(MENAFN- Baystreet.ca) General Motors' (NYSE:GM) majority-owned autonomous vehicle subsidiary Cruise is expanding operations internationally to Dubai.
San Francisco-based Cruise has signed an agreement with the Dubai Roads and Transport Authority to be the exclusive provider for self-driving taxis and ride-hailing services through 2029, officials announced early Monday.
Financial terms of the deal, which Dubai's crown prince is calling a first of its kind globally, were not disclosed.
Cruise expects to begin operating in the United Arab Emirates city in 2023. A company spokesman declined to say when self-driving vehicles are expected to be available to the public in Dubai. According to a press release announcing the plans, Cruise expects to operate a fleet of up to 4,000 self-driving vehicles in Dubai by 2030.
The deal marks significant expansion plans for Cruise, which has been concentrating its self-driving vehicle testing in San Francisco. It has grown its registered testing fleet to more than 200 vehicles but hasn't yet announced when it plans to offer a robotaxi fleet to the public in San Francisco. It initially planned to do so in 2019.
"The selection of Cruise was not taken lightly. We engaged in a comprehensive, multi-year process to choose the best possible partner," said Mattar Mohammed Al Tayer, director-general and chairman of the Dubai RTA Board of Executive Directors.
The release announcing the deal said Dubai is expected to be the first non-U.S. city for the Cruise Origin, an all-electric autonomous vehicle the company unveiled last year.
As for its parent, GM shares ducked 38 cents in early Monday trading, to $59.78.
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