Cruise cuts nearly half of staff as GM focuses on consumer AVs

Cruise LLC, a subsidiary of General Motors, is undergoing significant layoffs, affecting nearly half of its workforce, including top executives like CEO Marc Whitten. This decision follows GM's announcement to cease funding Cruise's robotaxi deployment, opting instead to integrate Cruise's team with GM's to focus on developing Super Cruise, a hands-free driver assistance system. The layoffs, which impact over 1,000 employees, come with severance packages and career support, with a focus on retaining engineering talent to accelerate work on personal autonomous vehicles.

Meanwhile, Waymo, Alphabet Inc.'s self-driving unit, continues to expand its robotaxi services, launching in Los Angeles and expanding in San Francisco and Phoenix. Despite Cruise's setbacks, Waymo is advancing its autonomous vehicle initiatives, providing over 150,000 rides weekly and planning further expansions, including testing in Miami in 2025. This positions Waymo as a leader in the U.S. robotaxi market, contrasting with Cruise's strategic pivot and challenges.

Key takeaways:

Cruise LLC is laying off nearly half of its workforce, affecting over 1,000 employees, as GM shifts focus to personal autonomous vehicles.
GM is integrating Cruise's technical team with its own to enhance Super Cruise, a hands-free driver assistance system.
Waymo LLC, a competitor, is expanding its robotaxi services in multiple cities, including Los Angeles, San Francisco, and Phoenix, and plans further expansion in Atlanta and Miami.
Cruise's severance package includes eight weeks of pay, additional pay for long-term employees, benefits, and career support services.

Cruise cuts nearly half of staff as GM focuses on consumer AVs - The Robot Report

Key takeaways:

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