Uber Technologies Inc. is “on track” to launch an initial public offering next year, and is unlikely to sell its self-driving car unit anytime soon, Chief Executive Dara Khosrowshahi said in an interview Wednesday.
Speaking to Reuters at a New York event unveiling new safety measures for Uber, Khosrowshahi said the Advanced Technologies Group — which handles self-driving technologies — will still be a part of Uber after it goes public.
“Ultimately, it is a big asset that we are building and we can monetize that in whatever way we want to. [Selling is] not something we’re thinking about it at this point,” he told Reuters. In July, Uber shut its self-driving truck unit to focus on cars.
Khosrowshahi said Uber hopes to resume testing its self-driving cars before the end of the year. The program was suspended earlier this year after a fatal crash in Arizona.
“The growth rates for a company our size are unrivaled. Right now, we’re on track for an IPO next year, market conditions permitting,” Khosrowshahi said.
Last August, Khosrowshahi said he was aiming for an IPO in 18 months — roughly the end of 2019.
He also said he would be unconcerned if ride-sharing rival Lyft went public first, saying there would be plenty of demand for both companies. Last week, Bloomberg News reported Lyft was targeting its IPO for next April or May, hoping to beat Uber to the public markets. Another rival, China’s Didi Chuxing Technology Co., is also weighing an IPO, possibly by the end of this year.
Last week, Uber secured a $500 million investment from Toyota Motor Co. 7203, -0.80% TM, -1.26% to jointly work on autonomous vehicles, and Khosrowshahi said more joint projects are likely — “it’s not going to end there,” he said.
Toyota’s investment valued Uber at about $72 billion, and its eventual public offering could be one of the biggest ever for a tech company.
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