In a significant move, General Motors GM has appointed a former Tesla and Google executive to take over the reins of its manufacturing division.
What Happened: GM announced on Tuesday that Jens Peter “JP” Clausen, a former executive at Tesla, Lego, and Google, will be succeeding Gerald Johnson as the head of Global Manufacturing and Sustainability, the company said in a press release. Johnson, who has been with GM for 44 years, is retiring.
Another surprising departure was that of Mike Abbott, the executive vice president of software and services. Abbott, a former Apple executive, cited health reasons for his resignation. He will be temporarily replaced by Baris Cetinok, the current vice president of products in software and services.
Why It Matters: The appointment of Clausen is particularly noteworthy as GM and other automakers are striving to match or surpass Tesla in the manufacturing of batteries and powertrains for electric vehicles. This move comes after GM CEO Mary Barra acknowledged Tesla’s significant role in the EV market but expected the dynamics to change.
GM has been making strides in the EV market, with its Chevrolet Blazer EV sales resuming after a software fix and a price cut.
These developments come at a time when Tesla has been dominating the electric vehicle market, with its vehicles being the top-selling in California and breaking global sales records.
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