Ford+ EV Plan

[David]

SOOOOOOO, was going to write up a story on this, but I am buried in work for our upcoming tradeshow and going back to Vegas in person. As such, posting everything here for you all to discuss.

Ford Accelerating Transformation: Forming Distinct Auto Units to Scale EVs, Strengthen Operations, Unlock Value | Ford Media Center

Key Take aways:

Ford Model e will:

• Attract and retain the best software, engineering, design and UX talent and perfect new technologies and concepts that can be applied across the Ford enterprise;
• Embrace a clean-sheet approach to designing, launching and scaling breakthrough, high-volume electric and connected products and services for retail, commercial and shared mobility;
• Develop the key technologies and capabilities – such as EV platforms, batteries, e-motors, inverters, charging and recycling – to create ground-up, breakthrough electric vehicles; and
• Create the software platforms and fully networked vehicle architectures to support delightful, always-on and ever-improving vehicles and experiences.

Ford Blue will exercise Ford’s deep automotive expertise to:

• Strengthen the iconic Ford vehicles customers love, such as F-Series, Ranger and Maverick trucks, Bronco and Explorer SUVs, and Mustang, with investments in new models, derivatives, experiences and services;
• Help customers fulfill their passions and daily lives with tailored brand and vehicle experiences, from off-roading to performance to family activities, especially for those situations when ICE capabilities are required;
• Deliver new, connected, personalized and always-on experiences for customers powered by Ford Model e’s software and embedded systems;
• Make industry-leading quality and exceptional service a reason to choose and stay with Ford;
• Root out waste and dramatically reduce product, manufacturing and quality costs; and
• Support Ford Model e and Ford Pro through proven, global-scale engineering, purchasing, manufacturing, and vehicle test and development capabilities for world-class safety, ride and handling, quiet and comfort, and durability.

Ford reaffirms guidance for 2022 of $11.5 billion to $12.5 billion in company adjusted EBIT. The high end of the range equates to a margin of 8% which, if achieved, would be one year earlier than the company’s previous target. With these changes announced today, Ford is raising its longer-term operating and financial targets, including:

• Company adjusted EBIT margin of 10% by 2026, a 270-basis-point increase over 2021– driven by higher volumes, improvement in the cost of EVs, and a significant decline in ICE structural costs of up to $3 billion
• More than 2 million electric vehicles produced annually by 2026, representing about one-third of Ford’s global volume, rising to half by 2030, capturing with EVs the same, or even greater, market shares in vehicle segments where Ford already leads
• In addition, Ford expects to spend $5 billion on EVs in 2022, including capital expenditures, expense and direct investments, a two-fold increase over 2021

Ford reiterated its commitment to achieve carbon neutrality by 2050, and to use 100% local, renewable electricity in all of its manufacturing operations by 2035.

Ford is rocking it!

Ford Takes In Over 72,000 New Retail Vehicle Orders In February; Record Start For Ford Brand SUV Retail Sales; Ford Electrified Sales Charge Ahead – Conquesting From Competitors At 54 Percent; Lincoln SUVs Post Strong Sales Gains | Ford Media Center

Some of the news posts

Ford splits EVs and legacy autos into separate units (cnbc.com)

Interesting that Cramer thinks that Ford will leave Musk and Tesla in the Dust starting in about 3 to 5 years. I forget the actual date he gave, but interesting listen.

Cramer weighs in on Ford's electric vehicle split: This is the 'destroy Tesla' plan (cnbc.com)

Ford is boosting EV R&D from the current $30 Billion to $50 Billion now.

Ford boosts EV spending to $50 billion, sets up new Model e unit | Reuters

One has to wonder what will come from GM in the next few days. I see no way Tesla is gonna be able to compete with the OEM Auto investment.