Ford Creates Autonomous Vehicles Company

Ford Motor Company has announced the creation of Ford Autonomous Vehicles LLC, a new organisation charged with accelerating its autonomous vehicles (AV) business to capitalise on market opportunities.

The new company will include Ford’s self-driving systems integration, AV research and advanced engineering, AV transportation-as-a-service network development, user experience, business strategy and business development teams. The new limited liability company, which is structured to take on third party investment, will be primarily based at Ford’s Corktown campus in Detroit and will hold Ford’s ownership stake in Argo AI, the company’s Pittsburgh-based partner for self-driving system development. Ford expects to invest US$4 billion in its AV efforts through 2023, including its US$1 billion investment in Argo AI.

Sherif Marakby, currently Ford Vice President Autonomous Vehicles and Electrification, will be appointed CEO of Ford Autonomous Vehicles LLC, reporting to a board of directors chaired by Marcy Klevorn, Ford’s Executive Vice President and President, Mobility. Ford says the closer alignment of the self-driving platform and mobility solutions teams will allow faster development of businesses that can thrive in the pre- and post-autonomous vehicle worlds.

“Ford has made tremendous progress across the self-driving value chain – from technology development to business model innovation to user experience,” said Jim Hackett, President and CEO, Ford Motor Company. “Now is the right time to consolidate our autonomous driving platform into one team to best position the business for the opportunities ahead.”

With Marakby’s move, Ted Cannis, Global Director Electrification, will lead Ford’s Team Edison, the team responsible for developing and bringing to market its next-generation of electric vehicles. Team Edison will continue to report to Jim Farley, Executive Vice President and President Global Markets.

Ford’s electric vehicle strategy includes rethinking the ownership experience, including making charging an effortless experience at home and on the road, as well as offering full-vehicle over-the-air software updates to enhance capabilities and features.

In addition, Ford is reorganising its Global Operations division led by Executive Vice President Joe Hinrichs to include Information Technology as well as the company’s global order-to-delivery system, integrating the teams, technologies and processes from both across Ford’s production system. As a result, Jeff Lemmer, Vice President and CIO, will report to Hinrichs.

The realignment will help the company accelerate the integration and application of technology across its industrial system to further streamline manufacturing, speed vehicle delivery times, reduce inventories and improve capital efficiency.

All the changes are effective 1 August.