Drone delivery startup Zipline valued at $21.5 billion in latest funding round
UBER•Zipline raised $1.5 billion in a funding round that valued the drone delivery startup at $21.5 billion post-money, nearly triple its $7.6 billion valuation about 10 months earlier.
1. Funding and plans
Zipline raised $1.5 billion in a funding round led by Paradigm, WCM Investment Management and Layer Global, with participation from Uber, Tiger Global and J.P. Morgan, among others. The company plans to use the funds to expand US manufacturing capacity, hire workers and develop a nationwide drone delivery network.
2. Expansion and competition
Zipline operates across four continents. It partnered with Uber in August to bring autonomous drone delivery to Uber Eats customers, with Uber also taking a strategic stake at an undisclosed valuation. Amazon plans to expand its drone-delivery service from 11 locations to about 500 US locales by year-end; regulatory approvals and community concerns over noise and safety remain barriers to broader adoption.
