The Announcement
Metropolis Technologies, the largest parking operator in the United States, just closed a $1.6 billion funding round at a $5 billion valuation.
The package includes $500 million in Series D equity led by LionTree, plus a $1.1 billion Term Loan B from JPMorgan Chase.
This is one of 2025's biggest AI infrastructure plays, and it signals something much larger than parking.
What Metropolis Actually Does?
Don't let the “parking” label fool you. Metropolis uses computer vision and AI to recognize vehicles and enable frictionless payments without cards, apps, or cash.
Their technology creates what CEO Alex Israel calls the “Recognition Economy”—a world where physical spaces become intelligent enough to know who you are and process transactions automatically.
The company already processes $5 billion in annual transactions across 4,200+ locations, serving 20 million active members who add 1 million new members monthly.
Founded in 2017 by Alex Israel and co-founders, Metropolis grew by doing something counterintuitive: instead of grinding through B2B sales cycles, they acquired their customer base.
In 2024, they took SP+ private in the largest venture-backed M&A deal of the year. In 2025, they acquired Oosto, a leader in AI biometrics, broadening their recognition capabilities beyond vehicles.
Funding Timeline & Previous Rounds
Metropolis has raised approximately $3.5 billion in total debt and equity financing since inception:
| Round | Amount | Year | Lead Investor |
|---|---|---|---|
| Seed | $20M | 2019 | Zigg Capital |
| Series A | $41M | 2021 | 3L Capital |
| Series B | $167M | 2022 | 3L Capital, Assembly Ventures |
| Series C | $1.1B | 2023 | 3L Capital, Eldridge Industries |
| Series D | $500M equity | 2025 | LionTree |
| Term Loan B | $1.1B debt | 2025 | JPMorgan Chase |
Why This Funding Matters?
The $1.6 billion isn't just capital—it's a bet on infrastructure at scale. Metropolis is moving beyond parking into retail, gas stations, drive-thrus, hotels, and office buildings.
The Series D attracted SoftBank Vision Fund 2, Vista, Eldridge Industries, DFJ, and other heavyweight investors. This isn't early-stage risk capital; it's the money that backs companies ready to own entire market verticals.
The newly raised capital will fund technical hiring, product acceleration, and geographic expansion.
But the real play is licensing their technology as software to retailers and operators who can't afford to own this infrastructure themselves.
CEO Alex Israel said it plainly:
We're not buying 1,000 McDonald's franchises. Instead, we're licensing technology to operators.”
This SaaS-enabled approach changes the unit economics dramatically and explains why investors see this business as a multi-hundred-billion-dollar opportunity.
Key Metrics:
Company Overview & Social Links
| Platform | Links |
|---|---|
| Website | metropolis.io |
| linkedin.com/company/metropolisio (57K+ followers) | |
| @metropolisio | |
| @metropolisio |
The Road Ahead
Metropolis is cash-heavy and strategically positioned to dominate physical infrastructure AI for the next decade. The real question isn't whether they'll grow—it's whether regulators and privacy advocates will accept AI that recognizes you everywhere you go.
For now, investors are all in. The company's technology works at scale, margins are improving, and the addressable market is nearly unlimited.
