The California Department of Motor Vehicles has suspended the permit for the Cruise robotaxi, writes The Verge. They said that these unmanned vehicles are “dangerous for public operation.”

Recently, there was an incident where a Cruise ran over a pedestrian. And in August, the robotaxi collided with a fire truck, injuring one passenger. In response, the company cut the number of vehicles in half while the city investigated the incident.

The Department noted that it will renew the permit if the company fulfills all security requirements.

San Francisco is the city where Cruise has the most vehicles. It was here that he tested his paid ride service on a robotaxi. And the suspension could have a serious impact on a company’s ability to expand into new markets.

According to Trucks VC general partner Reilly Brennan, the suspension could also increase competition between Cruise and Alphabet Waymo, which also provides robotaxi services in San Francisco.

Recall that Tesla CEO Elon Musk warned that the production of the Cybertruck electric pickup truck will not become profitable until 2025.

Commentary