"To stave that off, Luminar recently laid off 25% of its staff and is trying to sell itself - or parts of itself - to potential buyers. One of them is Luminar founder Austin Russell, who resigned from the CEO role in May during an ethics inquiry. Luminar is also being investigated by the Securities and Exchange Commission, recent filings reveal."
"Volvo is not just a Luminar customer. The two companies have spent much of the last decade working together. Volvo invested in Luminar and helped the Florida-based startup get into some of its first production vehicles. The relationship has been mutually beneficial. Luminar's tech gave Volvo the confidence to dish out big promises about making the roads safer by offering automated driving features. Volvo gave Luminar credibility ahead of a 2020 SPAC merger that made Russell one of the youngest self-made billionaires ever."
Volvo cancelled its five-year contract with Luminar, ending a decade-long partnership that had helped Luminar enter production vehicles and gain investor credibility. Luminar recently defaulted on several loans and warned it may need to declare bankruptcy while negotiating with lenders. The company laid off 25% of staff and is attempting to sell itself or parts of the business. Founder Austin Russell resigned as CEO in May amid a board ethics inquiry, and the company is under SEC investigation. Luminar struggled to diversify beyond Volvo, cut workforce and outsourced sensor manufacturing, weakening its position as Volvo removed the Iris lidar from standard equipment.
Read at TechCrunch
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