Ford Model E?

[Lowell]

Ford has announced plans to separate its ICE [internal combustion engine] and EV [electric vehicle] businesses into separate companies, the former will named be Ford Model e, the latter Ford Blue.

"The two units, along with the recently created Ford Pro commercial unit, will collaborate in some areas but largely operate independently.

"We're literally splitting the business in half," CEO Jim Farley told Automotive News.

https://www.crainsdetroit.com/automo...-boost-profits

Recently I had a conversation with a marketing insider who said Tesla's big advantage was that they could sell direct to customers whereas Ford, GM and others were encumbered by dealer agreements. I'm wondering if this may be a tactic for an end run around that issue.

When I sent him this article he replied, "Very interesting - yes, like our Tesla conversation - Farley wants to get the benefits of an EV company, like higher price/earnings ratios and employee recruitment and new dealer agreements without spinning off a new business. Rivian is almost worth what all of Ford is and hasn't sold any cars - and Ford has 200,000 orders for F150 Lightnings."

[401don]

I remember when Ford brought the Transit van over from Europe. It was considered a cute little niche vehicle that might have some applications for things like flower deliveries. Now it's probably their second most important vehicle with many large commercial orders and versions, both ice and ev. You never know where the market is going sometimes.

[canuck]

I remember when Ford brought the Transit van over from Europe. It was considered a cute little niche vehicle that might have some applications for things like flower deliveries. Now it's probably their second most important vehicle with many large commercial orders and versions, both ice and ev. You never know where the market is going sometimes.

Yes, but aren’t there two versions of Transits, the small rickety one that is Ok for Europe, but woefully inadequate for NA, or the larger version which is OKay.

[ABetterDetroit]

Consolidate because of redundancy… Split into separate divisions… Eliminate the unnecessary… Separate into different companies…

Sometimes it seems like our home town automakers are on a merry go round. Working hard at undoing what was a priority just a few years ago.

[Richard]

Rivian stock price [[RIVN) took a significant downturn today [[March 2, 2022). The stock price went down approximately -12.85% to $53.96 during the middle of the day. During the same time, GM stock price is up +3.03% and Ford stock price is up +6.41%.

Ford was at $18.10 today

GM $46.32

RivianOwnersForum.com published this poll. At the time of this writing, 226 people responded to the poll and 67.7% of people said that they plan to walk away from their orders.

“The user portal updated and the changes are pretty significant including some interesting 2-motor options as well. My R1T Launch Edition price jumped from $86,625 to $102,220! I was somewhat expecting something like this as the R1T has [[HAD) effectively become a bargain truck compared to the market. Nonetheless, I am perturbed that it is now a reality.”

https://tfltruck.com/2022/03/news-th...are-announced/


This has been flip flopping back and forth for the last 2 weeks,first it was announced that Ford would split the two,then ford said no,now it is yes.

It makes sense though,EVs as a separate company would have to cover no legacy costs and would be able to compete against lower priced competitors.

A lot of investors,as witnessed with the continuing drop in Rivian stock,are switching to more traditional companies like Ford and GM,that will be able to actually build cars,verses maybe sometime in the future.

Rivian is still saying 2024 for production.Being stock is long term,I still think Ford,GM is a safe bet for most that do not like to gamble.

If they are saying that truck is going to be $102,000 now,what happens in 2-3 years adjusted for inflation,it will be $150,000 by that time.

I think Ford,GM,Toyota,the other one,are geared up for mass production all the other ones are going to be niche markets,how many consumers are going to drop $100 k + for a truck,granted they are close now at $80k but in the 1/2 ton range or the bulk of sales,very few will drop that kind of change.

67% in that poll would walk away at that price.

I wonder if in the split they can market stock sales independent of blue oval in order to raise funds,I think if they could do that,they would smoke Tesla and rivian in stock value.

Tesla is a novelty now,once everybody else ramps up,it will just be another marquee in the sea of marquees.

At the end of the day though,there are billions in government subsidies flowing into that market,one has to wonder what happens if that gets dropped like they did with solar and wind,it all comes to a halt.

Its being driven by politics,politics change and even AAA will not be able revive the battery if it has to rely on actual market demand.

For $2000 you can already order a Chinese EV truck,with a dump bed,what more does the urban dweller need to scoot back and forth to work.

https://m.youtube.com/watch?v=bixJDOH864U