GM's latest problem may spell doom for a major automotive trend

General Motors (GM) faced a setback as the California Department of Motor Vehicles revoked its license for operating Cruise, the robotaxi arm of the company, due to safety concerns. Cruise subsequently halted its driverless operations across all fleets. It was revealed that Cruise had approximately 1.5 workers per robotaxi, remotely intervening to assist each car’s driverless operations once every 2.5 to five miles. This raised concerns about Cruise’s claims of achieving genuine self-driving cars and drew comparisons to the Theranos scandal. The revelations suggest that true Level 5 self-driving remains distant, and the autonomous driving industry may face significant challenges. Despite this, other self-driving companies, like Waymo, remain optimistic about the sector’s potential. GM’s stock price closed up following the news.