Editor’s Note: This story has been updated with a statement from a Chevrolet spokesperson.
General Motors’ GM autonomous driving unit, Cruise, is abandoning its plans to build the Origin autonomous vehicle and instead focussing on using its next-generation Chevrolet Bolt for autonomous driving operations.
What Happened: Origin is an entirely autonomous vehicle with no manual controls or pedals for which GM had great plans.
However, the production of Origin is no longer in the picture, as per a letter to shareholders from GM CEO Mary Barra.
“The Cruise team will also simplify their path to scale by focusing their next autonomous vehicle (AV) on the next-generation Chevrolet Bolt, instead of the Origin. This addresses the regulatory uncertainty we faced with the Origin because of its unique design. In addition, per-unit costs will be much lower, which will help Cruise optimize its resources,” Barra wrote on Tuesday.
For the first half of 2024, Cruise accrued an operating loss of $1,650 million, 28% higher than the loss of $1,289 million recorded in the corresponding period of last year. GM also spent $583 million on restructuring Cruise in the period.
A Chevrolet spokesperson told Benzinga in a statement that the next generation of the Bolt EV is expected to launch late next year. However, the company has not ascertained when Cruise AVs will shift to that platform, he added.
Why It Matters: During GM's third-quarter earnings call last year, company CEO Mary Barra said the company is working with Honda Motor Co. to bring driverless rides to Tokyo in early 2027 with Origin.
"We'll do that with our Origin, the world's first-ever vehicle purpose-built for autonomous driving on public roads. As Cruise continues to push the boundaries of what AV technology can deliver society, safety is always at the forefront," Barra had said.
However, Cruise went on a downhill roll afterward. The company suspended operations in the U.S. late last year following the involvement of one of its robotaxis in an accident in San Francisco, leading to heightened regulatory scrutiny and the exit of its co-founder and then CEO Kyle Vogt.
The company resumed manual driving in the city of Phoenix to gather road information earlier this year in April and in Houston and Dallas, Texas in June.
The company also appointed Marc Whitten as its new Chief Executive Officer (CEO) late last month.
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Photo courtesy: Cruise
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