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Cruise layoffs begin as GM winds down robotaxi business

Credit: Cruise

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General Motors (GM) has officially launched layoffs at its self-driving robotaxi business Cruise, coming just months after the automaker first announced plans to cut funding and wind down operations for the startup.

In December, GM said that it would funding and end Cruise, after the company lost its permit to operate autonomous vehicles and saw major staff shake-ups following an accident involving one of its robotaxis in October 2023. In an all-hands meeting on Tuesday, Cruise said that GM has officially acquired the remainder of the company as it starts to lay off 50 percent of its remaining staff, according to a report from The Verge.

“We are grateful for their passion and contributions to help us reach this stage, and our focus is on supporting them into their next chapter with severance packages and career support,” said Sara Autio, a Cruise spokesperson. “While not an easy decision, we are focused on combining efforts with General Motors to accelerate autonomy at scale on personal autonomous vehicles.”

With the winding down of Cruise, GM will move away from the commercial robotaxi business altogether, and instead focus on in-house driver assistance development.

“By combining the specialized technology and talent at Cruise with our team developing Super Cruise, we’ll have the ability to accelerate our work on both assisted-driving and autonomous driving,” said Dave Richardson, SVP of software and services engineering at GM. “We look forward to teaming with Cruise to accelerate our work together.”

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READ MORE ON GM’S CRUISE:

Cruise down memory lane: the October 2023 accident and subsequent downfall

Just a couple of months after gaining approval to operate its autonomous ride-hailing service 24 hours a day in San Francisco, a Cruise robotaxi seriously injured a pedestrian who had been hit by a vehicle with a human driver on October 3, 2023. The pedestrian was plunged into the path of the Cruise vehicle by the first impact, at which point the robotaxi attempted to engage an emergency pull-over maneuver, dragging the pedestrian and eventually stopping and pinning the person under its rear axle.

Authorities arrived on scene and used the Jaws of Life to lift the vehicle off the pedestrian, before rushing them to the hospital, according to the San Francisco Fire Department.

The California Department of Motor Vehicles (DMV) immediately suspended Cruise’s permit to operate autonomous vehicles after the accident. Multiple founding executives would go on to step down from the company, and an initial round of layoffs affecting about a quarter of the company came a couple of months later.

Cruise also faced significant scrutiny over its failure to disclose certain details about its response to the accident, facing investigation efforts from the state’s DMV, the California Public Utilities Commission (CPUC) and the National Highway Traffic Safety Administration (NHTSA), which later ordered the company to pay a $1.5 million fine.

While GM spent most of last year talking up its efforts to regain public and regulatory trust and to relaunch Cruise services, the company announced plans to end funding for the business in December, citing “the considerable time and resources that would be needed to scale the business, along with an increasingly competitive robotaxi market.”

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What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

Former Cruise CEO launches robotics firm with ex-Tesla AI manager

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Tesla 2025 Holiday Update: Here’s what it includes, and what it’s missing

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Credit: Grok

Tesla has finally announced the features for the 2025 Holiday Update, which includes a wide variety of new inclusions that are both functional and just for fun.

The new features are plentiful, but there were a handful of things we were expecting to see based on what we know. We don’t want to sound ungrateful, because there are a lot of great new things on the way with this update.

Here’s what was included:

Grok with Navigation Commands (Beta)

Grok will now have the ability to add and edit navigation destinations, which is a drastic improvement considering Tesla owners had to use their standard voice commands for this in the past.

The utilization of Grok will likely improve the navigation experience by offering some insight into your destination, including reviews and other points of interest nearby.

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It will be enabled by using Grok’s “Assistant” personality.

Tesla Photobooth

“Turn your car into a photobooth! Take selfies from inside your Tesla & give yourself a makeover with fun filters, stickers, and emojis. Share with others right from the Tesla app.”

This feature will be available within the Toybox.

Dog Mode Live Activity

When using Dog Mode to keep your four-legged friend comfortable in the car, you’ll now be able to check in on them as it will share periodic snapshots of the cabin, along with live updates on temperature, battery, and climate conditions.

Dashcam Viewer Update

Dashcam clips are awesome, but they’re void of a lot of information, which could be useful in some instances, especially if there is an accident.

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Now, there will be additional details included on each Dashcam clip, like speed, steering wheel angle, and Self-Driving state.

Santa Mode

New graphics, trees, and a lock chime are now available.

Light Show Update

A new Light Show, called Jingle Rush, will be available.

Custom Wraps and License Plates in Colorizer

Colorizer will now be known as “Paint Shop” in the Toybox. You will now be able to personalize your Tesla Avatar with window tints, custom wraps, and license plates. Preloaded designs will be available, but owners will be able to use their USB Flash Drives to create one that suits their style.

Navigation Improvements

Changing the order of your destinations will be easier through a new “Favorites” tab, and Home and Work can now be set by dropping a pin.

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There will also be “Suggested Destinations,” which will be determined through recent trips and habits while parked.

Supercharger Site Map

Perhaps the most significant feature of the Holiday Update, Tesla is adding a 3D view of select Tesla Superchargers by tapping “View Site Map.”

When navigating to a location with this capability, the site layout, live occupancy, and nearby amenities will be available. Drivers will also be able to choose which stall to Supercharge.

This is only available at a handful of locations currently, but it will expand to more Superchargers as it becomes more robust.

Automatic Carpool Lane Routing

Navigation will include an option to utilize carpool lanes. Your route will automatically choose the carpool lane when eligible.

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Phone Left Behind Chime

If the in-car occupant detection system does not see anyone in the car and there is a phone key, or if a phone is left inside the cabin, your Tesla will chime a few seconds after the doors close.

Charge Limit Per Location

You can now save a charge limit for the current location while parked and it will be applied automatically the next time you charge there.

ISS Docking Simulator

In a SpaceX collaboration, Tesla has added this game to its in-car Arcade:

“Become an astronaut and prove your skills by docking with the International Space Station. Control & guide the rocket in this 3D docking simulator game using a set of controls based on actual interfaces used by NASA astronauts.”

Additional Improvements

  • Enable or disable wireless phone charging pads in Controls > Charging (S3XY) or Controls > Outlets & Mods (Cybertruck)
  • Add Spotify tracks to your queue right from the search screen & scroll through large Spotify playlists, albums, podcasts, audiobooks & your library seamlessly, without paging
  • Take the vibes up another level with rainbow colors during Rave Cave. Accent lights color will change along with the beats of your music. App Launcher > Toybox > Light Sync
  • Lock Sound now includes Light Cycle from Tron Mode. Toybox > Boombox > Lock Sound

What’s Missing

There are a handful of features we expected to see with the Holiday Update, but were not included.

Banish Feature

Tesla has been teasing the Banish functionality for quite a few years, but evidently, it is not quite there yet.

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Banish will allow owners to get out of their vehicle at the entrance of their destination, and the car will go find a spot and park itself. Some refer to it as “Reverse Summon.”

Apple CarPlay

With all of the rumors regarding Apple CarPlay and then the evidence that Tesla was working to bring CarPlay to vehicles, we really expected it to come with the Holiday Update.

Tesla reportedly testing Apple CarPlay integration: report

We’re not upset it’s not here, though. Tesla’s in-car UI is significantly better, at least in our opinion.

Parking Spot Selection

One of the biggest gripes about the new Arrival Features with Full Self-Driving v14 is that choosing a set parking spot is not available. This is especially frustrating for Tesla owners who rent or live in townhouse neighborhoods or apartment complexes with assigned parking.

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Tesla seems to be working on this based on the release notes for v14.2, where it said future capabilities would include Parking Spot Selection.

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Man credits Grok AI with saving his life after ER missed near-ruptured appendix

The AI flagged some of the man’s symptoms and urged him to return to the ER immediately and demand a CT scan.

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Credit: Grok Imagine

A 49-year-old man has stated that xAI’s Grok ended up saving his life when the large language model identified a near-ruptured appendix that his first ER visit dismissed as acid reflux. 

After being sent home from the ER, the man asked Grok to analyze his symptoms. The AI flagged some of the man’s symptoms and urged him to return immediately and demand a CT scan. The scan confirmed that something far worse than acid reflux was indeed going on.

Grok spotted what a doctor missed

In a post on Reddit, u/Tykjen noted that for 24 hours straight, he had a constant “razor-blade-level” abdominal pain that forced him into a fetal position. He had no fever or visible signs. He went to the ER, where a doctor pressed his soft belly, prescribed acid blockers, and sent him home. 

The acid blockers didn’t work, and the man’s pain remained intense. He then decided to open a year-long chat he had with Grok and listed every detail that he was experiencing. The AI responded quickly. “Grok immediately flagged perforated ulcer or atypical appendicitis, told me the exact red-flag pattern I was describing, and basically said “go back right now and ask for a CT,” the man wrote in his post. 

He copied Grok’s reasoning, returned to the ER, and insisted on the scan. The CT scan ultimately showed an inflamed appendix on the verge of rupture. Six hours later, the appendix was out. The man said the pain has completely vanished, and he woke up laughing under anesthesia. He was discharged the next day.

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How a late-night conversation with Grok got me to demand the CT scan that saved my life from a ruptured appendix (December 2025)
byu/Tykjen ingrok

AI doctors could very well be welcomed

In the replies to his Reddit post, u/Tykjen further explained that he specifically avoided telling doctors that Grok, an AI, suggested he get a CT scan. “I did not tell them on the second visit that Grok recommended the CT scan. I had to lie. I told them my sister who’s a nurse told me to ask for the scan,” the man wrote. 

One commenter noted that the use of AI in medicine will likely be welcomed, stating that “If AI could take doctors’ jobs one day, I will be happy. Doctors just don’t care anymore. It’s all a paycheck.” The Redditor replied with, “Sadly yes. That is what it felt like after the first visit. And the following night could have been my last.”

Elon Musk has been very optimistic about the potential of robots like Tesla Optimus in the medical field. Provided that they are able to achieve human-level articulation in their hands, and Tesla is able to bring down their cost through mass manufacturing, the era of AI-powered medical care could very well be closer than expected. 

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Tesla expands Model 3 lineup in Europe with most affordable variant yet

The Model 3 Standard still delivers more than 300 miles of range, potentially making it an attractive option for budget-conscious buyers.

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Credit: Tesla

Tesla has introduced a lower-priced Model 3 variant in Europe, expanding the lineup just two months after the vehicle’s U.S. debut. The Model 3 Standard still delivers more than 300 miles (480 km) of range, potentially making it an attractive option for budget-conscious buyers.

Tesla’s pricing strategy

The Model 3 Standard arrives as Tesla contends with declining registrations in several countries across Europe, where sales have not fully offset shifting consumer preferences. Many buyers have turned to options such as Volkswagen’s ID.3 and BYD’s Atto 3, both of which have benefited from aggressive pricing.

By removing select premium finishes and features, Tesla positioned the new Model 3 Standard as an “ultra-low cost of ownership” option of its all-electric sedan. Pricing comes in at €37,970 in Germany, NOK 330,056 in Norway, and SEK 449,990 in Sweden, depending on market. This places the Model 3 Standard well below the “premium” Model 3 trim, which starts at €45,970 in Germany. 

Deliveries for the Standard model are expected to begin in the first quarter of 2026, giving Tesla an entry-level foothold in a segment that’s increasingly defined by sub-€40,000 offerings.

Tesla’s affordable vehicle push

The low-cost Model 3 follows October’s launch of a similarly positioned Model Y variant, signaling a broader shift in Tesla’s product strategy. While CEO Elon Musk has moved the company toward AI-driven initiatives such as robotaxis and humanoid robots, lower-priced vehicles remain necessary to support the company’s revenue in the near term.

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Reports have indicated that Tesla previously abandoned plans for an all-new $25,000 EV, with the company opting to create cheaper versions of existing platforms instead. Analysts have flagged possible cannibalization of higher-margin models, but the move aims to counter an influx of aggressively priced entrants from China and Europe, many of which sell below $30,000. With the new Model 3 Standard, Tesla is reinforcing its volume strategy in Europe’s increasingly competitive EV landscape.

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