Tuesday, 22 April 2014 00:00

Airbnb Closes Funding Round at $10 Billion Valuation

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Airbnb has closed a large round of funding at an 11-figure valuation, according to multiple reports.

The Wall Street Journal reports hearing from sources that Airbnb has sealed a deal to raise $450 million led by TPG, a private equity firm, while website TechCrunch reported that the round was for $500 million. Both publications put the valuation at $10 billion.

Reps for Airbnb did not immediately respond to our request for comment.

The current valuation for the room rental service is higher than the market cap of some large hotel chains like Hyatt Hotels and puts Airbnb in league with other fast-growing tech companies like Dropbox.

Airbnb launched in 2008 and has since been used by more than 10 million guests. Aside from continuing to scale its operations and deal with occasional legal battles, the funding could help Airbnb as it looks to expand beyond room rentals.

“We don’t think we’re just in the business of providing accommodation,” Nathan Blecharczyk, cofounder and CTO at Airbnb, said in one recent interview. “Really, what our customers are caring out, is their trip as a whole. We want to think about that pretty holistically."

The latest funding round had been rumored for weeks and brings Airbnb's total funding to date to around $775 million.

Read 542 times Last modified on Monday, 21 April 2014 10:59
Brian Cohen

Brian is the Chief Editor at fundedflow