Key takeaways
- Kyle Vogt, co-founder and CEO of self-driving taxi developer Cruise, said he was resigning from the GM-owned company.
- Vogt is leaving after autonomous vehicles developed by the company suffered a series of incidents that led the unit to suspend testing on public roads.
- Managing director Craig Glidden and executive vice president Mo Elshenawy are said to be Cruise’s new co-presidents.
It’s a big shakeup for General Motors’ (GM) self-driving taxi unit Cruise: Co-founder and CEO Kyle Vogt announced he was stepping down over the weekend.
Vogt indicated that I would spend more time with my family and explore some new ideas. Before leaving, he apologized to staff and took responsibility for the problems facing the division. Reuters reported.
Cruise suspended testing of all its vehicles in the United States in October after a pedestrian hit by another driver in San Francisco was hit by a Cruise car, which stopped on top of her. Another pedestrian was hit by a Cruise vehicle in August. Regulators at the National Highway Traffic Safety Administration are investigating.
San Francisco city officials have also complained about how cruisers have exacerbated traffic problems, especially when they malfunction.
GM purchased Cruise in 2016. At the time, GM President Dan Ammann explained that fully autonomous vehicles “can provide our customers with enormous benefits in terms of greater convenience, lower cost and greater safety for their daily mobility needs.” .
Last week, Cruise’s board of directors named GM general counsel Craig Glidden as Cruise’s chief administrative officer. CEO Mary Barra reportedly told workers that Glidden and Cruise executive vice president Mo Elshenawy would now be co-presidents of Cruise.
GM shares are up 2.43% today, but are still down more than 15% heading into 2023.
Commercial view.
