Mary Barra, Chief Executive Officer of General Motors Co (GM.N), refuted doubts regarding the profitability of autonomous vehicles during her keynote speech at the Sanford Bernstein conference on Friday. Barra highlighted a significant growth opportunity within GM's Cruise autonomous vehicle unit and predicted that personal self-driving cars would be available for purchase before the close of this decade.
Also Read: Battery Shortages Could Affect GM's EV Plans For 2025, Suggests Report
Reiterating her earlier forecast for Cruise, Barra projected an impressive annual revenue of $50 billion by 2030. This projection assumes the global deployment of Cruise technology and services, including potential markets such as Dubai and Japan. Barra further emphasized the unit's potential expansion into goods delivery and personal autonomous vehicles, thereby diversifying its revenue streams.
Mary Barra, Chief Executive Officer of General Motors Co (GM.N)
Despite the current annual loss of $2 billion incurred by Cruise, Barra remains steadfast in her optimistic outlook. Unlike some industry rivals who abandoned their autonomous vehicle efforts due to mounting losses, Barra maintains a strong vision for the future of GM. Cruise has made notable expansions this year, extending its operations beyond its San Francisco base to cities in Arizona and Texas. Barra acknowledged that these states offer a more favourable regulatory environment for self-driving vehicles, thereby providing Cruise with additional growth opportunities.
Also Read: General Motors Recalls Over 9 Lakh Vehicles Due To Defective Airbags
The interiors of the Cruise self-driving vehicles being developed by GM
GM is currently facing challenges in Washington, where obtaining clearance to launch large fleets of purpose-built self-driving vehicles has proven to be a protracted process spanning over six years. Moreover, the brand has also submitted a petition to the National Highway Traffic Safety Administration (NHTSA) requesting permission to deploy up to 2,500 of its Origin vehicles, featuring subway-like doors and no steering wheel and are awaiting a response from NHTSA.
Also Read: General Motors Contemplates F1 Engine Programme
Barra's unwavering optimism indicates that General Motors is committed to driving innovation and seizing the opportunities presented by autonomous and electric vehicles. With ambitious goals and a determined CEO leading the way, GM is poised to reshape the future of transportation.
