Chinese self-driving startup Momenta has raised $500 million in a Series C funding. This round of funding comes after GM invested $300 million in the startup. This means now Momenta is valued at over $ billion.
Momenta’s product portfolio includes advanced driver assistance systems which it sells to OEMs like GM and another tier 1 suppliers like Bosch. It also does R&D on unmanned level 4 ADAS systems. It has a high-profile constellation of investors including China’s SAIC group, GM, Toyota, Mercedes Benz and Bosch. It also has Temasek which is Singapore’s sovereign fund and Jack Ma’s Yunfeng Capital onboard as institutional investors.
Momenta’s main point of differentiation is its relationship with automotive OEMs as many of the top ones are its investors as well. Many of its peers have taken a different path as they have developed in-house robotaxi fleets which is a more capital-intensive operation. It harvests data from its customers who are mass-producing vehicles.
In China, it has Pony.AI and WeRide as its main rivals, and while they have raised a lot of money Momenta’s fundamentals are stronger because of its frugal operations.
For GM, Momenta deploys a solution that is a mixture of consumer-grade millimeter-wave radars and high definition cameras which will be used in the automaker’s cars sold in China. Momenta also opened an office recently in Stuttgart in Germany probably because of its relationship with Mercedes Benz which is also based out of the same city.