Below the Line

Airbnb raises $555 million from Google Capital, Technology Crossover Ventures

By Haley Velasco | Freelance journalist

September 23, 2016 | 3 min read

Airbnb has raised $555m at a $30 billion valuation, according to Fortune. This money is part of a $850m round that it filed to raise last month.

Airbnb raises $555 million from Google Capital, Technology Crossover Ventures

Airbnb raises $555 million from Google Capital, Technology Crossover Ventures

Google Capital, a unit of Alphabet which is Google’s parent holding company that invests in late-stage startups primarily for financial gains, and Technology Crossover Ventures, which invests in expansion stage information technology companies, led the deal and Airbnb's current valuation makes it the second most valuable U.S. startup behind Uber, which is valued around $68bn.

This new investment follows a $1bn credit facility Airbnb secured in June, which brings it to $4bn in total funding to date.

Airbnb plans to file a Form D with the Securities and Exchange Commission with details of the raise, and that the round has not closed yet.

This round of funding is not the largest in the company’s history. In 2015, it reportedly raised $1.5bn.

Airbnb has come under scrutiny recently when allegations were made that owners were discriminating against guests based on their race, gender and age. The situation prompted a lawsuit to be filed against the home sharing company. To counteract the situation, the company hired Laura Murphy and Associates to compile a report and help formulate an anti-bias policy to be required by all owners from November 1 on.

In another market, Airbnb is challenging the City of Seattle, whose leadership, including councilmember Tim Burgess and Mayor Ed Murray, are trying to pass legislation that would restrict Airbnb rentals — making it illegal to rent out living spaces for more than 90 days per year and add extra permission forms for those renting their first-homes. Airbnb has countered by creating a series of advertisements that is peppered throughout Seattle to promote the service and the good that the company says it has done for the community.

Below the Line

More from Below the Line

View all

Trending

Industry insights

View all
Add your own content +