The State of California has forbidden self-driving Cruise vehicles from being on streets in San Francisco due to a pedestrian being pulled beneath its wheels after a collision.
The DMV of the state alleged safety issues due to the company allegedly misinforming regarding the circumstances post the incident.
The company is one of two organizations granted permission to furnish taxi rides with autonomous cars in the city.
Cruise declared in a statement that they would be "temporarily suspending operations in the city".
Autonomous vehicles, known also as driverless taxis, have become a frequent sight in San Francisco, leaving visitors to the city in awe.
As the term implies, the taxi lacks a driver. To secure a ride, a person can use their mobile device to hail a cab and then use it to unlock the door.
Critics express their doubts about the safety of these vehicles and have reservations about permitting them to run in cities.
On 2 October, a person who was walking by was hit and sent into the trajectory of a Cruise vehicle.
Cruise stated that the vehicle registered a crash and stopped, making an effort to avert any potential traffic hazards by moving the person 20 feet forward.
In addition, the DMV has provided additional information.
The agency declared that while executing the hard-braking action, the autonomous vehicle hit and drove over the pedestrian.
After coming to a full stop, the AV car then attempted to execute a pullover while the pedestrian was still underneath it.
The DMV accuses Cruise of giving an inaccurate account of what transpired.
On 3 October, the agency met with Cruise to examine the situation.
The DMV states that the video footage presented to the department finished at the point of the AV's initial stop after a hard-braking motion. It was not demonstrated to the department how the AV then moved to complete a pullover manoeuvre.
Cruise indicated that this was a new situation that had come about as a result of various factors being in place at the same time.
The DMV commented that the incident serves as an indication that Cruise's vehicles may not be able to react in a safe and suitable manner when faced with a situation involving a pedestrian.
The agency reported to the BBC that the suspension does not involve Waymo, the other corporation that provides remunerated self-driving cabs in San Francisco.
Cruise stated that they had remained in close communication with regulators to reply to their queries and helped the police to discern the car of the hit and run driver.
The DMV's decision has caused a substantial setback for Cruise, who had seemed to be doing well in San Francisco only several months ago.
Cruise desires to grow its presence in other cities, such as Phoenix, Arizona. Nevertheless, San Francisco is regarded as the trial run for the company.
In August, the municipality approved Cruise's request for 24-hour taxi services, a major milestone for the company.
It wasn't long until a Cruise automobile was in a collision with a fire truck and the organization was requested to reduce its number of cars on the roads by half.
Emergency service personnel in San Francisco have voiced their disapproval of the corporation's automobiles obstructing streets.
Waymo and Cruise have maintained the stance that their vehicles are more secure than those operated by humans.
However, they can also do things that seem peculiar - or strange or jumpy.
The BBC has put Cruise Autonomous Vehicles (AVs) to the test multiple times on roadways in San Francisco, whereby on one instance the car couldn't execute a right turn and consequently obstructed traffic until it was directed manually.
Residents of San Francisco have a fondness for these vehicles, because they eliminate the possibility of drunk driving, speeding, and the refusal of transportation to disabled individuals.
Some are asking why San Francisco is the chosen site to experiment with novel vehicles.
Throughout the summer, an activist group initiated a campaign to attach street cones to the hoods of automobiles which renders the cars inoperable.
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