Cruise, the self-driving subsidiary of General Motors, has reached a settlement with the California Public Utilities Commission (CPUC) after agreeing to pay a $112,500 fine for failing to provide full information about a robotaxi accident that occurred last year. The settlement allows Cruise to avoid litigation and resume operations in the state.
The incident in question took place in October 2023 when a Cruise robotaxi ran over a pedestrian who had been thrown into its path after being hit by a human-driven vehicle. Shockingly, the robotaxi dragged the pedestrian for 20 feet during a pullover maneuver, information that Cruise did not immediately disclose to the CPUC and other regulatory bodies. This failure to share vital information led to the suspension of Cruise’s permits to operate driverless vehicles in California.
Since then, Cruise has taken several corrective measures to address the concerns raised by the CPUC. The company hired law firm Quinn Emanuel to conduct an internal investigation into its operational structure and implemented greater transparency within its corporate operations. Additionally, former CEO Kyle Vogt has left the company as part of Cruise’s efforts to improve its leadership and culture.
The CPUC acknowledged Cruise’s efforts to rectify its past failures and become more transparent, stating that the company is on its way to restoring public trust. As part of the settlement, Cruise is required to regularly share incident information with the CPUC, including increased collision reporting and monthly reports on incidents involving stopped autonomous vehicles that need to be retrieved from the field.
Before the October 2 incident, Cruise faced criticism from the public, politicians, and law enforcement agencies due to its robotaxis malfunctioning in traffic. However, the company has started deploying small fleets with human safety operators behind the wheel in cities like Phoenix, Houston, and Dallas since April to resume testing and mapping.
In California, where rival Waymo is gaining ground, Cruise may adopt a similar approach. While its permits to test and deploy vehicles without a human driver in the front seat have been suspended by the DMV and CPUC, Cruise still holds an active permit to test its vehicles with a safety driver. The company is committed to rebuilding trust with regulators, officials, and communities in San Francisco, where it is headquartered, as well as in other areas where it previously operated.
Both Cruise and the DMV have confirmed that steps have been taken to reinstate the company’s permits, although no specific updates or timeline have been shared. It remains uncertain if the CPUC is preparing to re-approve any of Cruise’s permits, as the agency did not respond to queries regarding this matter.