The CEO and its president, Marie Para, said on Tuesday during the company’s profit call, that General Motors expects to provide up to one billion dollars annually by completing the journey robotics development program.
This estimate comes nearly two months after the auto company said that it no longer funds a cruise, which is a subsidiary of its self -driving that aims to market robots. “General Motors has proposed a restructuring plan that would re -focus the independent driving strategy on personal vehicles,” Bara said, adding that the company expects to witness savings at the operating rate of about one billion dollars on an annual basis by ending the development of robotics.
Financial director Paul Jacobson said that these expected savings in costs “are based on our assumption that cruise staff will be fully integrated into General Motors by the middle of the year.”
He said: “We believe that the independent leadership strategy that has been re -installed will lead to an annual efficiency and vastness of one billion dollars in our investments compared to the amount of $ 1.7 billion that we spent on cruises in 2024.”
GM mentioned on Tuesday a $ 2.9 billion a loss In the fourth quarter of 2024, the results driven by fees related to the end of the development of Robotaxi as well as the costs associated with restructuring their Chinese operations. The company obtained a $ 500 million fee for one time related to its decision to stop financing cruises. She also reported a 4 billion dollar restructuring fees and the interests of its businesses in China.
Despite those visits in the fourth quarter, General Motors results-especially on a racket basis, based on their modification-were more pink. The company reported a net income of $ 6 billion for this year; On the basis of amendment, its annual profit amounted to $ 14.9 billion.
The expenses of cruises, with the exception of the special elements of restructuring fees, amounted to $ 400 million per quarter, a decrease of $ 800 million in 2023.
Marine flight staff was driven by General Motors’ decision to decline from the company, which the auto industry has invested nearly 10 billion dollars since 2016. After the announcement in December, be among those who are demobilized or those who get offers to keep joining General Motors and the work On the autonomy there, according to two employees who spoke to Techcrunch, provided that his identity is not disclosed.
GM provides Super Cruise customers, an advanced system for assisting the operating program that can perform some of the automatic driving tasks such as hands -free driving on certain fast ways. The auto industry company launches a hands -free version of technology, and may depend on the technology of self -driving of cruises to clarify the Super Cruise capabilities.
“We want to be leaders in autonomy from level 4, and we believe that we will continue to assess the scene to do so in the capital as much as possible,” Bara said, noting that General Motors is open to work with strategic partners.
Automatic systems of the 4 level can lead themselves without asking man to control in certain circumstances.
In mid -January, the Maritime Flight Department began to expand the offers of retaining employees, and they were almost all engineers, according to the familiar sources of the matter.
In an email message sent to cruise staff on January 16, CEO Mark Witten asked for continuous patience as the High Command had reached the following steps and waited for the Maritime Falls Council to make a call.
“While our plans remained subject to approval of the Board of Directors of the Maritime Trips, I wanted to share that we have completed the first wave of notifications for those employees we expect to need as part of the Go-Forward trip,” Whiteen said in the email. a witness.
Whiteen also said that the company will continue to evaluate the rest of the team, and pointed out that those who have not yet received a notice are not necessarily the risk of losing their jobs.
Sources at Cruise Techcrunch told the board of directors that the board of directors should meet in early February, and while we hope that they will reach a plan for thousands of workers and anxiety now. However, Bara said during a profit call on Tuesday that he expects to finish finishing on the cruise restructuring plan “later in this quarter.”
Jacobson noticed on Tuesday that the expenses of cruise employees in the North American sector in General Motors will be included in the company’s financial statements later this year. He warned that these expenses will affect the margins of North America in General Motors “about 50 basis points this year”, although he is expected to remain GM “within our range from 8 to 10 %.”
“This will also increase our fixed costs of cars and reduce the cash flow of modified cars, as the money used by the trip was excluded,” said Jacobson.
