Internet and telecommunications group SoftBank has entered talks to invest in US-based autonomous driving technology developer Zoox at a valuation of between $3bn and $4bn, Axios reported today citing multiple sources.
Zoox is still in stealth mode but is working on a vehicle that will incorporate its proprietary self-driving software as well as additional technology it reportedly believes will allow it to compete against rivals such as Tesla Motors.
The talks are at a preliminary stage but SoftBank’s prospective investment will form part of a round that will be “at least” $1bn in size, a source told Axios. The company has so far raised $250m in funding and was most recently valued at $1.55bn, Axios said.
Zoox closed $103m in funding from 23 investors including venture capital firms Lux Capital and DFJ in June 2016, according to a regulatory filing, before adding $50m from an undisclosed investor four months later.
The original funding was raised at a $1bn valuation, according to TechCrunch, and Axios reports Zoox’s other existing backers include Breyer Capital, Raptor Group and private investor Thomas Tull.