A Cruise self-driving car, which is owned by General Motors, is seen outside the company’s headquarters in San Francisco.
Heather Somerville | Reuters
General Motors’ Cruise autonomous vehicle unit has dismissed nine “key leaders” amid ongoing safety investigations sparked by an October accident in San Francisco, according to an internal message obtained by CNBC.
The departures include leaders from Cruise’s legal, government affairs, commercial operations and safety and systems teams, according to the company-wide message, which GM and Cruise spokespeople confirmed was authentic.
The message said “new leadership is necessary” for the company to regain trust and operate “with the highest standards when it comes to safety, integrity, and accountability.”
Cruise’s troubles are the latest for the self-driving vehicle industry. Commercializing autonomous vehicles has been far more challenging than many predicted even a few years ago. The challenges have led to a consolidation in the autonomous vehicle sector after years of enthusiasm touting the technology as the next multitrillion-dollar market for transportation companies.
The shakeup at Cruise, which was first reported by Reuters, follows an initial analysis of the company’s response to an Oct. 2 accident involving one of Cruise’s robotaxis, which dragged a pedestrian after the person was struck by another vehicle.
Following the accident, the California Department of Motor Vehicles suspended the deployment and testing permits for its autonomous vehicles in late-October. Cruise then followed up with pausing all roadway operations in the U.S.
The company also faces regulatory pressure and fines for potentially misleading or withholding information about the accident. The National Highway Traffic Safety Administration and California Public Utilities Commission are probing Cruise and the incident.
GM CEO Mary Barra, who serves as chair of Cruise, last week in Detroit said the company is “very focused on righting the ship”…
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