Autonomous Shuttle Developer EasyMile Secures €55 Million in Series B Funding

While fully self-driving cars for widespread public roads remain a future prospect, companies specializing in autonomous vehicles and shuttles for controlled environments are progressing towards commercial viability and attracting investment. A recent example is EasyMile, a startup based in Toulouse, France, which constructs shuttles designed for transporting both individuals and cargo.

Investment Details

EasyMile has successfully closed a Series B funding round of €55 million (equivalent to $66 million). This funding round was spearheaded by Searchlight Capital Partners, the firm that recently appointed former FCC chairman Ajit Pai as a partner. Additional participation came from McWin and NextStage AM.

Existing investors, including Alstom – a prominent player in the rail industry – Bpifrance, and automotive giant Continental, also contributed to this funding round. Searchlight Capital Partners also holds investments in companies such as Get Your Guide and Univision.

Market Position and Deployment

EasyMile asserts its position as the global leader in autonomous shuttles, claiming a 60% market share. The company reports that its vehicles have collectively covered 800,000 kilometers across more than 300 locations in 30 different countries.

However, it’s important to note the current scale of the market; EasyMile currently has 180 vehicles deployed globally. Notably, Navya, a significant competitor, is also headquartered in France.

Strategic Focus and Future Plans

The newly acquired funds will be allocated to expanding EasyMile’s operations, specifically by establishing and developing commercial deployments within closed-campus settings. The company will also continue investing in its long-term vision of integrating its vehicles and technology into public transportation networks.

However, EasyMile emphasizes that its concentration on readily addressable, immediate use cases has been instrumental in its growth and ability to attract investment. “We have stayed focused on what we can deliver in a reasonable timeframe and partnered with leaders in niche markets that are addressable now,” stated Gilbert Gagnaire, Founder and CEO of EasyMile.

Financial Information and Partnerships

EasyMile has not disclosed its current valuation or the total amount of funding raised to date in this oversubscribed round. Further details are being sought and will be updated as they become available.

The company’s vehicle portfolio includes the EZ10 people shuttles and the TractEasy, an autonomous trailer system for goods transportation. EasyMile has established partnerships with companies like TLD, which provides ground transport for air cargo, and is collaborating with Stellantis – the parent company of Peugeot, Chrysler, and Fiat – to develop an autonomous vehicle utilizing EasyMile’s technology.

Past Challenges and Regulatory Considerations

EasyMile has encountered past challenges, including a temporary restriction imposed by the NHTSA following an accident, which prohibited the company from operating passenger services. This restriction has since been lifted.

The role of Searchlight Capital Partners in navigating future regulatory hurdles will be a key area to observe.

Investor Confidence

Ralf Ackermann, a partner at Searchlight Capital, expressed enthusiasm for the investment, stating, “We are excited to be investing in EasyMile at this critical juncture in the firm’s trajectory. Having observed its robust, quality-driven approach and industry-leading technology, we are confident that it is well positioned to scale commercially and are delighted to be part of the journey.”

Market Trends and Validation

This fundraising event occurs amidst a period of restructuring within the autonomous driving sector. Notably, Lyft recently sold its Level 5 division to Toyota’s Woven Planet for $550 million. EasyMile believes its dedication to specific shuttle applications in closed-loop environments has enabled it to maintain momentum and build a stronger presence in this evolving market.

“This injection of capital validates EasyMile’s strategy and will allow us to finalize our technical development and finance our scaleup strategy. We’ll bring the technology up to a level that can be industrialized and deliver a real commercial service,” explained GM Benoit Perrin.

Update: Information regarding the NHTSA investigation status has been added.