OpenAI-Backed Ghost Autonomy Shuts Down Despite Raising Nearly $220 Million in Venture Capital Funding

By Jace Dela Cruz

Apr 04, 2024 03:24 AM EDT

Ghost Autonomy, an OpenAI-backed startup developing autonomous driving software for automaker partners, has ceased its operations despite raising nearly $220 million in funding. 

OpenAI/ Ghost Autonomy

(Photo : OpenAI/ Ghost Autonomy)

OpenAI-Backed Ghost Autonomy Shuts Down

According to TechCrunch, the company, which had approximately 100 employees and offices in Mountain View, Dallas, and Sydney, announced the sudden closure of its global operations on its website on Wednesday.

Ghost Autonomy decided to cease operations just five months after partnering with OpenAI. Through the OpenAI Startup Fund, the company gained early access to OpenAI systems and Microsoft Azure resources, a move that was expected to bolster its operations. Ghost Autonomy also received a $5 million investment from OpenAI.

In its most recent venture capital funding round last year, Ghost Autonomy raised $55 million, which included investments from prominent figures like Keith Rabois at Founders Fund and Mike Speiser at Sutter Hill Ventures.

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Ghost Autonomy Cited Uncertain Long-Term Profitability

In a message posted on its website, Ghost Autonomy expressed pride in its team's technical advancements and progress in pursuit of delivering software-defined consumer autonomy.

"We are proud of the substantial technical innovations and progress the Ghost team made on its mission to deliver software-defined consumer autonomy," Ghost Autonomy said in a note posted on its website. 

"The path to long-term profitability was uncertain given the current funding climate and long-term investment required for autonomy development and commercialization. We are exploring potential long-term destinations for our team's innovations," it added.

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