Facepalm: Building a robotaxi business isn’t easy, even for one of the nation’s biggest automobile manufacturers. General Motors has concluded that problems with regulation and operation, coupled with ever-increasing costs of scale and stiff competition, make further development of the Cruise taxi service not worth the capital expenditure.
General Motors is calling it quits on its goal of operating a robotaxi service. On Tuesday, GM announced it would combine its teams working on the Cruise autonomous taxi with teams in charge of its Super Cruise advanced driving features in passenger cars. The focus shift comes after GM put Cruise Origin development on indefinite hold in July.
After evaluating the project over the last several months, GM has determined that the robotaxi business is not profitable enough to warrant further development. It cited expanding investments to scale and increasing competition in the robotaxi market as reasons for pulling out.
GM moves away from the robotaxi business axing Cruise
- Advertisment - 