Waymo plans to quintuple fleet to 20,000 with $5B debt
According to Semafor, Waymo aims to grow its autonomous vehicle fleet from 4,000 to 8,000 by the end of 2026 and reach 20,000 by the end of 2027. This aggressive expansion will be primarily funded by a recent $5 billion unsecured debt raise, signaling a shift toward independent capital structures for scaling hardware-heavy AI operations.
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Alphabet's self-driving subsidiary Waymo is planning a massive expansion of its robotaxi fleet, according to an exclusive report by tech media outlet Semafor. Sources familiar with the matter state that Waymo currently operates approximately 4,000 vehicles and aims to double this number to 8,000 by the end of 2026, before growing further to 20,000 by the end of 2027. This represents a fivefold increase in fleet size over two years.
The funding for this expansion comes from Waymo's first major debt financing round. The company recently borrowed $5 billion from private credit lenders without guarantees from its parent company, Alphabet. This structural change indicates Waymo is attempting to establish independent capital capabilities to support its asset-heavy hardware expansion. Furthermore, the financing agreement allows Waymo to borrow more in the future by securitizing leases, showing an intent to leverage existing assets for additional liquidity.
Waymo declined to comment on the specific fleet expansion numbers but confirmed in a statement on its website that the $5 billion raised would be used for growth in the US and internationally. Currently operating in 15 US cities, Waymo is also expanding into new markets like Toronto. To support fleet growth, the New York Post previously reported that Waymo has ordered thousands of Chinese-made cars and rebranded vehicles produced by Zeekr, a unit of Geely Holding Group. Additionally, Waymo has opened a facility in Nashville in partnership with Lyft for charging, cleaning, and maintenance.