Ford Divides EV, ICE Business

Ford is splitting its electric vehicle and internal combustion engine businesses into two distinct operations, the automaker announced.

Ford Blue will build the company’s portfolio of ICE vehicles, which the company said will aim to drive growth and profitability, while Ford Model e will accelerate the development of electric vehicles, software and connected vehicle technologies and services for all of Ford.

Ford Blue and Ford Model e will operate as distinct businesses but share relevant technology and best practices to leverage scale and drive operating improvements, the company said.

“Ford Model e will be Ford’s center of innovation and growth, a team of the world’s best software, electrical and automotive talent turned loose to create truly incredible electric vehicles and digital experiences for new generations of Ford customers,” Ford CEO Jim Farley said.

“Ford Blue’s mission is to deliver a more profitable and vibrant ICE business, strengthen our successful and iconic vehicle families and earn greater loyalty by delivering incredible service and experiences. It’s about harnessing a century of hardware mastery to help build the future. This team will be hellbent on delivering leading quality, attacking waste in every corner of the business, maximizing cash flow and optimizing our industrial footprint.”

According to the automaker, Ford Model e will:

  • Develop and design software and technologies and concepts that can be applied across the Ford enterprise
  • Develop the key technologies and capabilities – such as EV platforms, batteries, e-motors, inverters, charging and recycling – to create electric vehicles
  • Create the software platforms and fully networked vehicle architectures to support Ford vehicles

Ford Blue will:

  • Maintain Ford’s current lineup of ICE vehicles, including the F-Series, Ranger and Maverick trucks, Bronco and Explorer SUVs and Mustang, with investments in new models and services
  • Provide customers with tailored brand and vehicle experiences, from off-roading to performance, for situations when ICE capabilities are required
  • Implement Ford Model e’s software and embedded systems
  • Improve Ford’s manufacturing efficiency
  • Support Ford Model e and Ford Pro through engineering, purchasing, manufacturing and vehicle test and development capabilities

By A.J. Hecht

A.J. Hecht is the managing editor of THE SHOP and host of the In Gear with THE SHOP podcast. Have an idea, a tip, or a question you’d like to see answered? Contact A.J. at ahecht@cahabamedia.com.