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In a move aimed at accelerating its electric vehicle (EV) plans, Ford has announced a reorganization that will split its EVs and legacy autos into separate units. The move is part of a larger strategy to invest $50 billion in EVs by 2030 and transition to a fully electric future.
The Reorganization
Ford will create two separate entities within the company: Ford Pro, which will focus on commercial and government customers, and Ford+, which will focus on consumer EVs and related services. The two units will have distinct leadership and operating structures, allowing for greater focus and agility in pursuing their respective objectives.
The Implications
The reorganization signals a major shift in Ford’s strategy, with a renewed emphasis on EVs and a recognition of their growing importance in the automotive industry. By separating its EV and legacy businesses, Ford can prioritize the development and launch of new EV models, and better compete with other automakers in the rapidly growing EV market.
The Ford Pro Unit
Ford Pro will offer a range of products and services tailored to commercial and government customers, such as electric versions of its popular Transit and F-150 models. The unit will also provide charging and energy management solutions and is expected to generate significant revenue and profitability for the company.
The Ford+ Unit
Ford+ will be responsible for developing and launching new EV models, such as the recently announced F-150 Lightning and the upcoming Mustang-inspired electric SUV. The unit will also provide related services, such as charging infrastructure and software updates, to enhance the overall ownership experience for consumers.
Conclusion
With its reorganization, Ford is positioning itself as a leader in the EV market and setting the stage for a sustainable and profitable future. By creating separate units for its EV and legacy businesses, Ford can better allocate resources and respond to changing market dynamics, while continuing to provide innovative and high-quality products and services to its customers.
