;s the future, for sure. It&#x27;s true that there&#x27;s no real competitor right now.<p>I&#x27;ve been watching Cruise fleet vehicles drive around in Phoenix, so maybe eventually they&#x27;ll gain some ground again.<p>Waymo uses their own in-house lidar units as far as I know, but otherwise, it&#x27;s a good time to be Ouster. VLP-16&#x27;s cost about $5,000&#x2F;unit right now.
gandalfstoe11 months ago
My prediction (dating back to 2015 when I was working at Uber) is that the cost per trip will never make sense for this to be a viable business model in the way Waymo presents itself as a product. I would really be curious to know how much Google has spent on this project over the last 15-20 years. There are many cheap Honda Civics and many unskilled people to drive them vs the custom real time hardware and software solutions required to power a Waymo trip.
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rajnathani10 months ago
This seems like a self-funded round instead of their 2020 (pre-COVID start) round where they, interestingly, raked in a lot of outside investors: <a href="https:&#x2F;&#x2F;techcrunch.com&#x2F;2020&#x2F;03&#x2F;02&#x2F;waymo-brings-in-2-25-billion-from-outside-investors-alphabet&#x2F;" rel="nofollow">https:&#x2F;&#x2F;techcrunch.com&#x2F;2020&#x2F;03&#x2F;02&#x2F;waymo-brings-in-2-25-billi...</a>
andrewmcwatters11 months ago
The Waymo-Zeekr feels like what Apple wanted to accomplish with their car.
jbverschoor11 months ago
I heard they have $23B sitting there doing nothing
2OEH8eoCRo011 months ago
With these interest rates? Bold move, especially from Google. I hope that it pans out.
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nojvek11 months ago
Great. Autonomy is where R&amp;D dollars ought to be flowing.
bagels11 months ago
Can this business make money? How much has been invested so far?
mansoor_11 months ago
When you have a tax bill like Alphabet&#x27;s, these investments&#x2F;write-offs seem less foolish.
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lysace11 months ago
That&#x27;s like 10-15k SV yearly engineer salaries?<p>Granted, it&#x27;s &quot;over the next few years&quot;.
obnauticus11 months ago
I think the title is missing a word:<p>“Alphabet _has to_ invest another $5B into Waymo”.<p>I’d like to remind everyone that it’s still a taxi business with taxi margins (best case).
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23B111 months ago
google really, REALLY wants us to return to work
tizzy11 months ago
Slightly off-topic and maybe against the typical viewpoint of the site, but if they spent this much money on bike lanes, e-bikes and public transport, self driving cars (and all cars) would get much better.
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