Exclusive: Finnish startup secures €25M to implement a 'Donut' motor in electric vehicle wheels.

Exclusive: Finnish startup secures €25M to implement a 'Donut' motor in electric vehicle wheels.

      Finnish startup Donut Lab has raised €25 million in seed funding to expand its in-wheel hub motors for electric vehicles across land, sea, and air.

      In addition to the funding, Donut Lab is establishing a research and development hub in Chippenham, UK. Risto Siilasmaa, a seasoned tech investor and former chairman of Nokia, is joining the company's board.

      Marko Lehtimaki, the CEO and co-founder of Donut Lab, stated that the investment reflects ongoing interest in the company’s technology. He commented, “It shows us [the founders] what we have always believed, that our tech solution is genuinely revolutionary.”

      The company's main innovation is a hollow hub motor called the "Donut." Rather than being located under the hood or seat, the motor fits directly into the wheel rim. This design eliminates the need for components like axles, transmissions, or differentials, potentially making the vehicle lighter and more cost-effective compared to conventional electric vehicles.

      Verge Motorcycles originally created the distinct hollow, rear-hub motor design and implemented it in a motorcycle. In 2024, Donut Labs was spun off as a subsidiary to extend that concept to a variety of electric vehicles, ranging from e-scooters and drones to electric cars and semi-trucks.

      The 21-inch version designed for cars provides 630 kW of power and 4,300 Nm of torque—figures typically associated with hypercars—yet weighs only 40 kg. Donut asserts that it delivers the highest torque and power density of any EV motor currently available.

      The company claims to have addressed the persistent issue of unsprung mass—referring to the weight of components not supported by the suspension, which can affect handling and ride comfort. Previous efforts to integrate the motor into the wheel negatively impacted these characteristics, but Donut believes its design is lightweight enough to render the effect negligible.

      In addition to motors, Donut is also working on batteries, software, and computer connectivity as part of its goal to become a comprehensive resource for EV manufacturers. The company is also aiming at a wide array of applications beyond the traditional automotive sector, including aerospace, defense, and robotics.

      Nonetheless, scaling its operations across land, sea, and air vehicles—while also developing batteries, software, and complete EV systems—is a substantial challenge, even for well-funded companies. It remains to be seen if Donut Lab can achieve its ambitious aspirations.

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Exclusive: Finnish startup secures €25M to implement a 'Donut' motor in electric vehicle wheels.

Finnish startup Donut Lab has raised €25 million in seed funding to expand its in-wheel hub motors for electric vehicles on land, sea, and air.