Alphabet’s quiet $110B Waymo move blows up ‘other bets’ narrative

Core Viewpoint - Alphabet's Waymo is seeking to raise approximately $16 billion, aiming for a valuation of nearly $110 billion for its robotaxi business, with Alphabet expected to contribute around $13 billion to this funding round [1][4]. Group 1: Waymo's Funding and Valuation - Waymo's fundraising round will involve new investors such as Sequoia Capital, DST Global, and Dragoneer Investment Group, alongside Alphabet's significant financial commitment [4]. - The anticipated valuation of Waymo at $110 billion marks a substantial increase from its previous valuation of over $45 billion in October 2024, indicating strong investor interest [7]. Group 2: Alphabet's Financial Position - Alphabet's estimated $13 billion investment in Waymo represents about 13% of its cash reserves, which total approximately $98.496 billion as of September 30, 2025, and is less than 0.5% of Alphabet's market valuation of around $2.94 trillion [6]. - The financial commitment to Waymo does not pose a threat to Alphabet's balance sheet, suggesting that the company can easily finance this investment [6]. Group 3: Waymo's Competitive Edge - Waymo operates over 2,500 autonomous vehicles providing paid robotaxi services in the U.S. without a driver, distinguishing it from many competitors in the autonomous driving space [5].