GM’s push for new software has also been problematic. | FILE PHOTO: REUTERS
General Motors Co. is laying off more than 1,000 software engineers as the automaker looks to strengthen its software and services organization, a person familiar with the matter said.
More than 600 of the layoffs will be in Michigan, the source said. The moves come two months after former Apple Inc. executives David Richardson and Baris Cetinok were promoted to senior vice president positions at the group.
“As we build GM’s future, we must simplify for speed and excellence, make bold decisions and prioritize investments that will have the greatest impact,” GM said Monday in a statement confirming the cuts, without specifying how many people were affected. GM declined to say how much the reductions will reduce its overall software engineering workforce.
GM has been developing car software that operates more and more of the vehicle’s underlying systems, from battery management and driving features to vehicle content displays, especially in the company’s newer electric models.
The company has been rapidly hiring for software development for several years as part of its push into electric vehicles, self-driving cars and software-related services. The automaker had hoped that new services such as connecting customers to charging stations, digital content and other non-automotive businesses would one day add billions of dollars to its annual revenue.
GM’s push for new software has also been problematic. The company temporarily suspended sales of its Chevrolet Blazer electric SUV and has had problems with its Cadillac Lyriq EV, some of them related to software glitches.
With the Blazer, GM faced consumer backlash for building its own in-vehicle infotainment system to replace Apple’s CarPlay. The automaker had issues with the interior content screen, among other technological problems.
GM shares were trading virtually unchanged at 9:33 a.m. in New York.
First published: August 19, 2024 | 21:58 IS
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