California regulators have revoked the license of a robotaxi service owned by General Motors after determining its driverless cars that recently began transporting passengers throughout San Francisco are a dangerous menace
FILE - Associated Press reporter Michael Liedtke sits in the back of a Cruise driverless taxi that picked him up in San Francisco's Mission District, Feb. 15, 2023. California's Department of Motor Vehicles on Tuesday, Oct. 24, immediately suspended operation of Cruise's driverless robotaxis in San Francisco, citing public safety after one of its cars ran over a person fatally struck by a vehicle driven by a human.
Now Cruise is being forced to slam on the brakes on its operations after the DMV concluded its robotaxis posed “an unreasonable risk to public safety,” according to a statement issued by the agency. In a statement, Cruise confirmed it has ceased its robotaxi operations in San Francisco. It said it is continuing to cooperate with state and federal regulators in their inquiry into the Oct. 2 accident involving a robotaxi named “Panini” and the critically injured pedestrian, who had to be extracted from under the robotaxi with the help of the “jaws of life” before being taken to a local hospital.
The California suspension is a significant blow to GM and its ambitious goals for Cruise, which the Detroit automaker has predicted will generate $1 billion in revenue by 2025 — a big jump from Cruise’s revenue of $106 million last year when it also lost nearly $2 billion. Cruise also is testing a robotaxi service in Los Angeles, where protests against it already have been percolating, as well as Phoenix and Austin, Texas.
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