General Motors’ autonomous vehicle subsidiary, Cruise, has announced the layoff of 24 percent of its workforce as part of a strategic restructuring focused on a single market for its disastrous robotaxis.
UPI reports that Cruise, the robotaxi startup owned by General Motors, has revealed significant staff reductions in a recent blog post. Thursday’s announcement details the layoff of 24 percent of its full-time employees. This decision, according to the company, is due to a strategic shift to simplify and concentrate its efforts. The focus now is to launch an exceptional service in one city initially, using the Bolt platform as a starting point before planning any further expansion.
Kyle Vogt former CEO of GM’s Cruise
The layoffs come after months of serious problems for the company.
In October, California’s Department of Motor Vehicles accused Cruise of omitting footage showing the car dragging the woman from video it shared with regulators. The DMV ordered Cruise to cease driverless services in the state.
In November, Breitbart News reported that Cruise suspended all of its driverless operations nationwide last week following the California incident and widespread questions about the company’s response.
Cruise Robotaxis in a garage (Anadolu Agency / Contributor/Getty)
The problems for the company did not stop there. The Cruise board has hired Quinn Emanuel, a law firm, to investigate Cruise’s response to the incident, which includes the company’s interactions with regulators, law enforcement, and media.
Most recently, Cruise CEO Kyle Vogt stepped down from his role. As Breitbart News reported:
TechCrunch reports that Kyle Vogt, the co-founder and CEO of Cruise, has resigned from his leadership role. Vogt’s resignation was announced in an internal email sent to employees, which TechCrunch obtained and reported on.
Vogt’s journey with Cruise began as a startup in a garage, evolving through its acquisition by General Motors. Under his leadership, Cruise has delivered over 250,000 driverless rides across several cities. Dan Kan, who co-founded Cruise alongside Vogt and held a less public-facing role, has also resigned, as confirmed by TechCrunch.
Read more at UPI here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.