NEOM invests in developing autonomous vehicles, electric seagliders

Company executives at the agreement signing ceremony

NEOM announced an investment of $100 million, through the NEOM Investment Fund (NIF), into Pony.ai, a leading global autonomous driving company.

NEOM and Pony.ai establish joint venture to develop, manufacture and deliver autonomous vehicles, an autonomous driving service, and smart vehicle infrastructure, according to a statement.

Through the joint venture, NEOM and Pony.ai will develop, manufacture and deliver autonomous driving services, advanced vehicles, and smart vehicle infrastructure in NEOM and key markets in MENA, the statement added.

The investment includes the establishment of a local plant for autonomous vehicles, backed by the latest technologies, and setting up a regional R&D office, thanks to NEOM's strategic location for the development of Pony.ai vehicles in the region.

The investment signals NEOM’s ongoing commitment to building the world’s first truly sustainable, shared, autonomous, and integrated mobility system in the world.

Pony.ai is the first to operate fully driverless vehicles in both Beijing and Guangzhou and is among the first in China to obtain licenses to operate fully driverless vehicles in all four Tier-1 Cities in China (Beijing, Guangzhou, Shanghai and Shenzhen).

In a separate statement, NEOM announced that NIF has closed an investment into REGENT, the US-based electric seaglider manufacturer.

The investment positions NEOM as the largest single contributor in REGENT’s Series A round, enabling the company to take its technology to the next stage. NEOM’s investment is part of a multi-year partnership with REGENT to establish innovative seaglider passenger operations in the region.

The partnership includes a commitment by REGENT to establish a Middle East research and development (R&D), training hub to support seaglider enablement, as well as infrastructure and operational readiness, NEOM said. 

From 2024 onwards, young Saudi engineering and tech graduates working for NEOM will have the opportunity for work placements at REGENT and learn more about its innovative technology.   

REGENT will also conduct on-site testing to be ready for operational roll-out by the mid part of the decade, the statement said.