Autonomous vehicle company Cruise is laying off around half of its workforce, according to reporting by TechCrunch. The cuts even extend to the CEO and other top executives. This is part of a major restructuring effort by parent company GM that will eventually see a total shutdown of operations.
These layoffs are expected to impact well over 1,000 people and include CEO Marc Whitten, chief safety officer Steve Kenner and global head of public policy Rob Grant. Chief technologist Mo Elshenawy is also being laid off, but will stay on until the end of April to help with the transition. To that end, some of Cruise’s workforce and resources will carry on. They are being shuffled to the Super Cruise team, which is GM’s driver assistance system.
These layoffs don’t come as too much of a surprise, given that GM already announced it was giving up on the development of robotaxis. The company, however, hasn’t stopped chasing the dream of autonomous vehicles. GM is still planning on rolling out driverless cars for personal use at some point in the future.
Cruise has had a rough last couple of years. The company faced scrutiny after one of its robotaxis struck a pedestrian and dragged them 20 feet. Prior to the crash, the company’s algorithm was fairly notorious for being buggy, as it repeatedly failed to recognize children.
The ensuing investigation forced Cruise to stop all operations for its manned robotaxi service. GM was fined $1.5 million for omitting key details about the aforementioned crash. There were also serious layoffs. In recent months, Cruise had resumed some limited activity, though only with human drivers.