GM Slashes Spending on Robotaxi Unit Cruise, in Setback For Driverless Cars

General Motors (GM) will slash spending in its self-driving car unit Cruise, after an accident last month seriously injured a pedestrian and prompted regulators to retract its operating permit for driverless cars in San Francisco. The company announced today that it will "substantially lower" its spending on Cruise next year, according to Mary Barra, GM's CEO. "We expect the pace of Cruise's expansion to be more deliberate when operations resume," she said in a letter to shareholders. Until the accident, Cruise had been operating driverless taxis in three US cities, San Francisco, Phoenix and Austin, with plans to expand. In October, the company said it would no longer operate its vehicles without safety drivers behind the wheel.