TECH - Future Of GM Autonomous Vehicle Maker Cruise In Peril After 900 Job Cuts | Benzinga
General Motor (NYSE: GM’s self-driving unit Cruise announced on Thursday it was laying off 900 workers — nearly a quarter of its entire workforce. The move comes directly after reports that after Cruise axed several of its top executives.
The signs were building over recent weeks following an accident in San Francisco in October involving one of Cruise’s vehicles and a pedestrian.
The layoffs put the future of the company in much peril and, indeed, leave the entire autonomous vehicle (AV) sector in a dubious state.
But exchange traded funds tracking the sector have performed well in the past two months, despite the negative news flow. The Global X Autonomous & Electric Vehicles ETF (NYSE:DRIV) is up 18% since the end of September.