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Who else feels overwhelmed by the endless stream of information flooding in from all angles? Yep, I feel you.
At TechCrunch, our mission is to equip our readers (that’s you!) with valuable insights rather than simply bombarding you with data. We strive to clarify the “Why does this matter to me?” and deliver essential context.
Consider the recent decision by the Department of Transportation to halt funding for a $5 billion electrical vehicle (EV) charging initiative. Senior reporter Sean O’Kane details how this move represents more than just a political maneuver by the Trump administration against federally funded renewable energy efforts, a priority voiced by the president.
This scenario highlights the tension between Elon Musk’s political stance and his company’s aspiration to foster the transition towards sustainable energy. Tesla, under Musk’s leadership and as its largest shareholder, has previously secured $31 million from this program.
In our commitment to keep you informed, we consistently track specific topics and provide timely updates. Reporter Rebecca Bellan is diligently monitoring developments in Tesla’s Dojo program, so be sure to follow her updates.
A little bird
A little birdie shared an interesting tidbit with me via a LinkedIn post: Brian Lerner, a former software engineer at Apple who has worked the last four years at Built Robotics, has been appointed as the director of factory software at Ford.
Got a lead for us? Reach out to Kirsten Korosec at kirsten.korosec@techcrunch.com, Sean O’Kane at sean.okane@techcrunch.com, or Rebecca Bellan at rebecca.bellan@techcrunch.com. You can also refer to these instructions for contacting us using encrypted messaging apps or SecureDrop.
Deals!
In 2023 and 2024, dual-use technologies—capable of civilian and military applications—garnered significant investment. This year is poised to surpass previous records as entrepreneurs leverage President Trump’s platform.
Archer Aviation, which is known for its electric vertical take-off and landing vehicles, has recently adjusted its strategy to capture dual-use funding.
Having gone public in September 2021 via a SPAC merger, Archer Aviation secured $300 million from institutional investors, including BlackRock and Wellington. These funds will primarily support the development of a hybrid vehicle in collaboration with Anduril.
This funding round pushes Archer’s total financial backing to roughly $3.36 billion. As noted by reporter Rebecca Bellan, this recent influx follows a $430 million round from December, aimed at launching its Archer Defense program.
Remember, not too long ago, Archer’s market entry plan revolved around an air taxi service across multiple cities in the U.S. and internationally.
Other noteworthy deals include:
Auto Hauler Exchange, a Michigan-based startup known for its digital vehicle transportation marketplace, secured $5 million in a Series A investment led by MHS Capital. Previous seed round leader Golden Ventures also joined in on the Series A.
Endera, an Ohio manufacturer of electric buses, raised $49 million through equity and debt financing. This round included a $36 million equity investment from Magnetar, with Pulse Fund also participating. The funding package comprised a $13 million credit facility as well.
GreenSpark Software, a startup based in New York City focused on software solutions for the metal recycling sector, revealed it has raised $9.4 million from investors including Zero Infinity Partners, Third Prime, and several undisclosed strategic investors. Additionally, it turns out that BMW i Ventures was one of those investors.
Innoviz, specializing in lidar technology, raised $40 million through institutional fundraising at a share price of $1.39, which led to a significant drop in its stock value. By Wednesday, Innoviz’s shares had plummeted 37% from their closing price of $1.59 on Friday.
Jaguar Land Rover (JLR) is expanding its technology hub in Portland with a $180 million investment to be spread over the next decade. This hub is pivotal in developing the next-gen connected vehicles and “autonomous driving technologies” for future JLR models. For context, JLR initiated this tech hub in 2014, subsequently enhancing it in 2016, 2017, and 2024.
Revel, an electric shared moped startup transitioned into EV charging infrastructure, has secured a $60 million loan from New York’s clean energy investment fund, NY Green Bank, aimed at significantly expanding its public fast-charging network in New York City.
Self Inspection, a San Diego-based startup providing AI-driven vehicle inspection services, has garnered $3 million in a seed round co-led by Costanoa Ventures and DVx Ventures, which is managed by former Tesla president, Jon McNeill. Westlake Financial, responsible for over 1 million vehicle transactions annually, also participated in this round.
Notable reads and other tidbits
ADAS
BYD has introduced “God’s Eye,” a cutting-edge driver-assistance system set to feature in its entire model lineup, including the budget-friendly $9,600 Seagull hatchback.
Tesla has successfully won a defamation case against Zhang Yazhou, a passenger in a Model 3 that supposedly crashed due to faulty brakes, resulting in a four-day hospital stay for her parents. Tesla unveiled telemetry data indicating the brakes functioned correctly at the time.
Autonomous vehicles
Aurora Innovation remains on track to roll out its autonomous trucks for commercial deployment in April 2025, as outlined in its Q4 shareholder letter. The initial launch set for late 2024 has been postponed to ensure thorough validation of its self-driving technology.
Lyft is aiming to introduce fully autonomous robotaxis powered by Mobileye to its platform “as soon as 2026” in Dallas, with plans for additional markets in the future. Lyft hasn’t disclosed its car manufacturer partner yet, but it has confirmed that Marubeni, a Japanese conglomerate experienced in fleet management, will finance the Mobileye-equipped vehicles arriving on Lyft’s app.
Reflecting on Texas, not long ago, California and Arizona were the prime locations for robotaxi innovations. However, Texas is quickly becoming a major hotspot for both testing and commercial operations. Austin stands out as an AV epicenter: Tesla intends to launch its driverless ride-hailing service there in June, while Waymo and Uber are preparing to initiate services soon. Furthermore, Avride is establishing its presence in Austin, along with self-driving truck firms Aurora and Kodiak Robotics, which are also active in Texas. This TechCrunch article from 2023 suggested a question that might get resolved by 2025.
May Mobility has launched its first fully driverless commercial service in Peachtree Corners, Georgia. Unlike services from Waymo or Zoox, May’s operational model does not allow spontaneous routing. Currently, it includes eight designated stops.
Waymo is actively expanding its robotaxi service in Los Angeles, having added 10 square miles to its service area, which now encompasses Westchester and parts of Inglewood and Crenshaw, providing customers access to popular venues like SoFi Stadium and HHLA Entertainment.
Electric vehicles, charging, & batteries
Mercedes-Benz is extending its EV charging network into Canada, commencing with Vancouver this year and aiming for additional stations in the metro Toronto area by 2026. The automaker has 300 charging units operational or in development across 11 U.S. states. Overall, over 2,500 charging stalls will be introduced across Canada and the U.S.
Rivian is now offering its commercial electric vans to any interested U.S. business after ending its exclusivity agreement with Amazon more than a year ago.
People
Jonathan Morrison, an executive at Apple, has been appointed to lead the National Highway Traffic Safety Administration (NHTSA). Morrison previously served as chief counsel for NHTSA during Trump’s first term and held the position of president at Auto Advisory Services as well as director of legal and regulatory affairs at the California New Car Dealers Association.
Ride-hailing and gig economy
Earnings reports are rolling in as we start the season, with Lyft and Uber both disclosing their fourth-quarter and full-year outcomes. Here’s a brief overview:
Lyft reported record growth, achieving its first full-year GAAP profitability for 2024, with a net income of $22.8 million, a significant jump from a net loss of $340.3 million in 2023. However, this positive news was overshadowed by the company’s lower-than-anticipated forecast for gross bookings during the first quarter.
Lyft attributes its Q1 projections to the traditional seasonal slowdown but anticipates that it will also be impacted negatively by losing its partnership with Delta, which has been taken over by Uber. Interestingly, Lyft’s board has authorized $500 million in share buybacks, marking the company’s first time engaging in such a program.
On the other hand, Uber exceeded revenue expectations in the fourth quarter, reporting a 20% revenue increase to $11.96 billion. Its adjusted EBITDA stood at $1.84 billion for Q4 and $6.84 billion for the entire year. Nevertheless, shares dipped following the announcement that it failed to meet earnings per share (EPS) expectations and provided cautious guidance.
The company estimates gross bookings to fall between $42 billion and $43.5 billion in Q1, lower than the $44.2 billion recorded in Q4 2024. Uber CFO Prashanth Mahendra-Rajah cited currency fluctuations and repercussions from the recent fires in Los Angeles, along with extreme weather events in January.
This week’s wheels
This newsletter has grown lengthy, so there’s no “This week’s wheels” segment! Keep an eye out for new vehicles in the months ahead.
Curious about “This week’s wheels”? It’s an opportunity to discover a variety of transportation products we’re evaluating, whether they be electric or hybrid vehicles, e-bikes, or even experiences in autonomous transport.
Compiled by Techarena.au.
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