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GM’s self-driving unit Cruise gets $1.15 billion investment, now valued at $19 billion

Cruise Automation announced today it’s secured a new $1.15 billion in funding, the latest in a long line of large investments into GM’s self-driving division.

Today’s equity investment into Cruise comes from existing partners GM, SoftBankVision Fund, and Honda, as well as a group of additional institutional investors.

At this point, Cruise has secured $7.25 billion in capital commitments, and now has a post-money valuation of $19 billion. Cruise CEO Dan Ammann said in a statement,

“Developing and deploying self-driving vehicles at massive scale is the engineering challenge of our generation. Having deep resources to draw on as we pursue our mission is a critical competitive advantage.”

Cruise secured $750 million from Honda last October, as the company promised to commit $2 billion to the project over the next 12 years.

Cruise, which GM bought in 2016 for around $1 billion, uses Bolt EVs for its self-driving tests. Shortly after GM’s acquisition, Tesla listed Cruise among “small teams of programmers with little more than demoware.”

Since then, Cruise has grown from 40 employees to more than 1,000, and announced plans to double in size by the end of 2019.

The division unveiled its “Cruise EV” last year, which comes without a steering wheel or pedal.

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