GM Absorbs Electric Van Subsidiary BrightDrop Into Company

Maker of Delivery Vans Serving FedEx and Ryder to No Longer Operate as Subsidiary
BrightDrop van
The BrightDrop Zevo 600 electric delivery van at Sloan Engineering South at the Warren Tech Center campus in Warren, Mich. (Clarence Tabb Jr./The Detroit News/TNS)

[Stay on top of transportation news: Get TTNews in your inbox.]

BrightDrop, a General Motors Co. commercial electric vehicle startup formed in 2021, no longer will operate as a subsidiary and is now becoming part of GM, the automaker said Nov. 16.

BrightDrop was born from GM’s Innovation Lab and was a wholly owned subsidiary for the past three years. In that time, BrightDrop produced a product portfolio of electric vans for customers such as FedEx and Ryder using the “agility and innovation of a tech startup” with access to “GM’s deep manufacturing expertise,” the company said.

“As BrightDrop has matured, we are now bringing that ethos back to GM so our work is more efficient, and so BrightDrop’s startup spirit can help fuel further success with GM’s commercial customers,” GM said in a statement.

The move could affect a small number of BrightDrop workers, but most are expected to integrate into GM, according to the company.

BrightDrop electric delivery vans, the Zevo 600 and Zevo 400, will continue to be part of GM Envolve, a business unit the automaker created in May that encompasses products, technologies and services to help its fleet customers.

Additionally, GM is bringing together all commercial digital solutions, including BrightDrop Core, into its software and services organization.

GM says it “remains committed to scaling BrightDrop Zevo production,” which it had to halt in September but is expected to resume in the spring.

Want more news? Listen to today's daily briefing below or go here for more info:

Distributed by Tribune Content Agency, LLC