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Hello everyone, including our newest subscribers, and welcome to The Station, a newsletter examining both current and developing methods of moving people and goods from one location to another.

The past year has brought challenges, instability, and difficulties, alongside some surprising successes, a significant number of mergers and acquisitions, substantial venture capital funding rounds, and considerable activity involving special purpose acquisition companies. Over the coming issues of The Station, I intend to highlight some of the most important events of the year, as well as explore stories that may not have received the attention they warranted.

Now, I’d like to hear from you, our readership. What developments stood out as the most significant of the year? Which stories believe deserved greater coverage than they received? Please feel free to share your perspectives.

You can reach me by email at kirsten.korosec@techcrunch.com with any thoughts, feedback, viewpoints, or information. Alternatively, you can send a direct message to me on Twitter — @kirstenkorosec.

Deal of the week

A significant development has emerged in the evolving field of autonomous vehicle technology. Uber has announced a definitive agreement to transfer ownership of its self-driving technology division, Uber Advanced Technologies Group, to Aurora Innovation.

Here’s a breakdown of the key aspects of this transaction:

1. Aurora did not make a cash purchase for Uber ATG, which had previously been assessed at a valuation of $7.25 billion.
2. Uber is relinquishing its equity in ATG and instead is making a $400 million investment into Aurora.
3. As a result of the deal, Uber will receive a 26% ownership stake in the combined Aurora company. (Prior to the agreement, Uber held an 86.2% stake in Uber ATG on a fully diluted basis, as indicated in SEC filings, with remaining investors collectively owning 13.8%.)
4. The resulting company is valued at $10 billion.
5. Uber, alongside existing ATG investors and continuing ATG employees now working at Aurora, are projected to collectively possess approximately 40% ownership in Aurora on a fully diluted basis.
6. Uber’s Chief Executive Officer, Dara Khosrowshahi, will join the board of directors of the expanded Aurora.
7. Eric Meyhofer, the former CEO of Uber ATG, is departing from his role.

As some may remember, initial reports of this potential agreement surfaced three weeks prior to the official announcement. At that time, comprehensive details were unavailable, and discussions with key figures such as Aurora CEO Chris Urmson, previously the leader of Google’s self-driving project, had not yet taken place.

The primary focus now is the next two months, which will be crucial for Aurora as it works to integrate the two organizations. Urmson indicated the company intends to conduct a thorough and objective evaluation of all aspects, including personnel, technology, and operational procedures.

Aurora currently employs 600 individuals, while Uber ATG has a workforce of approximately 1,200. The two companies also operate with distinct corporate cultures. Successfully navigating this integration will be a substantial undertaking, and failure to do so could jeopardize Aurora’s future.

Other noteworthy transactions …

Boston Dynamics has confirmed that Hyundai Motor Group has obtained a controlling interest in the company. This deal, which establishes Boston Dynamics’ value at $1.1 billion, grants Hyundai an 80% stake, with SoftBank retaining the remaining 20%. This marks the third ownership change for the robotics firm, known for its Spot robot, within the last seven years.

In&motion, a French company specializing in wearable airbag systems for motorcycles, secured $12 million (€10 million) in funding. The investment round was led by Upfront Ventures, with participation from 360 Capital.

Motiv Power Systems, a manufacturer of electric vehicle chassis, is exploring a merger with a special purpose acquisition company as a means of becoming a publicly listed company, according to FreightWaves.

Parallel Domain, a developer of a synthetic data platform used for training autonomous systems, completed a $11 million Series A funding round led by Foundry Group. Calibrate Ventures and existing investors Costanoa Ventures, Ubiquity Ventures and Toyota AI Ventures also contributed to the round.

Volkswagen Group has invested €1 billion ($1.21 billion) to increase its ownership stake in Volkswagen Anhui Automotive Company in China, formerly known as JAC Volkswagen. The company plans to manufacture vehicles based on its MEB electric platform in Hefei, Anhui province, with production scheduled to begin in 2023.

Uber’s 2020 evolution

Throughout 2020, Uber has been streamlining its operations by divesting from businesses that potentially hindered its progress toward achieving profitability.

Previously, Uber pursued a broad business strategy, attempting to generate income from a wide range of transportation options. These included traditional ride services, smaller vehicle rentals, freight and parcel delivery, meal delivery, and ambitious, long-term projects involving self-driving cars and personal air travel.

The emergence of the COVID-19 pandemic, combined with Uber CEO Dara Khosrowshahi’s emphasis on financial success, led the company to discontinue its more speculative ventures and concentrate on delivery services, notably through the acquisition of Postmates.

Uber Elevate, the company’s project focused on developing air taxis, was the most recent to be discontinued. Uber recently announced its plan to transfer Elevate to Joby Aviation. This intricate arrangement involves Uber making a $75 million investment in Joby and establishing a broader collaborative relationship between the two organizations. Uber also revealed that this $75 million investment supplements a prior, undisclosed $50 million investment made during Joby’s Series C funding round in January 2020. Joby Aviation has now secured a total of $820 million in funding, with Uber contributing $125 million overall.

In the previous year, Uber and Joby, a company creating a fully electric, vertical takeoff and landing aircraft for passengers, entered into an agreement for Joby to serve as a vehicle partner within Uber’s Elevate program. Joby was the initial partner to pledge to launch air taxi services by the year 2023.

The key takeaway is that Uber is maintaining involvement with the divisions it has sold – Jump, Elevate, and Uber ATG – through arrangements that generally include investing in the purchasing company in return for ownership shares and ongoing partnerships.

Inside Rivian’s adventure network

I recently conducted an extensive interview with Rivian’s founder and CEO, RJ Scaringe, discussing topics such as charging infrastructure, battery technology, and autonomous driving features. (Further details regarding the battery and automated driving aspects will be shared shortly.) This article will concentrate specifically on Rivian’s approach to charging.

The majority of automotive manufacturers introducing new electric vehicle models have established partnerships with existing EV charging providers. Conversely, Tesla has invested substantial capital – hundreds of millions of dollars – in the development of its exclusive “Supercharger” network.

Rivian is pursuing a balanced strategy, aiming for an optimal solution, though it represents a significant investment, as outlined by Scaringe. The electric vehicle manufacturer is designing and commencing construction of a network of electric vehicle charging stations across the United States in anticipation of initial deliveries of its R1T pickup truck and R1S sport utility vehicle.

This network will incorporate high-speed chargers positioned along major interstate highways, a strategy employed by Tesla and other companies like Electrify America. Rivian also intends to install numerous EV chargers at locations favored by outdoor enthusiasts, including trailheads for mountain biking and hiking, kayaking access points, and potentially near well-known rock climbing areas.

This initiative directly targets Rivian’s target demographic and is essential for fostering trust in both the brand and electric vehicles as a whole, Scaringe explained.

Two key takeaways:

1. The creation of the Rivian network has demanded more than just strong brand recognition and skillful property acquisition. The electric automaker, having secured approximately $6 billion in funding, independently engineered the technology, including the rapid DC fast charger.
2. The underlying platform and associated hardware will also support a product designed for fleet operations. (Indeed, extending beyond its collaboration with Amazon.)

“Considering commercial vans, the charger and dispensing unit might have a different appearance, but the fundamental power modules that provide the charging capacity are used identically in these diverse applications,” Scaringe stated. “This is a primary reason we developed this core expertise – to deliver both fleet-focused B2B charging solutions and the customer-oriented adventure network for Rivian owners.”

QuantumScape’s Significant Advancement

Investors monitoring promising stocks may have observed the substantial increase in QuantumScape’s stock value. This surge is the culmination of ten years of dedicated effort.

QuantumScape is a developer of solid-state batteries that originated at Stanford University, received investment from Volkswagen Group, and subsequently became a publicly listed company via a merger with Kensington Capital Acquisition Corp, a special purpose acquisition company.

This week, QuantumScape published performance statistics for its solid-state battery technology. The key finding: a solid-state battery capable of reaching 80% charge from a fully depleted state in just 15 minutes, offering 80% greater range than current lithium-ion batteries, sustaining over 800 charge cycles while maintaining 80% capacity, and utilizing a solid-state separator effective even at -30 degrees Celsius.

What is the significance of this development? Should QuantumScape have successfully resolved the challenge of creating commercially feasible solid-state lithium-metal batteries, as it indicates, this would represent a major improvement in energy density compared to traditional lithium-ion batteries, potentially providing electric vehicles with a driving range equivalent to that of gasoline-powered vehicles.

It is crucial to understand that QuantumScape states it has attained 80% extended range without sacrificing or diminishing other critical cell characteristics, including lifespan, operating temperature, safety, cathode loading, or excess lithium within the anode.

QuantumScape has demonstrated the most challenging aspect. However, further work remains. The reported results stem from tests conducted on single-layer battery cells. The subsequent phase involves testing multi-layer cells and then focusing on establishing manufacturing capabilities for large-scale production.

In a recent discussion, QuantumScape’s founder and CEO, Jagdeep Singh, explained to me the process behind this breakthrough. He emphasized that it wasn’t the result of a single discovery:

Notable reads and other tidbits

American Airlines announced it will begin providing COVID-19 tests for home use to passengers traveling domestically, as reported by the Verge. The airline is collaborating with LetsGetChecked, a company specializing in direct-to-consumer testing, to offer these tests for $129 in addition to the cost of the flight.

Arrival, a U.K.-based electric vehicle company planning to enter the public market through a merger with CIIG Merger Corp., has selected Charlotte as the location for its North American headquarters.

California State Senator Ben Allen, a Democrat, has proposed legislation that would require the State Secretary of Transportation to establish an advisory group dedicated to autonomous vehicle regulations.

Cruise Automation has initiated trials of what they term “fully driverless vehicles” on public streets in San Francisco. It’s important to note that these tests are limited to a specific, confined area and require a safety operator to be present in the vehicle. However, this represents a significant step toward obtaining permission to launch a commercial ride-sharing service with associated fees.

Elon Musk has relocated to Texas, joining a growing number of technology leaders leaving California. Despite this move, both SpaceX and Tesla, the companies he leads, continue to maintain substantial operations within California. In related news, Tesla capitalized on its considerable market value—$608 billion at the time—to file for the sale of $5 billion in shares following a period of record-high investor activity.

EnergyHub has joined forces with Enel X, the advanced energy services division of Enel Group, to broaden access to electric vehicle charging stations, positioning them as a flexible distributed energy resource (DER) for utility companies.

Ford Autonomous Vehicles LLC, Argo AI, and Ford Motor Company Fund are working with Miami-based nonprofit The Education Fund to facilitate contactless deliveries to students and families in need, utilizing Ford’s Fusion Hybrid self-driving test vehicles. Ford stated that it is developing a self-driving service in Miami-Dade County for both ride-hailing and goods delivery, and is offering assistance with student deliveries through this initial program.

Sensible 4, a self-driving technology firm based in Finland, is dispatching a team to the Finnish arctic for a two-week period to conduct autonomous driving tests in challenging winter conditions, including darkness and snow. The purpose of this testing is to gather data specific to winter environments and evaluate the performance of new software features in severe weather, according to a company statement.

The company’s ultimate aim is to implement its technology in self-driving last-mile shuttle buses. The software used in the test vehicle forms the foundation for the initial commercial release of its autonomous driving kit, Dawn, scheduled for 2022.

Uber CEO Dara Khosrowshahi has sent a letter to the governors of all 50 states requesting that they prioritize COVID-19 vaccinations for drivers and delivery personnel, recognizing them as essential workers.