Current:Home > MyGM’s troubled robotaxi service faces another round of public ridicule in regulatoryhearing -TruePath Finance
GM’s troubled robotaxi service faces another round of public ridicule in regulatoryhearing
View
Date:2025-04-16 19:57:22
General Motors’ troubled robotaxi service Cruise on Tuesday endured a public lashing from a California judge who compared the company to the devious TV character Eddie Haskell for its behavior following a ghastly collision that wrecked its ambitious expansion plans.
The withering comparison to the two-faced Haskell from the 1950s-era TV series, “Leave It To Beaver,” was drawn by Administrative Law Judge Robert Mason III during an hour-long hearing held to consider a proposed settlement of a case accusing Cruise trying to conceal its excruciating role in an incident that resulted in the suspension of its California license.
After a vehicle driven by a human struck a San Francisco pedestrian in early October, a Cruise robotaxi named “Panini” dragged the person 20 feet (6 meters) while traveling at roughly seven miles per hour (11 kilometers per hour).
But the California Public Utilities Commission, which in August had granted Cruise a permit to operate an around-the-clock fleet of computer-driven taxis throughout San Francisco, alleged Cruise then covered up what Panini did for more than two weeks, raising the specter of a potential fine of $1.5 million, depending on how the regulations are interpreted.
A new management team that General Motors installed at Cruise following the October incident acknowledged it didn’t fully inform regulators what Panini did to the pedestrian that night while also trying to persuade Mason that the company wasn’t necessarily being purposefully deceitful.
Mason became so exasperated by Cruise’s mixed messaging during Tuesday’s hearing that he harked back to the TV series starring Jerry Mathers as the Beaver that still pops up in reruns. “For some reason, Eddie Haskell popped in my head,” Mason quipped to Craig Glidden, who now oversees Cruise as its president and chief administrative officer.
Glidden sought to assure Mason that Cruise will accept its culpability for what he described as a regrettable “mistake.” Cruise entered the hearing proposed to settle the case for $75,000, but when Mason contended that the company should be required to pay at least $112,500, Glidden immediately agreed to that figure.
“We want to move forward,” Glidden said. He also reminded Mason that Cruise could still face other repercussions beyond California, with both the U.S. Justice Department and U.S. Securities and Exchange Commission probing the robotaxi service’s conduct.
But Mason indicated that he is leaning toward letting the case continue through the entire hearing process rather than approving a settlement. The judge didn’t set a timetable for resolving the matter.
Tuesday’s hearing came less than two weeks after Cruise released a lengthy report reviewing how the company mishandled things after the pedestrian was hurt.
The report prepared by the law firm of Quinn Emanuel Urquhart & Sullivan rebuked Cruise’s management that has since been dumped for “poor leadership,” and fostering an “us versus them” mentality with regulators. But is also blamed internet connection problems for preventing various regulators from seeing parts of a video showing Panini dragging the pedestrian after the vehicle misread the situation.
Besides parting ways with former CEO and co-founder Kyle Vogt and other top executives, Cruise also has laid off about one-fourth of its workforce as part of GM’s decision to back off its one-time goal of generating $1 billion in annual revenue from the robotaxi service by 2025.
veryGood! (7)
Related
- Sonya Massey's father decries possible release of former deputy charged with her death
- Horoscopes Today, July 10, 2024
- Stock market today: Asian shares zoom higher, with Nikkei over 42,000 after Wall St sets new records
- Taylor Swift performs three tracks for the first time on Eras Tour in Zürich, Switzerland
- Sam Taylor
- Blown landing-gear tire causes a flight delay at Tampa International Airport; no injuries reported
- Hawaii governor wants more legal advice before filling Senate vacancy
- Subway adds new sandwiches including the Spicy Nacho Chicken: See latest menu additions
- Friday the 13th luck? 13 past Mega Millions jackpot wins in December. See top 10 lottery prizes
- Firefighting pilot killed in small plane crash in Montana
Ranking
- EU countries double down on a halt to Syrian asylum claims but will not yet send people back
- PepsiCo second quarter profits jump, but demand continues to slip with prices higher
- Former President Barack Obama surprises at USA Basketball's 50th anniversary party
- Some smaller news outlets in swing states can’t afford election coverage. AP is helping them
- 'Kraven the Hunter' spoilers! Let's dig into that twisty ending, supervillain reveal
- Copa America 2024: Everything you need to know about the Argentina vs. Colombia final
- Ben Affleck and Jennifer Garner's daughter Violet urges Los Angeles officials to oppose mask bans, says she developed post-viral condition
- A 5-year-old child in foster care dies after being left in hot SUV in Nebraska
Recommendation
Skins Game to make return to Thanksgiving week with a modern look
Why USA Basketball decided to replace Kawhi Leonard on the Olympic team
Biden says pressure on him is driven by elites. Voters paint a more complicated picture
Keira Knightley and Husband James Righton Make Rare Appearance at Wimbledon 2024
Pressure on a veteran and senator shows what’s next for those who oppose Trump
Pennsylvania Supreme Court justice in courtroom for brother’s federal sentencing for theft, bribery
Biden administration goes bigger on funding apprenticeships, hoping to draw contrast with GOP
Wisconsin election officials tell clerks best ways to operate absentee ballot drop boxes