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Automotive Firms Cut Thousands of Salaried Jobs While Adding AI Roles

General Motors, Ford, and Stellantis have reduced combined U.S. salaried employment by more than 20,000 positions since recent peaks. The companies are simultaneously recruiting staff with AI development skills to support new technology projects.

TechCrunch
1 source·May 17, 4:05 PM(12 days ago)·1m read
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Automotive Firms Cut Thousands of Salaried Jobs While Adding AI Rolesdigitimes.com
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General Motors laid off more than 600 salaried employees, representing over 10 percent of its IT department, as part of a shift toward AI-focused roles. The company stated it is hiring workers with experience in AI-native development, data engineering, analytics, cloud engineering, and model development.

U.S. salaried jobs, or 19 percent of their combined workforces, from recent employment peaks this decade. The reductions occurred alongside broader adoption of AI tools across the automotive sector.

Samsara trained a model on data from cameras installed in millions of trucks to detect potholes and assess their rate of deterioration. The company is offering the product to cities and has secured contracts that include Chicago.

Rivian spinoff Mind Robotics raised $400 million in a funding round two months after securing $500 million. 3 billion across founder RJ Scaringe's three companies, excluding IPO proceeds and recent strategic agreements. Rapido raised $240 million in a round led by Prosus that valued the Indian ride-hailing company at $3 billion.

Arkeus, an Australian startup developing perception software for autonomous drones, raised $18 million in a Series A round. Aseon Labs, a Redwood City startup focused on autonomous fleet maintenance, emerged from stealth with backing from Y Combinator.

Quantum Systems, a German drone company, is in talks to raise approximately €600 million with potential participation from Airbus and Blackstone.

Key Facts

GM IT layoffs
more than 600 salaried employees, over 10% of department
Combined cuts
Ford, GM, Stellantis cut over 20,000 U.S. salaried jobs
Samsara model
detects potholes using truck camera data
Mind Robotics
raised $400 million after prior $500 million round

Potential Impact

  1. 01

    Automotive companies may continue shifting hiring toward AI-related technical roles.

  2. 02

    Ride-hailing and drone startups may pursue additional capital raises.

  3. 03

    Cities could adopt automated road monitoring systems from fleet data providers.

Transparency Panel

Sources cross-referenced1
Confidence score75%
Synthesized bySubstrate AI
Word count229 words
PublishedMay 17, 2026, 4:05 PM
Bias signals removed2 across 1 outlet
Signal Breakdown
Editorializing 1Speculative 1

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