The Detroit automaker’s innovation division has identified $1.3 trillion in new market opportunities that it believes complements its core business.
The Detroit automaker’s innovation division has identified $1.3 trillion in new market opportunities that it believes complements its core business and it has a right to “win in,” company executives told CNBC.
That does not include GM’s majority-owned autonomous vehicle unit Cruise, which could be $8 trillion market in the future, or urban air mobility, which it predicts will be a more than $1 trillion market of its own, the executives said.
“Our whole goal is to grow the [total addressable market] through utilizing existing GM assets, know-how, IP where we have existing capabilities to solve new problems for maybe customers we have now, maybe customers that we don’t have now,” Pam Fletcher, GM vice president of global innovation, said during a video interview.
GM’s innovation team has about 20 initiatives in its pipeline that target that $1.3 trillion in potential new markets, according to Alan Wexler, GM’s senior vice president of innovation and growth.
Wexler said the team is evaluating urban air mobility—flying vehicles—for the mid-2030s as well as more sustainable businesses such as recycling electric vehicle batteries to use as power generators.
“This is just the beginning for the next generation of General Motors,” CEO Mary Barra told investors Wednesday during GM’s first-quarter earnings call. “We are well on track with our plans to transform our company and lead the industry into the future.”