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Should Tesla Buy Cruise, And Other Strange Wonderings

Dec 11, 2024 - forbes.com
General Motors has decided to shut down its Cruise robotaxi project after losing its California permits due to a severe incident and subsequent cover-up. This decision marks the end of Cruise as a significant player in the self-driving car industry, despite having a mostly functional robotaxi system. The move raises concerns about the future of self-driving technology in the U.S., as it leaves one less competitor in the market, potentially slowing down advancements and allowing Chinese companies to expand with less competition. The California DMV's decision to pull Cruise from the streets following the incident played a significant role in the project's demise, although there is debate over whether the DMV's actions were justified.

The shutdown of Cruise highlights the challenges faced by traditional car manufacturers in leading the self-driving car revolution, as well as the importance of competition in driving innovation and reducing costs. While some of Cruise's technology will be integrated into GM's regular cars to enhance safety, much of the progress made by Cruise will be lost. The incident underscores the need for careful regulation of self-driving projects to ensure road safety without stifling technological advancements that could significantly reduce traffic accidents in the future.

Key takeaways:

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  • General Motors has decided to shut down the Cruise robotaxi project, absorbing some of the team to work on other in-car technologies.
  • The California DMV's decision to revoke Cruise's permits after a severe incident and cover-up played a significant role in the project's termination.
  • The closure of Cruise raises concerns about reduced competition in the US robocar market, potentially slowing down advancements and price reductions.
  • Some of Cruise's technology will be repurposed to enhance the safety of GM's regular vehicles, although much of the innovation will be lost.
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