The Journal. Why GM Is Giving Up on Cruise Robotaxis
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Dec 17, 2024 General Motors is scrapping its ambitious robotaxi program after a colossal $10 billion investment. The discussion dives into the challenges faced by Cruise, GM's self-driving unit, and the competitive landscape dominated by companies like Waymo. A critical incident in San Francisco highlights the safety dilemmas autonomous vehicles encounter, prompting a major reevaluation of GM's strategies in this evolving market. The podcast also examines how the shift away from robotaxis affects GM's future in personal autonomous vehicles.
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Robo-taxi Dream
- Robo-taxis, self-driving cars hailed on demand, are a dream in transportation.
- This aspiration has significant implications for the traditional auto industry, potentially eliminating personal car ownership.
GM's Cruise Acquisition
- In 2016, GM acquired Cruise, a self-driving startup, for $1 billion as a hedge against a future without personal car ownership.
- Creating self-driving technology in-house is difficult, making acquisition more attractive than internal development.
Early Cruise Launch
- In late 2021, GM launched a small Cruise robo-taxi fleet in San Francisco, even CEO Mary Barra took a ride.
- Cruise and Waymo were initially neck and neck in the race to commercialize robo-taxi technology.