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General Motors Kicks Off The Year With A Bang

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General Motors Kicks Off The Year With A Bang

Despite the fact that General Motors Company (NYSE: GM) was unable to block a court case regarding its ignition scandal from proceeding this year, the firm is hoping to wow investors with new projects and help people forget the turmoil caused by the faulty switches in 2015.

Just days into the New Year, the firm has already begun to lay out its plans to become ingrained in the tech revolution by investing in strategic startups and continuing to work on the latest car technologies.

Lyft


One of the biggest stories of the New Year was GM's $500 million investment in Lyft, a ride-sharing startup that competes with Uber.

The deal marks an important milestone in the sharing economy, as it is the first time a major automaker has invested in such a service. Companies like Lyft and Uber threaten to upend the auto industry, as they significantly reduce the need to own a car.

However, General Motors is hoping to work together with Lyft to develop a service that hails self-driving vehicles, something that may help the company weather a ride-sharing storm in the future.

Related Link: Trouble Ahead For GM?

Electric Cars

On Tuesday, General Motors will also unveil its latest electric car offering at the Consumer Electronics Show (CES 2016) in Las Vegas.

The firm has been working on an electric car called the Chevrolet Bolt, which will be able to drive 200 miles in between charges. The vehicle is expected to be road ready by 2017, and many believe that it will be in direct competition with Tesla Motors Inc (NASDAQ: TSLA)'s low cost option— the Model 3, which is set to debut in March.

Is It Enough?

General Motors has been on the radar for many traders recently as the company appears to have done a 180 since last year's ignition switch crisis. While court cases this year will determine whether the financial implications of the faulty switch will continue to haunt the firm in coming years, many believe that the public has regained trust in the brand and that its efforts to ensure a strong position in the future are a good reason to invest.

Image Credit: By William Oliver [CC BY 2.0], via Wikimedia Commons

Posted-In: CES Chevrolet Bolt Consumer Electronics ShowLong Ideas News Markets Trading Ideas General Best of Benzinga

 

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