Microsoft to invest $2 billion in GM’s Cruise
Cruise and General Motors have entered a long-term strategic relationship with Microsoft to accelerate the commercialisation of self-driving vehicles. The companies will bring together their software and hardware engineering, cloud computing capabilities, manufacturing know-how and partner ecosystem to transform transportation in a bid to create a safer, cleaner and more accessible world for everyone.
“Our mission to bring safer, better, and more affordable transportation to everyone isn’t just a tech race – it’s also a trust race,” said Cruise CEO Dan Ammann. “Microsoft, as the gold standard in the trustworthy democratisation of technology, will be a force multiplier for us as we commercialise our fleet of self-driving, all-electric, shared vehicles.”
To unlock the potential of cloud computing for self-driving vehicles, Cruise will leverage Azure, Microsoft’s cloud and edge computing platform, to commercialise its autonomous vehicle solutions at scale. Microsoft, as Cruise’s preferred cloud provider, will also tap into Cruise’s industry expertise to enhance its product innovation and serve transportation companies across the globe through continued investment in Azure.
Microsoft will join General Motors, Honda and institutional investors in a combined new equity investment of more than $2 billion in Cruise, bringing the post-money valuation of Cruise to $30 billion.
“Advances in digital technology are redefining every aspect of our work and life, including how we move people and goods,” said Satya Nadella, CEO, Microsoft. “As Cruise and GM’s preferred cloud, we will apply the power of Azure to help them scale and make autonomous transportation mainstream.”
“Microsoft is a great addition to the team as we drive toward a future world of zero crashes, zero emissions and zero congestion,” said GM Chairman and CEO Mary Barra. “Microsoft will help us accelerate the commercialisation of Cruise’s all-electric, self-driving vehicles and help GM realise even more benefits from cloud computing as we launch 30 new electric vehicles globally by 2025 and create new businesses and services to drive growth.”
In addition, GM will work with Microsoft as its preferred public cloud provider to accelerate its digitisation initiatives, including collaboration, storage, artificial intelligence and machine learning capabilities. GM will explore opportunities with Microsoft to streamline operations across digital supply chains, foster productivity and bring new mobility services to customers faster.
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