According to a report by Bloomberg News, Chinese ride-hailing company Didi is currently seeking new funding for its autonomous vehicle technology unit, which could potentially value the unit at $5 billion.

The interest in self-driving cars is particularly high in China, following the initial public offerings (IPOs) of companies like WeRide and Pony AI, with market capitalizations of $4.7 billion and $5.25 billion, respectively, as of Tuesday morning.

Didi’s autonomous driving unit, established in 2020, has raised a total of $1.55 billion to date, according to PitchBook data, including a $298 million round in October 2024. Sources familiar with the matter have informed Bloomberg that the unit is aiming to raise several hundred million dollars more and is engaged in discussions with investors, including a Beijing-based fund, to assess interest.

The company is currently testing a fleet of approximately 200 autonomous vehicles in cities such as Beijing, Guangzhou, and Shanghai. However, it has not yet commenced commercial robotaxi operations.

The upcoming funding is expected to be utilized by Didi to further develop its autonomous vehicle technology and accelerate the mass production of its electric robotaxis, which are being built in partnership with EV manufacturer GAC Aion. The first batch of these robotaxis is scheduled to be produced in 2025, as previously reported.

TechCrunch has reached out to Didi for additional information regarding this development.