Raquel Urtasun, founder and CEO of autonomous driving startup Waabi, has built one of the most promising AI companies in the self-driving space by rejecting the industry’s traditional capital-intensive approach. With over 25 years of AI research experience and a stint as chief scientist at Uber’s self-driving unit, Urtasun founded Waabi in 2021 with a revolutionary AI-first methodology that prioritizes simulation over physical road testing.
Waabi has raised over $280 million across two funding rounds, attracting investment from industry giants including Nvidia, Uber, Volvo Group Venture Capital, Scania Invest, and Porsche Automobil Holding SE. The company’s Series A round, led by Khosla Ventures, raised an impressive $83.5 million in the company’s first week. The oversubscribed Series B round in June 2024 brought in $200 million, with Urtasun strategically selecting investors to create what she calls a “best-in-class” cap table.
The Toronto-headquartered company is focused on autonomous trucking, with vehicles already operating on public roads in Texas for commercial operations through partnerships with Uber Freight and direct customers. What sets Waabi apart is its single AI system approach that handles all necessary self-driving functions, rather than cobbling together disparate AI components. The company’s breakthrough lies in its AI-generated simulation system that replicates real-world conditions for testing and training, dramatically reducing the need for expensive physical road testing.
Urtasun’s strategic investor selection reflects Waabi’s multifaceted needs: Khosla Ventures and Nvidia represent the AI technology bucket, understanding generative AI’s potential before mainstream adoption. Ingka Investments (IKEA’s investment arm) provides logistics expertise, while OEM partners like Volvo and Porsche bring automotive manufacturing knowledge. This diverse cap table provides not just capital, but strategic guidance across AI, logistics, and automotive sectors.
The founder emphasizes that building Waabi isn’t about an exit strategy but about transforming transportation. Her mentorship network includes Nvidia CEO Jensen Huang, Uber CEO Dara Khosrowshahi, and AI pioneer Geoffrey Hinton. Despite industry challenges, including a 2023 autonomous vehicle accident that spooked investors, Waabi’s simulation-first safety approach and consistent milestone achievement have maintained investor confidence. The company represents the convergence of generative AI and physical-world applications, positioning itself at the forefront of autonomous vehicle technology.
Key Quotes
I felt like the industry was using a capital-intensive approach that I didn’t think could scale self-driving vehicles. I saw an opportunity to build my own company with an AI-first approach.
Raquel Urtasun explains her motivation for leaving Uber’s self-driving unit to found Waabi. This quote captures the fundamental insight that differentiated Waabi from competitors and attracted major investors—the belief that traditional road-testing approaches were unsustainable and that AI simulation could revolutionize autonomous vehicle development.
Instead of a system with bits and pieces of AI playing a small role, I wanted to build a single AI system that can safely perform all the necessary tests for self-driving.
Urtasun articulates Waabi’s core technological differentiation—a unified AI system rather than fragmented components. This architectural decision represents a major departure from industry norms and demonstrates how her deep AI expertise informed the company’s technical strategy.
For me, building a company is not really about the money you raise, it’s about who’s on your cap table and helping you build the best possible company. I’m not building Waabi for an exit but to transform the world.
The CEO reveals her long-term vision and strategic approach to fundraising. This philosophy explains why Waabi was selective despite an oversubscribed Series B round, prioritizing strategic value over capital maximization—a perspective that resonates with mission-driven AI entrepreneurs.
Our safety approach, which is simulation-first and avoids adding risk to the roads before the technology is ready, resonated with investors.
Urtasun addresses how Waabi overcame investor concerns following a 2023 autonomous vehicle accident in the industry. This quote highlights how the company’s AI-driven simulation methodology provides both technical and safety advantages that differentiate it in a risk-sensitive market.
Our Take
Waabi’s trajectory offers crucial insights into the maturation of AI applications in physical industries. Urtasun’s ability to leverage 25 years of AI expertise into a commercially viable autonomous trucking company demonstrates that deep technical knowledge, combined with strategic business acumen, can disrupt established approaches. The company’s simulation-first methodology represents what could be called “AI-native” development—building from AI principles rather than retrofitting AI into traditional processes.
Particularly noteworthy is Waabi’s strategic cap table construction, which reads like a masterclass in startup fundraising. By securing investors across AI technology (Nvidia, Khosla), logistics (IKEA), and automotive manufacturing (Volvo, Porsche, Scania), Urtasun has created a support network that provides domain expertise across every critical aspect of autonomous trucking. This approach may become the standard for complex AI deployments requiring multi-industry coordination. The company’s success also validates the generative AI for physical world thesis, suggesting we’re entering an era where AI simulation can dramatically accelerate development cycles for robotics, autonomous systems, and other embodied AI applications.
Why This Matters
Waabi’s success represents a paradigm shift in autonomous vehicle development, demonstrating that AI-first approaches can outpace traditional capital-intensive methods that dominated the self-driving industry for years. The company’s ability to raise $280 million and attract tier-one investors like Nvidia and Uber validates the generative AI approach to physical-world problems, a trend that could reshape multiple industries beyond transportation.
The strategic composition of Waabi’s cap table illustrates how modern AI startups must bridge multiple domains—technology, logistics, and manufacturing—to succeed in complex markets. This cross-industry collaboration model may become the blueprint for future AI companies tackling real-world challenges. Furthermore, Urtasun’s emphasis on simulation over physical testing addresses critical concerns about autonomous vehicle safety while dramatically reducing development costs and timelines.
As the autonomous trucking market faces a driver shortage crisis and increasing demand for logistics efficiency, Waabi’s technology could fundamentally transform freight transportation. The company’s progress also signals growing investor confidence in AI applications beyond software, particularly in sectors requiring physical deployment and regulatory navigation.
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Source: https://www.businessinsider.com/founder-waabi-cap-table-ai-nvidia-uber-2025-2