A rising EV startup star gets $100M and Tesla’s win-lose federal funding moment


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Before we move on to this week’s news, we have one more roundup of transportation technology at CES 2025. As I noted last week, autonomous vehicle tech is everywhere. But there are other themes, too. Check it out here.

Today, on the latest and greatest in the future of transportation technology news.

A small bird

blinky cat bird green
Image Credits:Bryce Durbin

No little bird this week, but thought it was the best place to say goodbye Research on the Hindenburgthe short-seller firm that investigates tips from whistleblowers and uses its own research to root out fraud in publicly traded companies. Hindenburg Research founder Nate Anderson posted a note Wednesday the company closed.

In the transportation and climate technology world, the Hindenburg is famous for its disclosure Nikola Motors, Lordstown Motorsand billionaire Gautam Adani of The Adani Group, who indicted for an alleged plot for paying more than $250 million in bribes to Indian officials in exchange for contracts for a 12-gigawatt solar power project.

Got a tip for us? Email Kirsten Korosec at [email protected]Sean O’Kane and [email protected]or Rebecca Bellan of [email protected]. Or look these instructions to learn how to contact us through encrypted messaging apps or SecureDrop.

Deals!

the station is money
Image Credits:Bryce Durbin

A bunch of deals this week! Here’s what came first.

Caramela startup that helps car sellers and buyers complete the final steps of the transaction, is which was obtained through eBay. The terms were not disclosed.

Start EV Harbinger raised $100 million in a Series B round co-led by early Tesla investor Capricorn Investment Group and Leitmotif, a new US fund co-founded by the former M&A head for Volkswagen. Also participating in the round were Tiger Global and mobility venture firm Maniv, both investors.

Sarla Aviation raised $10 million in a new round of funding led by Accel and including angel investors such as Flipkart co-founder Binny Bansal, Zerodha co-founder Nikhil Kamath, and Swiggy co-founder Sriharsha Majety.

Tesla a winner and a loser in the latest round of federal funding for electric charging infrastructure. The Department of Transportation rejected Tesla in its application for $97 million to fund a big rig charging corridor from California to Texas. But Tesla, along with three other industry partners, ended up being given a different one $100 million in funding to build electric truck charging stations throughout Illinois.

Shippeoa startup that develops real-time tracking software for all modes of transportation, has raised $30 million in a funding round led by Toyota’s growth fund Woven Capital. Battery Ventures, Partech, NGP Capital, Bpifrance Digital Venture, LFX Venture Partners, Shift4Good, and Yamaha Motor Ventures also participated.

Great reads and other tidbits

Image Credits:Bryce Durbin

Autonomous vehicles

Innovation in Aurora is the taking federal safety regulators to court in a case centering on the common practice of placing physical warning triangles around semi trucks stopped on highways. TL; DR: This could have huge implications for self-driving truck companies operating in a regulatory environment designed around people.

the US Department of Commerce announced a final rule that would ban the sale or import of connected cars from China and Russia due to national security concerns. The rule would also ban Chinese car companies, such as WeRide and Pony AI, from testing self-driving cars on US roads.

the National Highway Traffic Safety Administration its investigation is closed to the navigation and whether the company’s robotaxis implements appropriate pedestrian surveillance. The agency noted that Cruise has issued a recall of its software and that GM’s self-driving vehicle subsidiary has since ceased business operations.

Electric vehicles, charging, and batteries

Ark Boats arrived at CES 2025, and senior reporter Sean O’Kane took the Arc Sport boat for a fun ride on Lake Mead. Here what was he thinking on the latest startup offer.

Tesla revealed a new look Model Y for the Chinese and other Asia Pacific markets, marking the SUV’s first major update since its launch in 2020.

Sean DuffyPresident Donald Trump’s nominee to head the US Department of Transportation, thinks electric car owners should payment for the use of roads. As a reporter Rebecca Bellan explained, achieving that goal is not so easy.

Tires this week

2025 Volkswagen ID. Buzz Pro S Plus
Image Credits:Kirsten Korosec

Before the holiday, I had the opportunity to enter a production prototype of the 2025 Volkswagen ID. Buzz Pro S Plus. I plan to spend more time driving the production version soon, but for now here are some thoughts on this all-electric minibus priced at $69,595.

I have been waiting for this electric minibus since 2017 when it was presented by Volkswagen as a concept. This reimagined microbus has an almost impossible mission. It should be instantly recognizable and give a nod to its iconic past while paving a new futuristic and EV path forward. And in many ways, the ID. Buzz did that. It is eye-catching; people stop me all the time. Fun while practical. And even though it’s more expensive than other minivans on the market, it’s not completely outrageous.

The version I tested was all-wheel drive, with Metro Silver Metallic paint and “copper” interior with leatherette seats. There’s a ton of space – very cavernous – and beautiful details throughout, giving it an upscale feel. Maneuvering tight city streets is easy, despite its 195.4-inch height. Which yeah, it’s been a long time!

It met many of my expectations. But I wonder about its future. This vehicle would be great as a kid and grocery hauler around town. I can see it being used by commercial fleets in urban environments as well. But with a 91 kilowatt-hour battery that gets an estimated 234 miles of range, I wonder if it can live up to its past as a roadtrippin’ machine?

Side note: In the last newsletter, I offered some news on my Zoox robotaxi rides. Here is mine full write up in my Zoox Las Vegas experience.

What is this week’s “Wheels”? It’s an opportunity to learn about the different transportation products we’re testing, whether it’s an electric or hybrid car, an e-bike, or even a ride in an autonomous car.



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