SDV headwinds: GM scales back Software and Services team

The transition to a software-defined future continues to plague established automakers. Following recent software headaches at Volvo and Volkswagen,  General Motors is the latest to come under the spotlight as the company streamlines its Software and Services organisation.

CNBC originally broke the news, reporting that GM was cutting about 1,000 salaried jobs within Software and Services, including 600 at the Warren technology campus in Michigan. A spokesperson for GM has confirmed planned redundancies, though not the exact number, telling Automotive World: “As we build GM’s future, we must simplify for speed and excellence, make bold choices, and prioritise the investments that will have the greatest impact. As a result, we’re reducing certain teams within the Software and Services organisation. We are grateful to those who helped establish a strong foundation that positions GM to lead moving forward.”

GM’s Software and Services division covers a range of areas including OnStar, infotainment and subscriptions. The company declined to comment on any more specifics or the consequences of a smaller team for the “tech-forward future” of which Chief Executive Mary Barra has spoken.