General Motors has ceased its autonomous vehicle testing in California and Arizona, ending its self-driving car permits in both states. As part of the automotive giant’s strategic decision-making, GM had previously halted testing in San Francisco and suspended its fleet of Cruise Autonomous Inc.’s Origin self-driving cars in December 2022. A spokesperson for GM confirmed the news to Reuters, stating that the company is now redirecting its focus to advancing the autonomous vehicle technology rather than accelerating its commercial deployment.
In 2018, GM Chairman and CEO Mary Barra stated her vision for establishing a potential autonomous ride-sharing service in the near future, which would be led by Cruise, a majority-owned subsidiary of GM. Cruise then started expanding its self-driving test fleet with committed goals for rapid expansion. However, recent reports showed that GM’s autonomous vehicle development was costing hundreds of millions of dollars each year, and their Cruise AV subsidiary was not yet commercially viable.
During the coronavirus pandemic, GM also paused its autonomous vehicle development projects, firing over 1,500 employees as part of cost reductions and shifting employee focus toward the demands of COVID-19. Despite these setbacks, GM remains a formidable contender in the autonomous vehicle industry with their Cruise AV technology, still looking to be a leader in the evolving technology landscape.
