GM reportedly cuts 1,000 jobs in its software and services division

GM is laying off 1,000 salaried employees in its global workforce Monday, CNBC reported today. The cuts will affect the automaker’s software and services division, including about 600 employees working at GM’s tech campus near Detroit.

In an email to The Verge, GM spokesperson Kevin Kelly said that as the company builds its future, it needs to “simplify for speed and excellence, make bold choices, and prioritize the investments that will have the greatest impact,” which includes laying off “certain teams” in the software and services organization.

The division is led by GM executives Baris Cetinok and Dave Richardson, who replaced executive VP of software and former Apple executive Mike Abbot. Abbot joined GM in May 2023 but left the company in March due to health reasons.

The software and services division includes teams that work on vehicle infotainment and OnStar services. Richardson, who is SVP of software and services engineering, oversees other parts of the division that works on GM’s Super Cruise advanced driver assistant system, embedded platforms, digital products, and commercial solutions, according to CNBC.

GM has recently dealt with major software issues in the new Chevy Blazer EV, in which customers reported experiencing blank infotainment screens and charging error messages. GM issued a stop-sale last December citing the software problems, which was finally lifted this past March.

The timing of the stop-sale drama with the Blazer EV was less than ideal. GM has been working to present its Android-based infotainment in vehicles as a viable alternative to popular phone projection systems like Apple CarPlay and Android Auto, which is disabled in the automaker’s EV lineup.

The company also canceled its Tesla Full-Self Driving competitor product “Ultra Cruise” and merged the project’s team with the regular Super Cruise team in January.

GM is working to expand its highly-regarded hands-free system by the end of 2025. But competitor Ford’s Bluecruise is catching up, expanding to Europe. BlueCruise also nabbed a higher score from Consumer Reports, which had previously rated Super Cruise as its top advanced driver assist system.