Chinese self-driving companies are in search of driving data, a critical component to commercialize the industry.
Regulators will allow driverless vehicle tests along 135 kilometers of the city’s public roads.
Automakers are reluctant to share data with internet companies.
Guangzhou and Changsha are the first cities in China to allow companies to apply for passenger transport using driverless vehicles.
Baidu CEO Robin Li said in 2017 that the company would seek to spin off its self-driving unit when it is mature enough.
The financing comes shortly after AutoX moved its headquarters from Silicon Valley to Hong Kong, and opened a China R&D center in Shenzhen this year.