GM Cruise receives $2.25bn investment from Softbank Vision Fund

By Pouyan Broukhim

GM Cruise, the autonomous driving division of General Motors, has announced that it is set to receive a new $2.25bn investment from Tokyo-based Softbank’s Vision Fund.

“Teaming up with SoftBank adds an additional strong partner as we pursue our vision of zero crashes, zero emissions and zero congestion,” said GM Chairman and CEO Mary Barra.

See also:

The investment gives Softbank a 19.6% stake in GM Cruise, valuing the self-driving startup at $11.5bn.

“The GM Cruise approach of a fully integrated hardware and software stack gives it a unique competitive advantage,” said Michael Ronan, Managing Partner of Softbank Investment Advisers. “We are very impressed by the advances made by the Cruise and GM teams, and are thrilled to help them lead a historic transformation of the automobile industry.”

The investment will come in two stages. Initially, Softbank will provide $900mn at the closing of the transaction, later providing the additional $1.35bn as the Cruise autonomous vehicles become ready for commercial deployment.

“We’re excited to be joining forces with a tech leader who shares our belief that AV technology will change the world,” said GM President Dan Ammann. “We look forward to partnering with SoftBank as we work toward deploying this technology safely and in massive scale.”

GM expects to reach autonomous vehicle commercialization at scale at the beginning of 2019.

Share

Featured Articles

DEI done right: Brook Sims, COO, MAC Diversity Recruiters

Passionate about helping others find their voice, diversity leader and COO Brook Sims talks powerful leadership, diverse teams and being a change agent

Q&A: China’s ecommerce innovator Jeff Li, CEO of Shoplazza

Named in Fortune China’s 40 under 40 for 2022, former Baidu head Jeff Li is the entrepreneurial founder and CEO of ecommerce platform Shoplazza

How hybrid work is revolutionising the physical office

As hybrid work models roll out worldwide, the purpose of the office is changing with collaboration, connection and networking taking centre stage

Trailblazer: Shanique Bonelli-Moore, DEI chief at Clorox

Sustainability

Dean Forbes – the Forterro CEO aiming for the moon

Leadership & Strategy

Why becoming a B Corp is good for business

Sustainability