German teledriving technology startup Vay has secured a €34m ($36.86m) loan from European Investment Bank (EIB) to advance its teledriving operations across Europe.
The company will use the funding to expedite the development of its technology that allows vehicles to be remotely operated by professional drivers from teledrive stations.
Vay co-founder and CEO Thomas von der Ohe said: “We are proud that EIB has decided to invest in Vay as these funds will be instrumental in further developing our technology and supporting the company’s growth.
“We share the same goal and are committed to promoting economic development within the European Union. Moreover, this investment will play a crucial role in strengthening the confidence and trust that EU regulators, partners and consumers have in Vay, paving the way for the commercial rollout of our services in European cities.”
This innovation is expected to transform urban mobility by offering a ‘cost-effective’ alternative to traditional car-sharing and ride-hailing services.
Vay’s service enables customers to have cars delivered to their location by a teledriver and then drive the vehicle themselves. After use, the teledriver takes over again, eliminating parking concerns for users.
The company said it aims to extend its door-to-door car sharing to more European and North American cities and is seeking business-to-business partnerships.
Teledriving, which involves human drivers remotely controlling vehicles in real-time, stands apart from autonomous driving by being simpler and avoiding complex technical and legal challenges.
EIB vice-president Nicola Beer said: “Developed here in Europe, their innovative technology opens up new ways to make passenger and goods transport more efficient while delivering clean, efficient and inclusive urban mobility in our cities.”
Vay’s technology is currently the only one in Europe that operates on public roads without a safety driver.
The company has made significant strides, including the launch of a commercial teledriving service in Las Vegas at the beginning of 2024.
With successful test drives already completed in Hamburg, Germany, without a safety driver, Vay is collaborating with German authorities to prepare for a commercial launch.
Additionally, the company is in discussions with various cities and states in Europe and the US to explore potential service expansions.
