GM’s Cruise Faces Federal Investigations After Accident Involving Pedestrian
General Motors’ Cruise recalled 950 driverless cars from the roads across the United States following a crash involving one of its robotaxis and is facing federal investigations.
Source: Reuters
The recall was the latest setback for GM’s Cruise unit that faces growing questions about its technology that GM says it key to its growth plans. GM Chief Executive Mary Barra reiterated in June a forecast Cruise could generate US$50 billion in revenue by 2030. Cruise lost more than US$700 million in Q3 2023. GM shares fell 1.6% to $27.95 on Wednesday.
Cruise reported the government investigations in a blog post in which the company also vowed to reform its culture stemming from a “failure of leadership” around the incident. One expert said the actions that Cruise took immediately after the accident were “egregious.”
Last October, a pedestrian in San Francisco was struck, by a hit-and-run driver and thrown into an adjacent lane and was hit a second time by a Cruise robotaxi that was not able to stop in time and then dragged the pedestrian. The recall addresses circumstances when the software may cause the Cruise AV to attempt to pull over out of traffic instead of remaining stationary “when a pullover is not the desired post-collision response,” Cruise said.
Cruise said it would halt operations nationwide after California regulators suspended the robotaxi operator’s license, saying the Cruise self-driving vehicles were a risk to the public. The company said it is temporarily halting production of its fully autonomous Cruise Origin.
The new probes and disclosures about Cruise’s mishandling of the accident intensified pressure on General Motors and its CEO Mary Barra, who has defended the automaker’s investment in the robotaxi operation despite more than US$8 billion in losses. GM reports Q4 2023’s results on 30 Jan 2024,and Barra could face more questions about the future of Cruise from analysts.
General Motors’ Cruise robotaxi unit dismissed nine key people amid an ongoing safety investigation according to a memo, which the company confirmed included Chief Operating Officer Gil West.
What You Missed:
AI Chatbot Disabled After Writing A Self-Scathing Poem About Company
ALI Technologies’ Flying Bike Fails To Take Off
Metal Prices To Ease With Softening Demand According To World Bank
Hyundai Mobis Unveils MOBION Featuring e-Corner System That Enables Sideway Movement
CES 2024 Showcases Latest Innovations In AI, Sustainability And Mobility
Tesla Dethroned By BYD As World’s Best Selling EV Maker
Quang Ninh Industrial Zones Face Electricity Shortage
Siemens And Intel To Collaborate On Advanced Semiconductor Manufacturing
Universal Robots Launches 30 Kg Cobot
Charlie Munger, The Man Who Saw BYD’s Potential Passes At 99
LG Energy Solutions And SK On Lay Off Workers As EV Battery Market Slows
WANT MORE INSIDER NEWS? SUBSCRIBE TO OUR DIGITAL MAGAZINE NOW!
CONNECT WITH US: LinkedIn, Facebook, Twitter
Letter to the Editor
Do you have an opinion about this story? Do you have some thoughts you’d like to share with our readers? APMEN News would love to hear from you!
Email your letter to the Editorial Team at [email protected]