Cruise Robotaxis Partner with Uber: Autonomous Rides Expand Nationwide, Except California
Cruise Robotaxis to Join Uber’s Fleet in Multiyear Partnership
Cruise, the autonomous vehicle subsidiary of General Motors, is set to integrate its robotaxis into Uber’s ride-hailing service starting next year. This multiyear partnership marks a significant shift for Cruise following the suspension of its California license in October 2023.
The collaboration comes in the wake of a highly publicized incident involving a Cruise robotaxi that dragged a pedestrian, leading to increased regulatory scrutiny and prompting GM to scale back its autonomous driving ambitions. Prior to this setback, GM had projected Cruise to generate $1 billion in annual revenue by 2025, with plans to expand beyond San Francisco.
Under the new strategy, Cruise’s robotaxis will be mixed with Uber’s human-driven vehicles, allowing passengers the option to choose autonomous rides. While financial details and specific cities for the partnership have not been disclosed, California has been notably excluded due to Cruise’s suspended license in the state.
Meanwhile, competitor Waymo continues to expand its robotaxi fleet beyond San Francisco into other Bay Area cities and Southern California. Waymo reports completing over 100,000 paid rides per week, including operations in Phoenix.
Cruise is currently operating Chevy Bolts autonomously in Phoenix and Dallas with human oversight. The Uber deal underscores Cruise’s ongoing commitment to achieving fully autonomous navigation.
Cruise CEO Marc Whitten expressed the company’s goal to leverage driverless technology for safer streets and urban transformation. This partnership follows a leadership change after founder Kyle Vogt’s departure in the wake of the California license suspension.
GM has faced financial challenges related to its autonomous driving initiatives, including layoffs and $5.8 billion in losses from 2021 to 2023. The company reported an additional $900 million operating loss in the first half of this year, down from nearly $1.2 billion during the same period last year.
Despite these hurdles, Uber CEO Dara Khosrowshahi remains optimistic about integrating robotaxis safely and reliably into global markets. This partnership represents a significant step forward in the evolving landscape of autonomous ride-hailing services.
