Cruise, a division of General Motors, recently saw a big shakeup when its CEO, Kyle Vogt, resigned over safety concerns and an investigation into the company's US fleet. The decision comes just a day after Vogt issued an apology to the company's staff, acknowledging the challenges faced by Cruise in recent weeks.
Kyle Vogt, who co-founded Cruise in 2013, told workers, "I have resigned from my position," in an email, as per Reuters. The resignation follows several setbacks for the firm, including the halting of US self-driving car testing. After Cruise's driverless taxi dragged a pedestrian on October 2, this suspension was imposed to conduct a thorough safety evaluation.
Cruise Founder and CEO Kyle Vogt speaks onstage during TechCrunch Disrupt 2023 at the Moscone Center on September 20, 2023, in San Francisco, California.
Vogt Taking Responsibility of Cruise Situation
According to a Reuters report, Vogt admitted responsibility for Cruise's current state. The report quoted him saying, "As CEO, I take responsibility for the situation Cruise is in today. There are no excuses, and there is no sugar coating what has happened. We need to double down on safety, transparency, and community engagement."
The resignation of Vogt comes at a critical time for Cruise, impacting an industry reliant on public trust and regulatory cooperation. Cruise had recently announced ambitious plans to expand its autonomous taxi services to more cities.
In response to Vogt's departure, GM Chair and CEO Mary Barra announced key leadership changes within Cruise. Mo Elshenawy, the current executive vice president of engineering at Cruise, will assume the roles of president and CTO. Additionally, Craig Glidden, a Cruise board member and GM's EVP of legal and policy will continue as chief administrative officer, while Jon McNeill, a recent addition to GM's board and former COO of Lyft and president of Tesla, has been appointed vice chairman of the Cruise board.
According to Cruise spokesman Aaron Mclear, Mo Elshenawy, executive vice president of engineering, will become president and chief technology officer. GM's executive VP of legal and policy and Cruise board member Craig Glidden will serve as Cruise's president and chief administrative officer, as stated last week.
Former Lyft and Tesla CEO Jon McNeill, who sits on the GM and Cruise boards, was chosen vice chairman of the Cruise board, Mclear said, per TechCrunch.
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"As we previously announced, Cruise has paused operations while we take time to engage third-party experts and strengthen public trust," he said, adding that the outcomes of our continuous evaluations will guide future initiatives as we construct a safer, more transparent, and more trustworthy service.
On Sunday, GM CEO Mary Barra emailed Cruise staff, complimenting Kyle Vogt for "his tremendous vision," according to the New York Times.
"The board and I also want you to know that we are intensely focused on setting up Cruise for long-term success. Public trust is essential to this. As we work to rebuild that trust, safety, transparency and accountability will be our north stars," as quoted by the San Francisco Chronicle.
Cruise Robotaxis Under Fire
Kyle Vogt's resignation coincides with the aftermath of the California Department of Motor Vehicles suspending Cruise's operations in San Francisco. Cruise is unable to operate its robotaxis without a human driver on board as a result of the alleged regulatory misrepresentation and the withholding of crucial video evidence about the incident on October 2. The company is still permitted to conduct technology testing with a safety driver present.
The incident on October 2 marked a significant event in the autonomous vehicle space, resulting in severe injuries to a pedestrian. The subsequent fallout led to Cruise issuing a software recall for all its 950 autonomous vehicles to enhance post-collision response capabilities.
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