In the EV future, Ford plans to beat Tesla
American firm Ford is looking to bolster its future based on electric vehicle (EV) sales by accelerating spending on battery-powered cars by $20 billion (Rs. 1.49 lakh crores).
The said amount of cash will be spent over the next 5 to 10 years by the Dearborn, Michigan-based automaker to convert factories worldwide to enable them to produce EVs.
What’s more the $20 billion (Rs. 1.49 lakh crores) is over and above the $30 billion (Rs. 2.24 lakh crores) Ford has already committed to EVs through 2025.
Do note that the company is spending $11.4 billion (Rs. 85,000 crores) to set up 3 battery production facilities and an electric truck factory in Tennessee and Kentucky (USA).
This major reorganisation of Ford Motor has been planned by Chief Executive Officer (CEO) Jim Farley who has trusted former Apple and Tesla executive Doug Field to lead the effort.
To make way for a solid EV future, Ford Motor will hire engineers who specialise in software, artificial intelligence, battery chemistry and the like. The workforce will no more be led by mechanical engineers.
Moreover, the brand that recently stopped manufacturing cars in India is also evaluating spinning off a small portion of its EV business to capture some of the immense value investors are giving EV startups.
This move would involve lower-volume models, while Ford will continue to direct its efforts toward developing and retailing affordable and mass-market EVs.
By 2024, the Mustang maker wants to be able to make 6 lakh EVs a year, while by the end of the decade it wants electric cars to generate half of its global sales.