Last week, General Motors Co. briefed investors on its plans to double annual revenues by the end of the decade while growing margins as it transitions to an all-electric future. The company has already announced plans to invest $35 billion through 2025 in electric and autonomous vehicles (EVs and AVs) and launch more than 30 new EVs globally.

“GM’s vision of a world with zero crashes, zero emissions, and zero congestion has placed us ahead of much of the competition in electrification, software-enabled services, and autonomy,” said GM Chair and CEO Mary Barra. “Our early investments in these growth trends have transformed GM from automaker to platform innovator, with customers at the center. GM will use its hardware and software platforms to innovate and improve their daily experience, leading everybody on the journey to an all-electric future.”

Joining Barra for the two-day event at the GM Global Technical Center in Warren, MI, were top company execs Mark Reuss, President; Doug Parks, Executive Vice President, Global Product Development, Purchasing and Supply Chain; Alan Wexler, Senior Vice President, Innovation and Growth; Dan Ammann, CEO of Cruise; Gerald Johnson, Executive Vice President, Global Manufacturing and Sustainability; and Paul Jacobson, Chief Financial Officer.

 

Far-ranging opportunities

GM plans to double annual revenues from a five-year average of about $140 billion by the end of the decade, with software and new businesses growing at nearly 50% CAGR through 2030 and the company’s strong core auto business driving growth.

The company projects EV revenue to grow from about $10 billion in 2023 to about $90 billion annually by 2030 as the company launches several EVs in high-volume segments. It expects connected vehicles and other new businesses to drive more than $80 billion in new revenue, with most of the growth accelerating through the back half of the decade as they scale. With its Cruise autonomous vehicle operation, GM has a market-leading position in autonomous services with the potential to deliver $50 billion in revenue annually by the end of the decade.

BrightDrop, a new GM business that is building a connected and electrified ecosystem of delivery products and services for commercial customers, expects to deliver $5 billion in revenue by mid-decade and potentially $10 billion by the end of the decade when it is planned to approach 20% margins.

GM has a portfolio of 20 new startup businesses—some launched, others nearing launch—helping to provide a pipeline of innovation and potential new revenue streams. Leaders provided a preview of an all-new software-enabled startup in development, internally called Future Roads, which uses data analytics to create insights about safer roadways and communities.

 

Electrification acceleration

Plans call for more than 50% of the company’s North America and China manufacturing footprint to be capable of EV production by 2030.

The company plans to reach leadership in EV market share in the U.S. while growing its profits from internal-combustion-engine vehicles. Its growth will be driven by the Ultium modular EV platform that the company developed to launch a portfolio of EVs using common, scalable components.

The array of Ultium-powered EVs will include high-volume entries such as a Chevrolet crossover priced around $30,000; Buick crossovers; trucks from Chevrolet, GMC, and the Hummer EV; and at the upper-end Cadillac EVs such as the upcoming Lyriq and Celestiq.

At the event, it provided a glimpse of one of several Ultium-based EVs it is planning—the Silverado EV pickup, which will make its global debut in January at CES 2022 in Las Vegas. The reveal will take place during the opening keynote delivered by Barra on Wednesday, January 5.

Designed as an EV from the ground up, the brand also confirmed that the electric Silverado will offer customers a GM-estimated range of more than 400 mi (644 km) on a full charge.

It will feature an available segment-leading fixed-glass roof for retail models, offering increased headroom and an enhanced experience of spaciousness for both front and rear passengers. Fleet and retail versions of the electric Silverado will offer customers a variety of options including four-wheel steering.

 

BrightDrop mid-sized electric light commercial vehicle

Just before the investor event, BrightDrop, GM’s “technology startup” intended to decarbonize last-mile deliveries, announced the completion of the first production builds of the EV600. Its first electric light commercial vehicle (eLCV), initially for FedEx Express in time for the holiday season, comes amid global supply chain delays and shortages.

GM says its record-setting development timeline of just 20 months for the truck was made possible by leveraging the Ultium battery platform, innovative virtual development processes established by the GMC Hummer EV program, and an agile approach to manufacturing development.

“Getting our first electric vehicles on the streets in record time before another peak holiday shipping season is the best gift we could receive this year, especially when we consider the supply chain headwinds the world is facing right now,” said Travis Katz, BrightDrop President and CEO. “As e-commerce demand continues to increase, and the effects of climate change are felt like never before across the globe, it’s imperative that we move quickly to reduce emissions. BrightDrop’s holistic delivery solutions are designed to help tackle these challenges head-on.”

To hit this production milestone, BrightDrop is partnering with supplier partner Kuka AG for initial low-volume production while the conversion of GM’s CAMI Assembly Plant in Ingersoll, Canada, is completed. CAMI will serve as the large-scale production home of BrightDrop’s EV600 van starting in November 2022.

The company also unveiled a new addition to its vehicle lineup. The EV410 is a mid-size eLCV designed for smaller, more frequent trips. Verizon, one of the largest fleet operators in the U.S., is the first customer slated to integrate the EV410 into its field maintenance and service fleet.

The mid-size delivery van is designed to offer the required “curb management,” maneuverability, and can fit into a standard-size parking space—a key feature to reduce street congestion in urban areas. It packs more than 400 ft3 (11,300 L) of cargo area on a slightly smaller than 150-in (3810-mm) wheelbase and a length under 20 ft (6.1 m). It is designed for faster, smaller payload deliveries or as a service vehicle—from online grocery delivery to telecom maintenance.

“Mainstream EV adoption by businesses will require the largest fleet operators to work together with innovators like BrightDrop in the development of vehicles that meet the particular needs of our business,” said Ken Jack, Vice President of Fleet Operations for Verizon. “Adding the EV410 to our fleet is the latest step in our commitment to Verizon achieving net-zero operational emissions by 2035.”

The EV410 will be available with many of the same range, segment-leading safety, and driver convenience features of the EV600. It is available at a gross vehicle weight rating of less than 10,000 lb, with an estimated range of up to 250 mi (402 km).

In the BrightDrop ecosystem of last-mile solutions, the EV410 and EV600 join the EP1, an all-electric smart container designed to replace the dolly, and a software platform for fleet and asset management.

EV410 production is planned for 2023 at CAMI Assembly.

 

Ultifi joins Ultium

GM is adding an end-to-end software platform called Ultifi to its Ultium portfolio of EV systems in a dual-platform strategy that it says will help it aggressively expand digital services and increase the lifetime value of its vehicles. The software platform, designed to unlock new vehicle experiences and connect customers’ digital lives, will help enable frequent and seamless delivery of software-defined features, apps, and services to vehicles over the air.

Ultifi builds upon the Vehicle Intelligence Platform (VIP), GM’s advanced electrical architecture that promises plenty of data bandwidth, robust cybersecurity, and lightning-fast processing power. On this foundation, GM engineers will separate key software into a new centralized layer that acts as a powerful hub for vehicle systems.

“GM has decades of experience writing vehicle software, creating a solid foundation to build on,” said Reuss. “Now with Ultifi, we will be able to improve our software continuously, and deliver new features and apps to customers in a fraction of the time.”

Customers can expect regular updates and will be able to choose from a suite of over-the-air upgrades, personalization options, and new apps. The company intends for the customization to help it reimagine the ownership experience, with some of these upgrades and settings saved to authenticated accounts so they can be transferred among compatible GM vehicles.

“Increased flexibility and faster software development are two major benefits of this new technology,” said Scott Miller, GM, Vice President, Software-Defined Vehicle. “Our in-house developers are designing Ultifi to maximize software reuse, which frees up more time to create value-adding features and services for our customers.”

GM gave a few examples of how users could benefit from Ultifi’s advanced cloud-based connectivity. Internal cameras could be used for facial recognition to start the vehicle’s engine. Based on route planning and GPS, teen driver settings could be adjusted for extra caution in a school zone or vehicles could even communicate with a smart home in route to deactivate the security system and adjust the thermostat.

Connectivity could potentially extend to V2X (vehicle-to-everything) applications to help advance GM’s goal of zero crashes and zero congestion. Through communication with other connected devices and infrastructure, drivers could be alerted to hazards or changing road conditions and be able to effectively time traffic signals.

The Ultifi in-house platform is being designed with external developers in mind. It uses Linux software, which allows GM to give authorized third-party developers access to innovate on behalf of its customers.

Starting in 2023, Ultifi will be enabled by hardware built into select next-generation products encompassing internal combustion and electric vehicles.

 

Ultra Cruise adds greater hands-free capabilities

GM shared the first details of Ultra Cruise to be offered in 2023, a significant next step in hands-free advanced driving-assistance technology in the company’s journey to enable its goal of zero crashes, zero emissions, and zero congestion. Designed to ultimately enable hands-free driving in 95% of all driving scenarios, the company promised that Ultra Cruise eventually can be used on every paved road in the U.S. and Canada.

Ultra Cruise will cover more than 2 million mi of roads at launch in the U.S. and Canada, with the capacity to grow up to more than 3.4 million mi. The company promises that users will be able to travel hands-free with Ultra Cruise across nearly every road including city streets, subdivision streets, and paved rural roads, in addition to highways.

“Ultra Cruise is not just a game-changer in terms of what it enables—a door-to-door hands-free driving experience—but a technological one as well,” said Doug Parks, GM Executive Vice President of Global Product Development, Purchasing and Supply Chain. “It’s been developed completely in-house.”

GM’s two hands-free advanced-driver-assist systems will coexist in the company’s lineup.

“The combination of Ultra Cruise for premium offerings and Super Cruise for lower-cost products will enable us to offer driver-assist technology across price points and segments,” explained Parks.

Ultra Cruise is powered by a 5-nm, scalable compute architecture future-proofed through the Ultifi software platform and VIP electrical network. It can add features, functions, and services over time through frequent over-the-air updates.

Notable intended capabilities include the ability to react to permanent traffic control devices, follow speed limits, and support automatic and on-demand lane changes, left and right-hand turns, close object avoidance, and parking in residential driveways. The system uses a combination of cameras, radars, and LiDAR (behind the windshield), with redundancies in critical areas.

“We believe that the combination of different sensors, or sensor fusion, leads to the most robust hands-free driver-assist system for our customers,” said Parks.

A key component of Ultra Cruise is its HMI (human-machine interface), the primary element being a freeform display directly in the driver’s line of sight designed to help him/her stay focused on the road and stay engaged behind the wheel, ready to take over if required. Super Cruise’s driver attention camera system will be carried over to Ultra Cruise.

GM is developing an Ultra Cruise app that will be viewable in the center display only when the vehicle is parked, with “more centrally located information” including driver’s statistics, trips, and history.

Cadillac will be the first to introduce the Ultra Cruise technology.