GM Software Business Gross Margin About 70%, OnStar Q2 Revenue $800 Million, Super Cruise Subscriptions Up 70%

General Motors’ software and services business retains about 70 cents for every dollar of revenue generated, while vehicle sales typically retain only 4 to 10 cents per dollar of revenue. Chief Executive Officer Mary Barra stated on the earnings conference call that the company has growth levers and sees opportunities to improve profitability and reduce its dependence on the industry cycle.

OnStar reported second-quarter revenue of $800 million. Super Cruise subscription revenue increased 70% year-on-year. The company expects deferred revenue to reach $7.5 billion in 2026.