General Motors (G.M.) announced it would end its years-long project to develop self-driving taxis, citing significant technological hurdles and high development costs. The company will instead focus on technology that enables vehicles sold to consumers to steer, accelerate, and brake without driver intervention under certain conditions.
G.M.’s decision marks a shift in its approach to autonomous vehicles. Mary T. Barra, the company’s CEO, stated that developing self-driving taxis was too expensive, citing a $10 billion investment. Instead, G.M. will continue working on fully autonomous vehicles for private owners.
The move comes as other companies like Tesla, Amazon, and Waymo lead the charge in autonomous taxi services. However, achieving level 5 autonomy – the ability to drive without human supervision – has proven extremely difficult. Cruise, a subsidiary of G.M., previously suspended its self-driving taxi service after an incident involving a pedestrian.
G.M.’s decision is part of its broader strategy to invest in new technologies and cut costs. The company expects to save $1 billion per year by absorbing Cruise into its main operations. Analysts believe the move will allow G.M. to “immediately reap the rewards” of some prior investments while cutting losses.
The abandonment of self-driving taxis highlights the challenges faced by companies in developing autonomous technology. As the industry continues to evolve, it remains to be seen whether other companies will follow suit or if they can overcome the hurdles and achieve widespread adoption.
Source: https://www.nytimes.com/2024/12/10/business/gm-cruise-robotaxi.html