British company secures over $1B to develop AI for self-driving vehicles

Supported by SoftBank Group, NVIDIA, and Microsoft, Wayve will utilise this investment to develop and launch the first ‘embodied AI’ technology for self-driving vehicles in the UK.

Embodied AI will enable automated vehicles to learn from and interact with the real-world environment, adapting to scenarios that defy strict patterns or rules, such as unforeseen actions by drivers or pedestrians. This capability significantly exceeds the current autonomous vehicle (AV) technology.

From 2018 to 2022, the UK's self-driving vehicle sector attracted £475 million in direct investment and created 1,500 new jobs.

As this industry expands, it is projected to be valued at £42 billion and generate 38,000 more skilled jobs by 2035. Additionally, the AI sector currently employs over 50,000 people and contributes more than £3.7 billion annually to the economy. By 2035, the UK's AI market is expected to exceed $1 trillion.

Established in 2017, Wayve is a good example of British innovation and a testament to the UK's global leadership in fostering the economic and regulatory conditions necessary for AI and self-driving vehicle startups to flourish.

Wayve has credited its progress in self-driving vehicle technology to the UK’s Code of Practice: Automated Vehicle Trialling. This framework is noted for its pro-innovation and flexible approach to the development and testing of autonomous driving in the UK, emphasising company accountability for safety without the burden of excessive regulatory procedures and red tape. Wayve stated that the UK’s approach has been crucial to their rapid development of AI for assisted and automated driving.

Prime Minister Rishi Sunak said: “From the first electric light bulb or the World Wide Web, to AI and self-driving cars – the UK has a proud record of being at the forefront of some of the biggest technological advancements in history.

“I’m incredibly proud that the UK is the home for pioneers like Wayve who are breaking ground as they develop the next generation of AI models for self-driving cars. The fact that a homegrown, British business has secured the biggest investment yet in a UK AI company is a testament to our leadership in this industry, and that our plan for the economy is working.

“We are leaving no stone unturned to create the economic conditions for businesses to grow and thrive in the UK. We already have the third highest number of AI companies and private investment in AI in the world, and this announcement anchors the UK’s position as an AI superpower.”

Alex Kendall, Co-Founder and CEO of Wayve said: “The UK has a rich and inspiring AI heritage, which lives on today with top talent, world-class universities, and innovation-friendly regulation, bolstered by events like the AI Summit. Today, we are proud to contribute to this legacy with our announcement of a $1.05bn Series C investment round, the largest-ever AI fundraise in UK history.

“The UK’s progressive testing framework has supported our rapid development of cutting-edge AI, and we’ve been pleased to work with the Government on the Automated Vehicles Bill which gives investors’ confidence that the UK is truly a leader in AI and AVs.

“This investment will help us launch our Embodied AI products and expand our operations globally. It sends a crucial signal to the market of the strength of the UK’s AI ecosystem, and we look forward to watching more AI companies here thrive and scale.”

Wayve's investment coincides with the impending conclusion of the Automated Vehicle Bill through Parliament in the forthcoming weeks, which will establish a robust foundation for innovative British companies like Wayve to expand and implement their self-driving technologies. This move is set to enhance safety and tap into a market valued at up to £42 billion.

The Automated Vehicles Bill is poised to catalyse a transport revolution by facilitating the safe introduction of self-driving vehicles, reinforcing the UK’s status as a global frontrunner in this rapidly growing industry. The bill is anticipated to establish one of the world’s most comprehensive legal frameworks for autonomous vehicles, with a strong emphasis on safety.

Under the provisions of the Bill, all self-driving vehicles will be subject to stringent safety testing before they are allowed on UK roads. The Bill will also clarify legal liability in instances where a vehicle is operating autonomously by establishing new legal entities responsible for these vehicles.

Furthermore, self-driving vehicles hold the promise of making transport safer, more convenient, and more accessible, thereby enhancing the lives of millions. With 88% of current accidents involving human error, autonomous vehicles have significant potential to reduce costs, injuries, and fatalities.

Secretary of State for Science, Innovation, and Technology, Michelle Donelan said: “This investment is not only a vote of confidence both in our status as an AI and innovation powerhouse, but in the broader steps we have taken to make the UK a magnet for investment and growth.

“Wayve are a true homegrown success story, and today’s investment represents one of the largest ever backings for a UK startup. This injection of money will put the UK at the heart of driving forward new, cutting-edge AI solutions for self-driving vehicles, made possible by our pro-innovation approach to managing this generation-defining technology.

“We are already a world leader in AI, and this is further evidence that the UK is now firmly the global destination for tech innovation and growth.”

Business and Trade Secretary Kemi Badenoch said: “This is the latest in a long line of fantastic investments in the UK automotive sector, coming hot on the heels of major commitments by BMW, Jaguar Land Rover, and Nissan.

“The Government’s plan for advanced manufacturing is working, and this $1 billion investment in Wayve will ensure that cutting-edge technologies of the future are made in Britain.”

Transport Secretary Mark Harper said: "Self-driving cars will revolutionise road travel – making it safer and more convenient for everyone.

“Our Automated Vehicles Bill paves the way for their safe use in the UK and opens the door for investment into innovative British companies like Wayve – putting the UK at the forefront of a growing global industry. This is an important part of our plan to grow the economy and create high quality jobs into the future."