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Ford, VW Reportedly Talking Autonomous, EV Development

Discussions of strategic alliance may be detailed soon

Ford Motor Co. and Volkswagen AG are discussing a joint-development program for autonomous and electric vehicles, negotiations that may result in a strategic alliance for the two automakers. According to unnamed sources, an announcement on the alliance may be expected before the end of this year.

Neither Ford nor VW would provide any official comment on the report.

Joint-development agreements allow automakers to reduce their development costs and maximize their market access, factors which are significant in the development of products that challenge current technological standards (such as autonomous vehicles and EVs.)

Recently Honda Motor Co. indicated it will invest $2.75 billion and take an equity position in Cruise Automation, General Motors’ autonomous vehicle subsidiary. They intend to supply autonomous vehicles for ride service fleets.

Ford, VW, BMW AG, and Daimler AG are partners in a venture to develop an EV charging station network.

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