Luminar Technologies Files For Bankruptcy Amid Turmoil

Luminar Technologies, once a high-flying symbol of the self-driving vehicle revolution, has filed for bankruptcy, which is now termed as a dramatic collapse for the lidar sensor maker.

The company, which achieved a valuation of nearly $3 billion after going public in 2020, cites a cooling autonomous-vehicle market, internal legal turmoil, and recent layoffs as key factors in its downfall, as reported by The Verge.

The filing initiates a process to sell off its remaining assets before the company ceases operations entirely.

As part of its bankruptcy petition, Luminar is seeking court approval to sell both its core lidar business and its semiconductor division. A sale for the latter is already in place, with Quantum Computing agreeing to purchase the semiconductor assets for $110 million.

The company plans to maintain operations throughout the bankruptcy proceedings to "minimise disruptions and maintain delivery of its LiDAR hardware and software," according to a report from The Verge. However, the final outcome is confirmed that Luminar will shut down once the process concludes.

CEO Paul Ricci addressed customers in a statement, saying, "As we navigate this process, our top priority is to continue delivering the same quality, reliability and service our customers have come to expect from us."

Since its launch in 2017, Luminar established itself as a frontrunner in the autonomous vehicle industry. Its lidar systems, a crucial technology that uses pulsed laser light to measure distances and create a 3D map of surroundings, were adopted by several major players.

The company secured key supply deals with automotive giants, including Mercedes-Benz and Volvo, and its sensors were also used by Audi, Toyota Research Institute, and Caterpillar. Luminar even counted Tesla among its early customers, despite the electric vehicle maker's subsequent shift away from lidar in favor of camera-only systems.