(Reuters) - General Motors (NYSE:GM) said on Thursday it would transition BrightDrop commercial vans under Chevrolet, allowing the all-electric vehicle to utilize the brand's extensive dealership and service network across North America.
The move aims to expand BrightDrop's accessibility, enhance its service network, and boost sales.
Launched in 2021, GM reorganized BrightDrop last year and brought it completely under its own umbrella in a move to make it less independent and reduce costs.
GM originally established BrightDrop as its fully-owned subsidiary in hopes of turning it into a lucrative venture and strengthening its offering to compete with Ford Motor (NYSE:F)'s high-margin Pro commercial vehicle business.
Ford has managed to turn Pro into a successful business and has also placed big bets on software-related services. Meanwhile, BrightDrop delivered only 746 vehicles in the U.S. through the first six months of 2024.
BrightDrop currently offers two all-electric commercial vans, the Zevo 400 and 600, which will now be rebadged as the Chevrolet BrightDrop 400 and 600.
"Integration into the Chevrolet portfolio will expand its reach and accessibility and offer more customers additional tools to help achieve their productivity and carbon-neutral goals," Sandor Piszar, VP of GM Envolve fleet business said.
The vehicles will continue to be manufactured at GM's CAMI assembly plant in Ingersoll, Ontario.