GM Shifts Gears: Exits Robotaxi Sector Amidst Setbacks

General Motors has decided to cease funding its Cruise autonomous vehicle unit and refocus on partially automated driver-assist systems. The move comes after setbacks, including a serious incident involving Cruise's autonomous vehicle fleet. GM aims to concentrate resources on more immediate technologies for safer roadways.

General Motors has announced a strategic withdrawal from the robotaxi sector, halting financial support for its unprofitable Cruise autonomous vehicle unit.

The Detroit-based automaker will shift its focus toward enhancing partially automated driver-assist technologies, such as its Super Cruise system, which offers hands-free driving capabilities.

The decision follows increased competition in the robotaxi market and comes after a damaging incident involving a Cruise vehicle in San Francisco, prompting regulatory actions that suspended its driverless fleet's operations.

(With inputs from agencies.)