CEO Barra Says GM Is Looking At Ways To Unlock Value At Cruise

(CTN News) – General Motors’ (GM) chief executive, Mary Barra, said on Thursday that the automaker was looking at how best to unlock value in its self-driving unit, Cruise, in order to expand the business.

It is estimated that GM shares rose by about 2% during the quarter.

In a recent event that Wolfe Research hosted, Cruise’s GM value was highlighted as an “incredibly valuable asset”, according to Barra, who attended the event.

According to her, the Detroit automaker will be relaunching the unit this year in order to take advantage of the tough economic conditions, and she also reiterated her support for the unit during this challenging time.

A month ago Barra made the remarks following GM’s announcement that it would reduce spending by approximately $1 billion at its money-losing robotaxi unit in 2024 in order to turn things around.

Cruise had announced earlier in December that it would be laying off 24% of its workforce as part of a restructuring program.

The report quoted Barra as saying, “As we progress, cruises will be an excellent opportunity in terms of personal autonomous vehicles,” which he said would make them a viable option.

GM has been facing the heat from the regulatory authorities since a vehicle designed by Cruise struck a pedestrian last year using one of its autonomous capabilities, and the company has faced regulatory scrutiny ever since.

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