Ford Motor Company is going all out in terms of sustainable mobility, with the company announcing a major reorganization. This will be underpinned by a colossal investment to develop and build electric vehicles (EVs), according to a report by Reuters.
Ford is giving its EV spending a boost over the next decade
Using Tesla’s success as a road map, Ford will embark on a mission to convert its existing factories worldwide towards EV production. The plan, dubbed Ford+, aims to invest up to $20 billion (Php 1.02 trillion) over the next five to 10 years. This is on top of the automaker’s previous commitment to spend over $30 billion (Php 1.53 trillion) on EVs, including battery development, through 2025.
Leading the charge is Doug Field, a veteran of Apple Inc. who previously worked with Tesla before joining Ford in 2021. He will be on top of the Blue Oval brand’s efforts in advanced technology and embedded systems. Field’s career background is likely the reason behind the push for Ford to evolve its image from being a carmaker to a technology company, especially in the eyes of its investors.
Tesla is currently the company to beat in the EV space
As part of the plan, Ford is reportedly in talks to partially spin off its EV operations and capitalize on an electric startup environment that is currently enjoying positive investor sentiment. The company is also rumored to hire an unspecified number of engineers to work in areas such as battery chemistry, artificial intelligence, and EV software.
Ford Chief Executive Officer Jim Farley wants to challenge Tesla’s leadership in the EV space, which has granted the tech company the enviable status of being the world’s most valuable automaker. Other brands such as General Motors and Volvo are following suit, fighting for a piece of the action in the competitive EV segment.
“This is our biggest opportunity for growth and value creation since Henry Ford started to scale the Model T,” he said in May 2021. “Our ambition is to lead the electric revolution.”
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