Self-driving truck firm Embark Technology is shutting down.
The firm introduced its closure Friday in an electronic mail from CEO Alex Rodrigues to Embark workers.
This is the second latest main failure of autonomous know-how firm. Argo AI Inc. folded in October after its most important backers Ford Motor Co. and Volkswagen determined to tug the plug on the autonomous automobile know-how startup.
Rodrigues cited an lack of ability to boost capital and delays in “the prospect of scaled commercial deployment” of autonomous trucking for the closure.
“I am writing to you today with a heavy heart. The last nine months have been tough for the autonomous trucking industry, and for Embark — the capital markets have turned their backs on pre-revenue companies,” Rodrigues stated.
“In challenging times, it is the whole company’s job to be flexible and optimistic in pursuing a sometimes-changing direction — and it is the job of the CEO to navigate the challenges and make sure those directions ultimately get the team to the other side. You held up your end of that bargain, I was not able to hold up mine — for that I am profoundly sorry,” he wrote.
The firm is laying of 70 % of its workers and shuttering places of work in Southern California and Houston. The remaining 30 % will keep on to execute the San Francisco firm’s wind down and sale of property.
The firm stated in an SEC doc filed Friday that its actions have an effect on 230 workers. But it didn’t present a quantity for its complete employment. The firm listed its headcount at 251 in a November SEC doc.
Employees might be paid via June 2. Medical advantages will proceed till Aug. 31.
Embark’s earlier public announcement targeted on increasing its footprint.
A yr in the past, the corporate stated it has partnered with actual property funding agency Alterra Property Group to establish places throughout the Sun Belt that might be used as switch factors for autonomous trucking.
Embark and different self-driving know-how firms have labored on a enterprise mannequin the place human drivers would shuttle freight to freeway adjoining hubs. An autonomous truck would then drive the freight lots of of miles on a digitally mapped interstate to a different hub, the place a human would once more take the wheel for supply.
Embark beforehand stated the system can be in place subsequent yr, however technical hurdles have stretched out the timeline for the enterprise.
Embark additionally has engaged in intensive testing of robotic vans in snowy situations, among the many most troublesome of autonomous driving duties.
Source: www.autonews.com