General Motors' self-driving technology and taxi business, Cruise, is proactively addressing safety concerns following an accident. The company recently announced a series of steps to enhance safety measures and promote transparency.
Comprehensive Safety Assessment
To ensure safety compliance, an independent expert has been hired to conduct a thorough safety assessment. Although the expert's identity has not been disclosed yet, this move demonstrates Cruise's commitment to addressing potential issues.
Chief Safety Officer Appointment
Cruise has also appointed a Chief Safety Officer who will report directly to CEO Kyle Vogt. This vital role will oversee safety procedures and further reinforce the company's dedication to ensuring the well-being of passengers and pedestrians.
Additionally, Cruise has enlisted the assistance of an engineering firm to conduct a comprehensive root-cause analysis of the accident. This analysis aims to identify any underlying issues and implement corrective actions to prevent similar incidents in the future.
Craig Glidden, assuming the position of Chief Administrative Officer, will be responsible for spearheading transparency and community engagement efforts within the company. By engaging with the community and promoting open communication, Cruise aims to foster public trust.
Temporary Suspension of Self-Driving Taxis
In light of the accident, Cruise has temporarily paused the operation of self-driving taxis, affecting around 70 vehicles. This measure is part of their commitment to rebuilding public trust while undergoing a comprehensive safety review.
GM and Cruise are adopting a cautious approach to ensure the safe implementation of their self-driving technology. With significant business opportunities at stake, GM believes that Cruise could generate approximately $50 billion in sales by 2030, while the current car business is expected to reach approximately $165 billion in sales by 2023.
Despite recent challenges such as higher interest rates negatively impacting GM shares, the company remains optimistic about its future prospects. As a result, GM shares increased by 0.2% in premarket trading on Wednesday, while S&P 500 and Dow Jones Industrial Average futures rose by 0.3% and 0.2% respectively.
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