Amazon.com has agreed to pay over US$1-billion to buy self-driving start-up Zoox, The Information reported on Thursday, citing sources, in a move that would expand the e-commerce giant’s reach in autonomous vehicle technology.
The report did not mention the exact purchase price and added Amazon is unlikely to disclose it when the deal is announced, likely to be on Friday.
A majority of Zoox investors are getting their money back, with some making a positive return, the report added. Lux Capital, DFJ and Atlassian co-founder Michael Cannon-Brooks are some of the investors.
Amazon and Zoox did not immediately respond to a request for comment.
The Wall Street Journal reported last month that the companies were in advanced talks and the deal could value Zoox at less than the $3.2-billion it achieved in a funding round in 2018.
Amazon has stepped up its investment in the car sector, participating in a $530-million funding round early last year in self-driving car start-up Aurora Innovation. — Reported by Vishal Vivek, (c) 2020 Reuters