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Cruise relaunches taxi service in Dallas with drivers behind the wheel

The company looks to resume autonomous service down the road. Cruise, a GM subsidiary of General Motors (GM), has relaunched a trial run of its driver-less taxi service in Dallas using manually driven vehicles without autonomous systems engaged. The move comes after a driverless car in San Francisco dragged a pedestrian 20 feet, leading to the suspension of two of Cruise's driverless permits and the dismissal of nine of its top leaders. The company is using Dallas and Phoenix as a testing ground for resuming autonomous service. Despite California suspending two of the company's permits, Cruise has since laid off a quarter of its staff and cancelled expansion plans and laid off nine of the remaining executives. Despite the suspension, Cruise maintains that it can't regulate autonomous vehicle operations in Texas due to a 2017 state law allowing motor vehicles with automated driving systems to operate in Texas without a human operator.

Cruise relaunches taxi service in Dallas with drivers behind the wheel

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Cruise wants to offer a driver-less option for ride hailing. Photo: Tayfun Coskun/Anadolu via Getty Images

Robotaxi company Cruise has relaunched a trial run of its services in Dallas while trying to rebuild its reputation after one of its driverless cars in San Francisco dragged a pedestrian 20 feet. Why it matters: The GM subsidiary is using Dallas and Phoenix as its proving ground for resuming autonomous service.

The latest: Cruise soft launched a return to Dallas Monday "using manually driven vehicles without autonomous systems engaged," per a memo to City Council members.

• The company calls Dallas "on the forefront of innovation."

Catch up fast: Cruise did not share full details of an Oct. 2 incident in San Francisco, where a pedestrian was struck by another car and thrown into the path of a robotaxi, which also hit and dragged her.

• California suspended two of the company's permits, prohibiting Cruise from operating autonomous taxis there.

• The company then fired nine of its top leaders. At the end of last year, the startup canceled its expansion plans and laid off a quarter of its staff.

Zoom in: In April, Cruise told Dallas city staff that it was analyzing resuming autonomous taxi service in town. The company briefed city leaders on the safety procedures put in place since October.

• The company will operate in a limited area before expanding its trial service in northwest Dallas and parts of northeast Dallas near the Park Cities, per the city memo.

Reality check: The city can't regulate autonomous vehicle operations. A 2017 state law allows motor vehicles with automated driving systems to operate in Texas without a human operator.

The bottom line: Cruise is using drivers to make maps and assess road conditions in the cities where it plans to relaunch before resuming autonomous operations.

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