Welcome back to Mobility — your go-to source for news and insights on the future of transportation. This week’s updates include a BMW security lapse revealing sensitive information, backlash from a federal agency regarding an anti-Tesla Super Bowl ad, and a new federal investigation into Fisker.
But before delving into that, let me share some highlights from my recent trip to Detroit, where I had the opportunity to meet with several Ford executives to gain insights into their focus for 2024 and beyond.
It’s evident that Chinese EV manufacturers and Tesla are at the forefront of their considerations. According to Ford executives, they believe that developing a low-cost EV and pioneering cutting-edge software are essential strategies to counter these emerging threats. To tackle this challenge, the company has initiated an EV skunkworks project.
During an interview at the company’s headquarters, Ford CFO John Lawler expressed a clear stance on the matter.
“We must anticipate their eventual presence,” Lawler emphasized. “China has been in search of its global champion for decades. Recognizing the shift towards electric vehicles as early as 2010, they have heavily subsidized and focused on this direction since then.”
Lawler highlighted the competitiveness of Chinese automakers, now equipped with substantial production capacity and innovative designs, expanding their influence beyond domestic borders.
“It’s a long-term game,” Lawler emphasized. “While everyone may be focused on the immediate future, we are planning for the next 25 to 30 years. Continuously expanding our footprint, strengthening our brands, advancing our technology, and evolving our vehicle development will ultimately define our success.”
Beyond concerns surrounding China and Tesla, Ford CEO Jim Farley is determined to recoup $2 billion in cost savings throughout the company’s industrial operations. This initiative places a significant emphasis on enhancing the quality of new vehicles, directly impacting warranty costs. Farley underscored this objective during a recent interview at Wolfe Research’s Global Auto and Auto Tech Conference in New York.
