Ford creates business unit for electric cars
Ford this morning said it's separating its electric vehicle and internal combustion businesses into separate units.
Why it matters: The creation of distinct business lines — called "Model e" and "Ford Blue" — underscores how auto giants are reorienting around EV development.
How it works: Ford said the two units would be "strategically interdependent" and share relevant tech.
- Together with the Ford Pro commercial services line launched last year, Ford said the three units will begin to separately report profits and losses in 2023.
What's next: Ford has recently launched or unveiled electric models, including the Mustang Mach-e that began deliveries last year, and the electric F-150 pickup slated to start reaching customers later in 2022.
- It said today that it expects EVs to account for half its global sales by 2030.
Quick take: The move appears to be an effort to woo investors with a pitch around combining Ford's in-house resources and balance sheet with greater agility to better compete with EV startups.
- CEO Jim Farley, in a statement, said the new unit will give the automaker "start-up speed and unbridled innovation," that combined with their industrial know-how and other attributes that "start-ups can only dream about."
Go deeper: CNBC has more.