GM has been on its own capitally intensive software adventure.

The company has bet heavily on software in recent years.

It ditched the popular smartphone projection technology Apple CarPlay for nearly all of its EVs, and instead turned to a Google-based infotainment system, which is actually quite capable even if it doesn’t yet live up to the standards set by Tesla and Rivian.

It’s poured billions into software and autonomous vehicle technology development too. GM’s capitalized software amortization expense in 2025 was $866 million, which gives a sense of how much it is spending even as it spreads out the cost over years.

Like many legacy automakers, GM has come to the conclusion that the old approach to electronics, which scattered computer chips throughout the vehicle, was holding it back.

For fourth-generation EVs, GM will centralize much of those functions on a Central Compute Unit (CCU) that’s 40-times more powerful than its existing systems. Eliminating smaller chips on the edges will help trim wiring by 30%, saving weight and simplifying assembly.

GM notes that this new CCU will work on fossil fuel models, too, though it will debut in the Cadillac Escalade IQ, a vehicle that is shaping up to be the automaker’s technological flagship.

The CCU will handle the usual propulsion and chassis controls, but also perception and active safety. That should help pave the way for more advanced autonomy features, which GM also announced on Wednesday.

Such a move was perhaps inevitable. Pressure on automakers has been building on all sides.

Domestically, Tesla has been pushing the boundaries of autonomy, in part because it developed a true software-defined vehicle.

Automakers like GM are also feeling pressure from Chinese manufacturers, which have shortened development cycles to two to three years, down from the usual four to five years.

GM intends to match that cadence. Alongside announcements about battery chemistries and autonomy, GM outlined how enterprise AI tools have sped up vehicle development across every sector as it pushes to slash its traditional four-to-five-year development timeline in half.

GM gave a brief glimpse of its revamped development strategy. One example: engineers went through 300,000 virtual designs of a new lithium-manganese-rich battery pack before they assembled the first physical prototype. That helped the concept move to an approved program in one month.

Such speed will help GM save costs as it races to preserve profitability amid a historic upheaval in the automotive industry. But will it be enough to catapult it back into the leadership position it once enjoyed?

The rise of Chinese automakers won’t make it easy. Their factories are capable of producing far more than Chinese consumers can absorb, and coupled with government subsidies and cheaper labor, these vehicles have flooded markets from Europe to South America with inexpensive vehicles.

Chinese automaker’s cost advantage is so steep that, without trade barriers, “they will pretty much demolish most other companies in the world,” Elon Musk said in a 2024 earnings call. In response, he has been trying to pivot Tesla from an automotive company to an AI and robotics company.

GM’s move into autonomy signals a similar shift. But to deliver true autonomy, GM realized it didn’t have the platform it needed. With a new architecture, it should have a fighting chance. When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

Andrew Liszewski is a senior reporter who’s been covering and reviewing the latest gadgets and tech since 2006, but has loved all things electronic since he was...