GM's Cruise is delaying its robotaxi — and it points to problems for AV industry

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GM's delay of its robotaxi service signals that a large-scale, self-driving mobility launch is unlikely within the next decade:

Cruise should follow other automakers' lead by building partnerships with AV tech companies to split the costs of developing self-driving platforms.

We believe a large-scale, self-driving mobility service is unlikely to launch within the next decade. If Cruise, which is considered one of the leaders in the US AV space and one of the most well funded, is running into issues, then it's extremely likely that other firms are having similar problems. In California, GM is second only to Waymo in the number of test miles and disengagement rates — in 2018 GM's AVs drove almost 450,000 miles and disengaged once every 5,205 miles; Waymo's AVs drove 1.2 million miles and disengaged once every 11,017 miles.

 

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