The California company is closing its offices in Houston and Southern California.

Embark CEO Alex Rodriguez announced that he was laying off about 70% of the company.

HOUSTON. A large mobile drilling rig company is closing its offices in Houston and Southern California.

Embark Trucks CEO Alex Rodriguez sent an email to employees earlier this month saying that “the last nine months have been tough” for the industry.

After exhausting all options, Rodriguez said: Embark to lay off about 70% of the companyin addition to closing both offices in Southern California and Houston.

“I believe that one day, solving the problem of autonomous trucking will bring huge benefits to society,” Rodriguez wrote in an email. “While Embark may not be there to see the vision in its current form, I hope you know that your work has been influential in moving the industry forward.”

Embark was one of several companies in the Houston area using autonomous trucking technology being developed by Texas A&M University.

READ MORE: Unmanned large drilling rigs ply through Houston

“If you really want to finally put these autonomous trucks (on the road)…they have to drive through Texas,” said Dr. Shrihant Saripalli.

Saripally is the program director of Texas A&M, which boasts one of the best autonomy programs in the country.

In 2021, Embark announced that it would expand to Texas and launch a new self-driving truck lane between Houston and San Antonio. Their plan was to use a test track and a 3,000-acre facility dedicated solely to testing autonomous driving technology.

In 2017, the Texas Legislature passed laws allowing autonomous vehicles to operate on the roads of Texas, luring self-driving car companies to the Lone Star State. Companies such as Aurora and Waymo have already launched test truck routes on I-45 from Dallas to Houston.

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