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Manufacturing & engineering

GM's Cruise driverless taxis will return in one city despite being pulled off the road last week

General Motors Company (NYSE:GM) said it plans to relaunch its Cruise robotaxi division in a single city, just one week after announcing it would pause all on-road vehicle operations due to multiple incidents.

"Once we have taken steps to improve our safety culture and rebuild trust, our strategy is to re-launch in one city and prove our performance there, before expanding," the company said in a statement.

The unit’s driverless taxis lost the right to operate in California last month after accidents that included run-ins with emergency vehicles and one case where a pedestrian was hit and dragged by a Cruise vehicle after being struck by a non-Cruise vehicle, placing the company’s technology under scrutiny.

Cruise CEO Kyle Vogt and chief product officer Daniel Kan both resigned from the company in recent days.

Moving forward, Cruise plans to focus on the Chevy Bolt-based Cruise AVs. It also expects to cut jobs "primarily in non-engineering roles", the company said. The company added that more details will come in December.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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