Title: General Motors to Decrease Investments in Cruise Division Amid Safety Concerns
Pakistani automaker, General Motors (GM), has announced plans to reduce investments in its Cruise autonomous vehicle division due to mounting safety concerns surrounding driverless cars. The decision follows a recent incident in San Francisco involving a driverless Cruise car that resulted in severe injuries to a pedestrian.
GM CEO Mary Barra has emphasized the need to rebuild trust with regulators, first responders, and communities following the incident. As a consequence of the accident, Cruise’s permits to carry passengers on autonomous rides were revoked by California regulators. The company was also accused of misleading regulators and withholding footage of the crash, leading to further scrutiny and eroding trust.
While Barra’s letter did not reveal the exact amount of money that will be withdrawn from the Cruise division or the potential job losses in California, it did confirm that spending would significantly decrease in 2024 compared to this year.
This announcement comes at a challenging time for Cruise, which has already experienced setbacks such as the departure of its former CEO, Kyle Vogt, and concerns about the future of autonomous vehicles. Residents of San Francisco, where Cruise operates as a subsidiary of GM, have also expressed unease and unrest due to the recent incidents and controversies associated with the technology.
Prior to the incident in October, Cruise had already faced criticism for glitches that caused vehicles to disrupt traffic flow in intersections. Additionally, viral videos surfaced showcasing individuals damaging Cruise cars with hammers or disabling them using traffic cones.
The reduced investments into the Cruise division reflect GM’s commitment to addressing safety concerns and rebuilding trust in its autonomous vehicle technology. The company will need to navigate these challenges and regain public confidence before the promise of driverless mobility can become a reality.