Cruise’s manufacturer and partner, GM, wants to cut spending on autonomous driving.
General Motors (GM) has announced spending on its self-driving car division Cruise to reduce. GM CEO Mary Barra explained that Cruise’s expansion will be slower once operations resume and spending will be significantly lower in 2024 than in 2023. This move follows previous announcement by GM, to restrict Cruise’s activities as soon as Testing and transport services will be resumed.
Currently, Cruise has suspended its operations in the US, where the company operates self-driving vehicles in various cities, mainly in the south of the country. The suspension came after the California Department of Motor Vehicles suspended Cruise’s permits for public rides in the state withdraw had. This came amid allegations that Cruise withheld information and video about an incident in which a pedestrian was thrown by another vehicle into the path of a Cruise car.
The cost reduction comes in the context of Cruise’s extensive curtailment of production and operations. Still, Barra reiterated GM’s commitment to autonomous driving and emphasized the trust, accountability and transparency that are now a focus at Cruise. The announced spending reduction marks a strategic move amid challenges and a realignment process for GM’s self-driving car division.