GM Completes Full Acquisition of Cruise to Focus on Autonomous Personal Vehicles

General Motors (GM) announced on Tuesday that it has completed the full acquisition of its Cruise division, signaling a shift in focus toward developing autonomous technology for personal vehicles, rather than continuing with the robotaxi business. This strategic move comes after GM decided in December to halt funding for Cruise’s robotaxi operations, following a series of challenges including a pedestrian injury caused by one of its robotaxis.

GM plans to integrate Cruise’s autonomous technology into its Super Cruise system, which allows hands-free driving on 750,000 miles of North American roads. Super Cruise is already available on over 20 GM vehicle models, and the company aims to expand its use in urban environments. The merger also involves significant staff reductions, with Cruise cutting around 50% of its workforce, impacting nearly 1,000 employees according to sources close to the matter.

The goal of the acquisition is to accelerate the development of autonomy at scale for personal vehicles, rather than robotaxis. GM believes that this merger will help advance both assisted driving and full autonomy. The company has forecasted that Super Cruise will generate approximately $2 billion in annual revenue within the next five years.

Dave Richardson, senior vice president of software and services engineering at GM, expressed that this move will speed up efforts to bring autonomous driving capabilities to personal vehicles. The transition marks a pivotal moment for GM, as it shifts its focus toward achieving greater success with its hands-free driving technology.

 

Nokia and AT&T Sign Multi-Year Expansion Deal for Voice and 5G Automation

Nokia and AT&T have signed a multi-year expansion agreement aimed at enhancing AT&T’s voice services and automating its 5G network in the U.S. This deal, announced on Tuesday, marks a significant step for Nokia, which follows a setback in 2023 when AT&T selected Swedish rival Ericsson for a major telecoms contract. Despite losing out on that $14 billion contract, which will cover 70% of AT&T’s wireless traffic by 2026, Nokia secured a smaller deal in September to build a fiber network in the U.S. and now has locked in this second agreement for cloud-based voice core applications and network automation.

Raghav Sahgal, president of Nokia’s Cloud and Network Services division, emphasized the importance of the deal, highlighting it as a reinforcement of the longstanding partnership between the two companies. The upgraded core network will integrate new voice services, leveraging AI and machine learning to offer enhanced functionality.

The specific value of the deal was not disclosed, but the partnership is seen as key for Nokia, as it continues to strengthen its foothold in the North American telecoms market. The collaboration with AT&T will focus on optimizing network operations and enabling new services that meet the evolving needs of customers.

Nokia recently reported stronger-than-expected financial results for Q4, driven by growing demand for telecom equipment in North America and India, and it is optimistic about prospects for 2025. In an effort to tap into the AI boom, Nokia also acquired Infinera in a $2.3 billion deal last year, aiming to capitalize on investments in data centers, including the significant Stargate project.

 

Australia Bans DeepSeek on Government Devices Over Security Risks

Australia has announced a ban on the Chinese artificial intelligence startup DeepSeek from all government devices, citing national security concerns. The government issued a mandatory directive requiring all federal agencies to prevent the use or installation of DeepSeek’s products, applications, and web services on government systems. Any existing instances of these services must also be removed, according to a statement released by the Department of Home Affairs.

Home Affairs Minister Tony Burke described DeepSeek as posing an “unacceptable risk” to government technology, with the ban being enforced to protect the nation’s security and interests. The move was made swiftly, responding to growing concerns regarding the startup’s potential vulnerabilities.

This ban does not apply to private citizens, only targeting government-operated systems. The decision follows a broader international trend, with several other countries, including Italy and Taiwan, also taking steps to restrict DeepSeek’s influence. Taiwan recently banned government departments from using the company’s services, while Italy imposed similar measures.

The launch of DeepSeek has raised alarms in the tech industry, particularly with its low cost and minimal hardware requirements compared to rival AI models. The startup’s emergence has led to significant market volatility, with global tech stocks experiencing declines as investors question the viability of Western investments in AI infrastructure.

Australia’s action is part of its broader efforts to tighten control over foreign technology, following its previous ban of the Chinese social media app TikTok on government devices two years ago over similar security concerns.