New Ford CEO Jim Farley is looking to cement the automaker as an EV innovator, and it’s putting up the cash to do just that. Today, Ford announced it’d increase spending on electrification to more than $30 billion by 2025, which includes developing its own batteries. The company estimates that by 2030 EVs will represent 40 percent of its sales, and Ford is off to a solid start with the Mustang Mach-E and the recently introduced F-150 Lightning.
“This is our biggest opportunity for growth and value creation since Henry Ford started to scale the Model T, and we’re grabbing it with both hands,” Farley said.
Gallery: 2022 Ford F-150 Lightning
The company has ambitious plans, announcing it will create Ford Ion Park to help boost battery range and lower costs for customers. The company will offer IonBoost lithium-ion, IonBoost Pro lithium-iron-phosphate (for commercial vehicles), and solid-state batteries. Last week, the automaker inked a deal to create a joint venture wilt SK called BlueOvalSK, which will build battery cells and arrays at two US plants for future Ford and Lincoln products.
Those investments today are what lead the company to believe that by 2030, 40 percent of its global sales volume will be fully electric cars. Lighting the way will be the new F-150 Lightning, which has received 70,000 customer reservations so far, and it won’t go on sale until next spring. The Tesla Cybertruck has amassed more than a million reservations.
Ford Goes Electric:
A key aspect of Ford’s plan is a focus on electrified commercial vehicles. The 2022 Ford E-Transit is set to launch later this year, for example. The company will support its commercial vehicle customers with the new Ford Pro, a dedicated business within Ford for global commercial vehicle services and distribution. Ford hopes to nearly double its CV business to $45 billion by 2025.
Tying all of Ford’s ambitious ideas together will be a slew of connected services designed to serve the customer better. The company anticipates that by 2028, there’ll be 33 million Ford and Lincoln vehicles on the road capable of receiving over-the-air updates. At the core will be Ford+, which “promises always-on benefits for customers,” and Blue Oval Intelligence, the company’s cloud-based platform for connected vehicles.