August 19th, 2024

General Motors cutting salaried tech workforce to 'prioritize investments'

General Motors is laying off over 1,000 salaried employees, mainly in Michigan, to prioritize investments in its software division, following the promotion of two former Apple executives.

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General Motors cutting salaried tech workforce to 'prioritize investments'

General Motors (GM) is laying off over 1,000 salaried employees, primarily from its Michigan tech campus, as part of a strategy to prioritize investments in its software and services division. This decision follows the recent promotion of former Apple executives David Richardson and Baris Cetinok to lead this division. GM stated that the layoffs are necessary to simplify operations and focus on impactful investments. The company's shares saw a slight increase in premarket trading following the announcement. The layoffs reflect GM's ongoing efforts to adapt to the evolving automotive landscape and streamline its workforce for greater efficiency.

- GM is cutting over 1,000 salaried positions, mainly in Michigan.

- The layoffs aim to prioritize investments in the software and services division.

- This move follows the promotion of two former Apple executives to lead the division.

- GM emphasizes the need for simplification and impactful investment choices.

- The company's stock experienced a minor increase in premarket trading after the announcement.

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By @heymijo - 6 months
Interesting considering GM's announcement to move away from Apple Carplay to a proprietary tech system. Looking for updates I found a few articles that smell like submarines [0], even though the contents don't necessarily match the headlines IMO [1] [2].

Headline: GM’s New Car Software Is Good Even Without Apple’s CarPlay

Details: A GM representative initially guided me through the process of syncing my iPhone over Bluetooth to handle calls and texts, and it requires about 16 clicks to grant the necessary privacy permissions. My wife, accustomed to one-click CarPlay access in our Subaru, later went through this on-boarding herself and found it annoying and complicated without the guidance I had.

Logging into apps is done via QR codes, similar to how you’d sign in to streaming services on a modern TV. Once all that’s set up, though, the experience is pretty smooth.

I'm also reminded of Ha Phan, a thoughtful designer who I'm familiar with via Twitter. She went to Ford for a brief stint a few years ago and left when seeing their tech rhetoric didn't match up with their BigCo bureaucracy [3]. Ford is obviously not GM, but I wouldn't expect any different from a legacy automaker.

[0] https://paulgraham.com/submarine.html [1] https://www.bloomberg.com/news/newsletters/2024-05-06/gm-s-n... [2] https://insideevs.com/reviews/726471/gm-carplay-cadillac-lyr... [3] https://x.com/hpdailyrant/status/1699191645709930841

By @toomuchtodo - 6 months
https://www.cnbc.com/2024/08/19/gm-lays-off-more-than-1000-s...

* GM is laying off more than 1,000 salaried employees globally in its software and services division following a review to streamline the unit’s operations.

* The layoffs include roughly 600 jobs at General Motors’ tech campus near Detroit.

* The job cuts represent about 1.3% of the company’s global salaried workforce of 76,000 as of the end of last year.

By @lazycog512 - 6 months
it's almost like someone made tech salaries not immediately 100% tax deductible or something
By @JanSolo - 6 months
Experienced software people are difficult to hire. Doubly so if your company has a bad reputation for not valuing software and the benefits it can provide; which GM certainly qualifies as.

This seems, on the surface, to be a pretty major own-goal. I wonder what the rationale for it is? I expect there's something going on that we havn't heard about yet.

By @gamblor956 - 6 months
Non-tech industries tend to underestimate the importance of tech, but tech workers greatly overestimate the importance of tech.

CarPlay and Android Auto don't drive car sales. And most non-techies don't like the CP/AA experiences; they actually prefer the OEM interfaces, even though they're slower, because the OEM interfaces aren't constantly changing every few months.

This see-saw will probably go on a few more years before it reaches equilibrium; probably similar to the same equilibrium that existed before CP/AA but with different suppliers (meaning, in-house workers customizing a third-party solution).

By @P_I_Staker - 6 months
I have a friend at GM. I am inside this guy. He says things could be going better; but they can always get worse.
By @cbsks - 6 months
Is there a resource that shows what tech stacks are running on a particular car model? Android vs QNX? Integrated vs separate instrument cluster and infotainment? Google/Apple Car Play vs whatever?