The gleaming glass towers of the Renaissance Centre were erected in the 1970s as a key part of a plan to rejuvenate downtown Detroit. That similar urban renewal plans remain ongoing some 50 years later outlines the sheer scale of the challenge.
Since 1996, the rebranded GM Rencen has been the headquarters of General Motors, and the American car-making giant has much in common with the proud but faded city it calls home. Once one of the world’s automotive powerhouses, GM has struggled in recent decades, even going bankrupt during the global economic crisis.
Its market share has slipped and its global footprint has shrunk, GM most notably withdrawing from the UK and Europe with the sale of Opel and Vauxhall in 2017, an ignominy heightened when new owner PSA Group (since merged into Stellantis) rapidly delivered the sibling brands’ first profit in decades.
Nevertheless, GM firmly remains one of the world’s largest car companies, both in terms of sales and value. And, much like in Detroit itself, there’s still immense pride inside GM – and a deeply held belief that it can once again become a market-leading powerhouse.
To do that, GM must change dramatically. So boss Mary Berra has gone all in on electrification. By 2035, GM will launch only EVs – even in the US, where it ’s heavily reliant on big, hulking petrol-engined Chevrolet and GMC pick-up trucks.
GM’s transformation isn’t just about EV tech, though. There’s also investment in autonomous cars and last-mile delivery vehicles. There’s a move to foster a start-up mentality, freeing individual parts of the business to make decisions faster. There’s a focus on a handful of key brands – a marked change from when GM had a phone book of them. And there’s a planned return to Europe, including the UK. It’s a bold, ambitious plan, one that involves transforming how a 113-year-old giant operates – and convincing the world it really can beat the likes of Tesla at EVs. But can it work?
The age of Ultium
Key to GM’s pivot to EVs is building a solid platform, in the most literal sense. That ’s the Ultium architecture, which comprises a versatile skateboard chassis, an adaptable powertrain and all the underpinning software and connectivity.
It’s a clean-sheet design and intended for use in a hugely diverse range of vehicles, from the vast GMC Hummer EV and Brightdrop Zevo 600 van to the mass-market Chevrolet Blazer EV crossover and plush Cadillac Lyriq SUV. It will also be used for a range of vehicles co-developed with Honda.
But while Ultium is new, GM executives are keen to remind everyone that the firm isn’t new to EVs – despite the perception of a lumbering, ageing ICE-car giant trailing in Tesla’s wake.