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Category: US Motoring Press
GM Cruise delays the launch of autonomous ride-share, adds to test fleet
General Motors Cruise test vehiclesSource: General MotorsCruise, the subsidiary of General Motors developing self-driving vehicles and services, said Wednesday it is postponing a plan to launch an autonomous ride-share service by the end of 2019.
It is the latest indication automakers and tech firms are finding it tougher than expected to put self-driving cars on the roads for public use.
Cruise CEO Dan Ammann announced the delay in launching an autonomous ride-share program through a post on Medium. “Our first deployment needs to be done right and we will only deploy when we can demonstrate that we will have a net positive impact on safety on our roads,” he said. The company has tabbed San Francisco as the location for the service when it eventually starts.
Before that happens, Cruise will be put more test vehicles on the road in San Francisco to better understand and solve the challenges of navigating busy city streets. Right now, Cruise has a fleet of 180 specially designed all-electric GM cars, modified with lidar sensors, cameras and radar logging thousands of miles every day, all with a safety driver ready to take control of the car if a complex or dangerous situation arises.
Since late 2017, Ammann and General Motors have said they plan to have an autonomous ride-share service on the road by the end of 2019. That optimism is one reason why the Softbank Vision Fund, Honda and others have invested more than $7.25 billion into Cruise, pushing its valuation to $19 billion last May, according to company figures.
The appeal of robotaxis is the potential to generate large profits by eliminating the driver, the biggest cost facing Uber, Lyft and other ride-hailing companies. In previous briefings with reporters, Cruise has estimated the cost to operate an autonomous ride-share program in San Francisco could be as low as $1.50 per mile, 40% below the cost of similar services operated by a human driver.
While investors may be optimistic about the potential profits of robotaxis driving passengers around a city, those who track the industry are not surprised Cruise is tapping the brakes on its plans. “The closer you get to ground zero and putting an autonomous vehicle or vehicles on the road, the difference between where the technology is now and where it needs to be cannot be ignored,” said Mike Ramsey, automotive analyst for Gartner Research. “The right thing to do is to not put a product out on the road too soon.”
Late last year, Waymo, Alphabet's autonomous vehicle division, launched its own commercial ride-share service in metropolitan Phoenix. Tesla CEO Elon Musk has promised to have “a million robotaxis” on the road by the end of 2020, capitalizing on Tesla's autopilot technology.
“I feel very confident predicting autonomous robotaxis for Tesla next year,” Musk told analysts in May. He later admitted his timing for plans is sometimes wrong.
For Cruise, the focus now is expanding the number of miles its test fleet is driving.
“Having our cars running many more miles on the road will further accelerate our rate of learning and safety validation,” said Ammann. “It will also give us crucial operational learnings from running a larger scale fleet and a larger scale ride service, which we currently operate for our employees.”
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JB Straubel wasn’t just Tesla’s CTO — he invented the carmaker’s core technologies
JB Straubel, Tesla Motors chief technical officer.Getty ImagesWhen Tesla CEO Elon Musk announced on Wednesday that technology chief JB Straubel is leaving, any close follower of the electric carmaker knew it represented more than the departure of a typical CTO.
In the first decade of Tesla's existence, Straubel, who's among the group of co-founders, invented or co-created many of the company's signature technologies. His name is on a majority of patents that Tesla filed, especially relating to electric vehicle batteries — safety, architecture, monitoring and power management.
“JB is absolutely brilliant,” said Gene Berdichevsky, employee No. 7 at Tesla, in an email. “When I started, we did some of the technical development in his garage! I think there would be no Tesla as it is today without JB.”
Straubel, who's now 43, lobbied early on for Tesla to pursue a supercharger strategy, instead of going down the road of battery-swapping. Today, that network of charging stations, available for Tesla drivers only, is a boon for the company because it can offer greater service to customers, while drivers of most other electric cars are relegated tocompete for time at generic chargers.
Musk delivered the news of Straubel's exit this week while issuing some disappointing financial results to Wall Street. It was tough timing for a company that's struggling to find a profitable model for building and selling cars as it'sinvesting in self-driving technology. Tesla recorded a quarterly loss of $408 million, and its automotive margins eroded as customers showed a clear preference for the lower-priced Model 3 sedans.
Drew Baglino, who Straubel recruited to Tesla in 2006 and was most recently vice president of technology, is now stepping into the role of CTO. The Straubel announcement coupled with the weaker-than-expected results pushed the stock down 14% on Thursday, marking the steepest drop of the year.
A Tesla spokesperson didn't respond to a request for comment.
Jeffrey Straubel, chief technical officer and co-founder of Tesla Motors Inc., center, speaks as billionaire Elon Musk, chief executive officer of Tesla Motors Inc., left, and Yoshihiko Yamada, consultant at Panasonic Corp., look on during a press event at Tesla's new Gigafactory in Sparks, Nevada, U.S., on Tuesday, July 26, 2016.Troy Harvey | Bloomberg | Getty ImagesMusk and Straubel met in 2003, when Straubel intended to pitch him on the idea of building an electric airplane. But their shared passion for electric vehicles led Musk to introduce Straubel to Tesla's founders, Martin Eberhard and Marc Tarpenning. Musk backed Tesla and joined the board in 2004, a month after Straubel joined, and became CEO in 2008.
In discussing Straubel on the earnings call, Musk said, “if we hadn't had lunch in 2003, Tesla wouldn't exist basically.”
Even before his Tesla days, Straubel was working on electric cars. Berdichevsky, who is now CEO of Sila Nanotechnologies, said he knew Straubel back when he was converting a classic Porsche into an electric vehicle. He also built and raced solar cars on a team at Stanford.
He “was always a true missionary and visionary for EVs well before the world truly cared,” Berdichevsky said.
More recent Tesla employees describe Straubel as well-respected and a gentler voice in the room next to the bombastic and outspoken Musk. He's an engineer at heart, a licensed pilot and father who wears khakis most of the time. His obsession was always to reduce costs per kilowatt hour — to make energy-dense vehicle batteries at a lower cost.
Straubel's focus at Tesla was on building technology, teams and partnerships, and he was more than willing to cede the limelight to Musk, one reason the two got along so well, former employees said.
He split his time between Tesla's car assembly plant and offices in California and the Gigafactory, which he helped plan and build in Sparks, Nevada. He practically lived in trailers amid the rocks, dirt and construction materials until the massive battery plant was up and running in 2016, according to people familiar with the matter.
At Straubel's urging, Tesla built charging capabilities into the Model S, before the Supercharger network was developed. He also led propulsion and software teams through the development of the Model S and Model X.
He also led the development of stationary energy products even before Tesla acquired SolarCity. Today, Tesla's Powerwall and Powerpack function as home batteries and utility-scale battery installations that make it possible to store and use solar and wind power.
Tesla cars at charging stations in Beijing, China.Meghan Reeder | CNBCOutside of Tesla, Straubel has a stealthy recycling start-up called Redwood Materials, which registered last year to do business in the state of Nevada.
“I can't wait to see what JB does next,” Berdichevsky said. “There are still so many adjacent problems to solve in energy and I'm sure that's what he's thinking about.”
In terms of his successor as CTO, Berdichevsky said, “if there's anybody from the early days who can step into the big shoes JB leaves behind, and carry on the technical vision, it's Drew.”
Gene Munster, a longtime Tesla bull, said the company is well-prepared to deal with Straubel's departure:
“The bad news is that JB Straubel was foundational to the company, and is leaving,” Munster said in an interview. “The good news is there's now a framework in place for other people to step in. He did the heavy lifting of getting them to where they are, and now it's done. They are in a position to capitalize on an undeniable truth around the growth of electrification and autonomy.”
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Bentley rolls out electric, eco-friendly EXP 100 concept car for 100th anniversary
Bentley EXP 100 GTSource: BentleyBentley is celebrating its 100th anniversary by unwrapping a new prototype, the EXP 100, an all-electric, eco-friendly concept car the British automaker calls “the physical embodiment of the future Bentley brand.”
“The Bentley EXP 100 GT represents the kind of cars we want to make in the future,” said design chief Stefan Sielaff, in a new release ahead of the EXP 100's formal debut Wednesday. “Like those iconic Bentleys of the past, this car connects with its passengers' emotions and helps them experience and safeguard the memories of the really extraordinary journeys they take.”
While it retains classic Bentley cues, starting with the “Flying B” hood ornament, the EXP 100 marks a significant shift from the sort of staid and heavy products long associated with the brand. For one thing, it adopts an all-electric powertrain with an estimated range of about about 440 miles per charge and can operate in either autonomous or manual mode. The concept car also introduces “leather-like” textiles, sustainable woods and paint made from recycled rice husks.
Bentley EXP 100 GTSource: BentleyBentley has undergone some massive changes since splitting off from long-time sibling, Rolls-Royce two decades ago. Now the pinnacle brand for parent Volkswagen, it's broadened its lineup with products such as the Flying Spur, Continental GT as well as the Bentayga, the SUV that is now its biggest seller.
Bentley sales are up nearly tenfold since 2003, selling 9,560 vehicles last year, although demand is down from the 2016 peak of 11,300. The EXP 100 is meant to set the stage for the sort of products that Bentley hopes will kick-start demand again.
Like other high-line luxury brands, it faces numerous challenges, including new global emissions and fuel economy mandates, such as China's New Energy Vehicle, or NEV, standard that encourages buyers in Bentley's largest market to shift to zero-emission vehicles. Bentley has only partly addressed that with the plug-in hybrid version of Bentayga.
Going forward, it's expected to invest heavily in battery propulsion, like the hybrid option package for Bentayga, as well as all-electric models. The EXP 100 gives a broad hint of the driveline system Bentley's next-generation sedans, coupes and SUVs will use. Motors on both the front and rear axles will provide an electric all-wheel-drive system with torque vectoring – a technology that helps a car steer through tight corners by shifting power to its outer wheels.
Bentley EXP 100 GTSource: BentleyThere's no pricing information for the EXP 100, but the cheapest Bentley on the market right now starts at just under $200,000 with higher-end models with all the upgrades pushing prices for some over $1 million.
By tapping into developments led by parent VW, Bentley anticipates its batteries will be lighter and more energy-dense, meaning greater range while also reducing the overall weight of the vehicle. It also plans to shift from heavy steel to aluminum and other lightweight materials that can further enhance both range and performance. The EXP 100 is estimated to have a top speed of 186 mph and to be able to launch from 0 to 100 kmh, or 62 mph, in just 2.5 seconds —which would make the concept its fastest street-ready model Bentley ever.
Though measures 228 inches, nose to tail, or nine inches longer than Bentley's current flagship vehicle, the Mulsanne, the EXP 100 is 1,800 pounds lighter at 4,180 pounds.
The EXP is intended to operate in both manual mode, “for when one wishes to enjoy the thrill of driving,” the carmaker said, or in fully autonomous mode. That technology is still in its infancy. Near-term, Bentley products — like those of other VW Group brands — are expected to begin phasing in more and more advanced, semi-autonomous driving systems.
Bentley EXP 100 GTSource: BentleyThe new Bentley concept, as much as anything, is intended to showcase new technologies, as well as the brand's shifting approach to interior design, company officials told CNBC. That includes using sustainable alternatives, like synthetics claimed to mimic the look and feel of traditional, luxury materials. That doesn't mean phasing out leather and wood entirely. The EXP 100 features Copper Infused Riverwood, “a sustainable wood from naturally fallen trees that has been preserved for 5,000 years in peat bogs, lakes and rivers,” Bentley noted.
The EXP 100 uses artificial intelligence in a number of ways, among other things, pairing it with biometric seat sensors that can control cabin temperature, seat position and even tell when a driver might be getting drowsy. Integrated into the car's Amazon Alexa-style voice assistant, the system can even track what a passenger is looking at and display information about what they're seeing outside the vehicle.
Though there are no plans to put the gull-winged EXP 100 into production, Bentley Chairman Adrian Hallmark noted that many features found on the concept vehicles will start appearing on next-generation models as they roll out over the coming decade.