Uber Deepens Investment in Chinese Robotaxi Firms Pony AI and WeRide
Uber Technologies is bolstering its position in the autonomous vehicle sector with planned investments in the Hong Kong listings of leading Chinese robotaxi companies, Pony AI and WeRide.
Uber is strategically increasing its ties to the burgeoning Chinese autonomous driving market. According to sources familiar with the matter, the ride-hailing giant intends to invest approximately $100 million in Pony AI’s share sale. The company is also showing interest in WeRide’s listing, though the potential investment amount remains undisclosed.
Pony AI’s Hong Kong Listing
Guangzhou-based Pony AI, which already trades on a U.S. exchange, is seeking to raise as much as $972 million through its Hong Kong listing, with potential for further expansion of the deal. The company plans to utilize the proceeds for the large-scale commercialization of its Level 4 autonomous driving technology, encompassing both robotaxi and robotruck services, as well as continued research and development. Pony AI has set a goal to achieve profitability by 2028 or 2029.
Shares of Pony AI’s American depositary receipts experienced a boost in premarket trading, rising approximately 6% following news of the potential investment. Since its U.S. debut in November 2024, the company’s stock has climbed over 50% through Monday.
WeRide’s Expansion Plans
WeRide, which also went public in the United States last year, launched its Hong Kong listing on Tuesday, aiming to raise up to $398 million. The funds will be directed towards the development of autonomous driving technology, accelerating the mass production of Level 4 fleets, and expanding operations over the next five years. Despite these ambitions, WeRide has yet to report a profit.
WeRide’s American depositary receipts also saw gains, climbing roughly 4% in premarket trading. However, the stock has experienced a 28% decline since its listing last October.
A Broader Investment Landscape
Uber’s moves are not isolated. Other potential investors in these listings include Grab Holdings Ltd., Southeast Asia’s largest ride-hailing and delivery company; Temasek Holdings Pte, a Singapore state investor; and Robert Bosch GmbH. Uber has previously invested in the U.S. initial public offerings of both Pony AI and WeRide, and announced an additional $100-million investment in WeRide in May.
The ride-hailing giant has also forged strategic partnerships with both companies. Earlier this year, Uber collaborated with Pony AI to launch services in the Middle East, and has joined forces with WeRide in Abu Dhabi.
Grab is also actively pursuing driverless technology, recently investing in Michigan-based May Mobility with the aim of deploying robotaxis in Southeast Asia as early as next year. The company has also invested in WeRide to jointly deploy robotaxi fleets across the region.
Ongoing Negotiations and Future Outlook
“Talks are ongoing and the investment plans may change,” stated a source familiar with the discussions. Uber declined to comment on the matter, while Pony AI and WeRide did not directly address questions regarding potential investors.
The increasing investment in these Chinese robotaxi firms signals a growing confidence in the future of autonomous driving technology and its potential to reshape the transportation landscape. The success of these listings and the subsequent deployment of Level 4 autonomous vehicles will be closely watched by industry observers worldwide.
Li, Fioretti and Sebastian write for Bloomberg.
