Cruise, an autonomous robotaxi service, has announced a partnership with Uber, a prominent ride-hailing service, in a move aimed at reviving its troubled efforts in the autonomous driving market. The development comes after Cruise’s California license was suspended following a serious incident in San Francisco, prompting regulatory inquiries and an overhaul of its ambitious plans. General Motors, Cruise’s parent company, had envisioned the robotaxis generating $1 billion in annual revenue by 2025, but this goal appears to be on hold for now.
Despite the setbacks, Cruise is determined to get its robotaxis back on the road, with CEO Marc Whitten emphasizing the company’s mission to leverage driverless technology to create safer streets and redefine urban life. To achieve this goal, Cruise is integrating its robotaxis with Uber’s human-driven cars, allowing passengers to choose between the two options. The financial details of the partnership remain undisclosed, but it is clear that both companies are looking to profit from the collaboration.
The deal marks a significant shift for both Cruise and Uber, as they move beyond competing with each other to collaborating. Uber CEO Dara Khosrowshahi expressed confidence that the partnership can help make autonomous technology safe and reliable for consumers and cities around the world. As part of the partnership, Cruise’s robotaxis will not be included in Uber’s expansion into California, as its license remains suspended in the state.
Robotaxis Join Forces to Reinvent Ride-Hailing (Image via Getty)
In contrast, Waymo, a Google spinoff, continues to expand its robotaxi services beyond San Francisco, completing over 100,000 paid rides per week in cities around the Bay Area and Southern California. Cruise, meanwhile, is operating autonomous Chevy Bolts in Phoenix and Dallas, with human drivers on standby to take control if necessary.
The partnership with Uber is a crucial step in Cruise’s recovery from its recent setbacks and demonstrates its commitment to autonomous driving technology. With this collaboration, both companies are looking to the future, eager to bring autonomous driving technology to the mainstream and redefine the ride-hailing industry. As Cruise CEO Whitten noted, “Cruise is on a mission to leverage driverless technology to create safer streets and redefine urban life.” The partnership with Uber is a significant step in achieving this vision, and it will be interesting to see how this collaboration develops in the future.
