Airbnb has confirmed it has raised $1.5 billion in new funding for its on-demand accommodation platform. The company disclosed the new investment in an SEC filing today that gives it a reported valuation of around $25 billion, making it one of the most valuable companies in the world (at least on paper), next to Xiaomi ($45 billion) and Uber ($62.5 billion).
In June, The Wall Street Journal reported that the company was raising $1.5 billion, with the round being led by General Atlantic Inc., Hillhouse Capital Group of China, and Tiger Global Management.
What the company will do with the new investment is anyone’s guess, but chances are that it’ll be used to fight off regulators and help its community of hosts establish home-sharing clubs. These independent entities are to evangelize for the sharing economy movement and convince legislators to stop harassing their way of living. Airbnb recently successfully defended itself and others in its space from a proposition on the San Francisco ballot that would have implemented stricter regulations. The company spent $8 million on its defense.
Of course, the new funding could also go towards developing more tools for hosts and guests to really take advantage of the concept, similar to the ones that Airbnb unveiled at its Airbnb Open conference last month, or perhaps striking up more partnerships like the one it formed with American Express.
To date, Airbnb has raised nearly $2.4 billion in funding.
VentureBeatVentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative technology and transact. Our site delivers essential information on data technologies and strategies to guide you as you lead your organizations. We invite you to become a member of our community, to access:
- up-to-date information on the subjects of interest to you
- our newsletters
- gated thought-leader content and discounted access to our prized events, such as Transform 2021: Learn More
- networking features, and more