Kyle Vogt, Co-founder and CEO of Cruise, steps down.
Kyle Vogt, the serial entrepreneur who co-founded Cruise and guided it from a garage startup to being acquired and owned by General Motors, has stepped down.
Kyle Vogt, the entrepreneur renowned for co-founding and leading Cruise, has resigned from the company, as revealed in an email to employees on Sunday evening. This news was further confirmed by a separate internal email from GM Chair and CEO Mary Barra.
In response to Vogt's departure, GM has appointed Mo Elshenawy, currently Executive Vice President of Engineering at Cruise, as the new President and CTO. Craig Glidden, a Cruise board member and GM’s EVP of Legal and Policy, will continue as Chief Administrative Officer. Jon McNeill, a GM board member with previous executive roles at Lyft and Tesla, joins as Vice Chairman of the Cruise Board.
As of now, no CEO replacement has been announced.
Vogt's exit follows a challenging period for Cruise, particularly after the California DMV suspended the company's self-driving vehicle permits due to an incident on October 2. This suspension came after a pedestrian, initially hit by another car, was subsequently run over and dragged by a Cruise robotaxi. The DMV cited Cruise for withholding crucial video footage from the incident.
In his email to Cruise employees, Vogt reflected on the company's journey from a garage startup to delivering over 250,000 driverless rides, expressing gratitude to everyone involved in the journey. He shared his sadness at leaving but remained confident in Cruise's bright future and the team's capabilities.
Barra's email acknowledged Vogt’s impactful contribution to Cruise, expressing respect for his decision to resign and optimism for the company's mission and technological potential.
The incident has significantly impacted Cruise's operations and morale, leading to the suspension of commercial operations in San Francisco, layoffs, and internal discontent. Employee frustration peaked last week when Cruise paused its employee share-selling program, a move that was later partially reversed.
Vogt's departure marks a significant change for Cruise, which he co-founded with Dan Kan in 2013. The company, initially focused on retrofitting vehicles for autonomous driving, pivoted its business model and was acquired by General Motors in 2016 for over $1 billion. Vogt's entrepreneurial journey also includes founding Justin.tv, Twitch (acquired by Amazon), and Socialcam (acquired by Autodesk).