• News
  • Guides
  • Reviews
  • Media
  • About
  • News
  • Guides
  • Reviews
  • Media
  • About
Sign up Now (For Free)

Sign up for our newsletter and receive the latest automotive news in your inbox!

Invalid email address
We promise not to spam you. You can unsubscribe at any time.
Thanks for subscribing!
News
Read Now
  • All News
  • Automakers
  • Automobiles
  • Auto Shows
  • Business
  • EVs & Environment
  • Guides
  • Lawsuits/Legal
  • Regulatory
  • Ride-Sharing
  • Safety & Recalls
  • Technology
Recent
  • All-Electric Buzz Debut Conjures Up Tales of VW’s Past
  • The Rearview Mirror: America’s Last New Automaker Before Tesla
  • EPA Says Fisker Ocean Goes Farther than Predicted
  • Ford Sales Rise in May Despite EV Decline
  • First Look: Volkswagen Reveals U.S. Version of the ID.Buzz EV Microbus
  • Building Buzz: How Volkswagen Went from the Microbus to the ID.Buzz
  • Sales of New Vehicles Show Big Increase During May
  • Lucid Gets $3 Billion Lifeline, Mostly from Saudi Arabia
  • Faraday Future Reveals Launch Edition of the FF 91
  • UAW Plans to Get Aggressive for Coming Auto Talks
Editor’s Choice
    Reviews
    Read Now
    • All Reviews
      • Feeder
    • Classic Cars
    • Concept Cars
    • Convertibles
    • Coupes
    • Crossovers/CUVs
    • Diesel
    • Hot hatches
    • Hybrids
    • Luxury Vehicles
    • Minivans
    • Muscle Cars
    • Pickups
    • Sedans
    • Sports Cars
    • Super Cars
    • SUVs
    Recent Reviews
    • A Week With: 2023 Alfa Romeo Stelvio Estrema Q4
    • A Week With: 2023 Lexus NX 350h Luxury
    • A Week With: 2023 Volkswagen Tiguan SEL R-Line
    • First Drive: 2024 Toyota Grand Highlander
    • A Week With: 2023 Ford Mustang Mach-E Premium RWD
    • A Week With: 2023 Electrified GV70 AWD Prestige
    • A Week With: 2023 BMW XM
    • A Week With: 2023 Mercedes-Benz GLS 580 4Matic
    • First Drive: 2024 Audi Q8 e-Tron Prestige
    • First Drive: 2024 Volvo C40 Recharge Single Motor
    Editor’s Choice
      Guides
      Car Warranty
      • Endurance Warranty Reviews
      • BMW Extended Warranty
      • Extended Warranty For Cars Over 100k Miles
      • Extended Car Warranty Cost
      • Subaru Extended Warranty
      • CarShield Reviews
      • CarShield Cost
      • Aftermarket Car Warranty
      • CARCHEX Warranty Reviews
      • Reputable Extended Car Warranty Companies
      • Used Car Warranty Companies
      • Best Car Warranty
      • Is CarShield A Scam?
      • Mercedes Extended Warranty
      • CarShield Plans
      Insurance
      • How To Identify A Car Insurance Company
      • Geico Mechanical Breakdown Insurance
      • How Far Back Does A Car Insurance Company Look
      • Mechanical Breakdown Insurance For Used Cars
      • State Farm Mechanical Breakdown Insurance
      • Mechanical Breakdown Insurance From Progressive
      • Dollar A Day Insurance
      • Auto Insurance For SSI Recipients
      • Car Insurance Rates After A Suspended License
      • Auto Insurance For Salvage Vehicles
      • Average Cost of Dodge Ram 1500 Car Insurance
      • Car Insurance Florida
      • Full Coverage Auto Insurance
      • GrubHub Insurance
      • Amazon Delivery Auto Insurance
      Shipping
      • Car Shipping Companies
      • uShip Reviews
      • Auto Shipping From California To Hawaii
      • Montway Auto Transport Reviews
      • Cheap Car Shipping
      • Easy Auto Ship Reviews
      • Auto Shipping Miami
      • Auto Shipping To Alaska
      • Car Shipping Cost
      • Auto Shipping Hawaii
      • Auto Shipping Puerto Rico
      • Sherpa Auto Transport Reviews
      • Auto Shipping Atlanta
      • Auto Shipping Boston
      • Auto Shipping. Chicago
      About
      • About Us
      • Contact Us
      • Terms of Use
      • Privacy Policy
      • Affiliate Disclosure
      • Sitemap
      TheDetroitBureau.com

      More than just “another” place to find news, reviews, spy shots, commentary, features, and guides about the auto industry. TheDetroitBureau doesn’t stop with the press releases or confuse a few lines of opinion with insightful, in-depth reporting.

      Contact Us

      Like what you see? Have some ideas for making The Detroit Bureau.com even better? Let us know, we’d love to hear your voice.

        Media
        Listen Now
        • Headlight News: All Episodes
        More from TheDetroitBureau
        • Guides
        • Latest News
        • Auto Reviews
        • Podcasts
        Headlight News

        TheDetroitBureau.com’s Headlight News offers a look at the past week’s top automotive news stories, as well as what’s coming up in the week ahead. Check out the week’s top story and our latest review…along with a dive into the past with this week in automotive history.

        home > news > Automakers > Ford Scrubs Plan to Use Rivian Platform for Future Product Line

        Ford Scrubs Plan to Use Rivian Platform for Future Product Line

        But two automakers continue financial relationship, says Ford CEO Farley.

        Paul A. Eisenstein
        Paul A. Eisenstein , Publisher & Editor-in-Chief
        Nov. 22, 2021

        Ford no longer plans to turn to startup Rivian for help on future battery-electric vehicles, according to CEO Jim Farley.

        Ford CEO Farley thumbs up Sept 2021
        Ford CEO Jim Farley says the company will keep a financial relationship with Rivian.

        But the two companies will continue to maintain a financial relationship, Ford having watched its initial $1.2 billion investment in the new manufacturer grow tenfold since Rivian’s IPO earlier this month.

        “We want to invest in Rivian — we love their future as a company — but at this point we’re going to develop our own vehicles,” Farley told trade publication Automotive News.

        For its part, Rivian echoed that decision, issuing a statement saying the two companies have “mutually decided to focus on our own projects and deliveries.”

        An early investment pays off

        Ford was one of the earliest investors in Rivian, initially pumping $500 million in much-needed cash into the nascent EV maker, then injecting another $700 million in capital.

        Rivian’s IPO was one of the year’s most successful, though it has fallen back in recent days as early investors took some profits. Still, at a Monday morning opening price of more than $105 a share, the EV maker has a market capitalization 50% higher than Ford’s. That has prompted speculation the established automaker might seek to cash out, as well.

        First Rivian R1T rolls off line
        Rivian’s stock price took off once it came to market, giving it a market cap 50% higher than Ford’s.

        For its part, Rivian said in its statement that, “Our relationship with Ford is an important part of our journey,” adding, “Ford remains an investor and ally on our shared path to an electrified future.”

        Analyst Sam Abuelsamid, of Guidehouse Insights, told TheDetroitBureau.com, he doesn’t see Ford breaking its financial ties to Rivian, at least not at this time. “I suspect they’ll hold at least some of their stake for now. They don’t need the cash and the stock may appreciate further.”

        That said, he doesn’t see any significant technical collaboration between the two companies going forward.

        Shifting strategy

        When Ford first invested in Rivian, it had far more modest plans to electrify its product line-up than it does today. And it was looking for ways to hold back spending. It not only teamed up with Rivian but also with Volkswagen. Ford still plans to bring out two battery-electric models in Europe based on the VW MEB EV platform. But further collaboration with VW seems unlikely, according to industry observers.

        Rivian R1S
        Rivian and Ford were supposed to work on an SUV together.

        And Ford has now scrubbed plans to jointly work on BEVs with Rivian. They initially announced a joint project that would have yielded an all-electric SUV for Lincoln. That was scrubbed but, as recently as last spring, another vehicle program was on the schedule. That now has been pulled, as well.

        “When (Ford) originally invested in Rivian, they had yet to launch their own EVs,” said Abuelsamid, “and there was uncertainty about how they’d be accepted in the market.” With the VW and Rivian deals, “Ford was trying to hedge its bets.”

        Hitting the Mach

        That began to change with the launch of the Ford Mustang Mach-E. The all-electric SUV won immediate critical acclaim, among other things by being named North American Utility Vehicle of the Year. It is now the fourth best-selling BEV in the U.S.

        There has been so much demand for the F-150 Lightning, meanwhile, that Ford has already doubled production capacity for the all-electric pickup well before its production launch next June.

        2022 Ford Mustang Mach-E GT Performance Pack - side Bridge
        Ford said its sales of electrified vehicles set a new record.

        The Detroit automaker this year increased its EV investment plans by more than 250%, to $30 billion. And, among other things, announced both Blue Oval City, a 6 square-mile factory complex near Memphis, along with two battery plants in Kentucky. All told, it expects to have capacity from those projects to supply batteries for at least 1 million BEVs, Farley recently told TheDetroitBureau.com.

        Ford’s future plans

        Ford hasn’t revealed nearly as much detail about its future EV program as has rivals like General Motors and Volkswagen. But it is believed to be developing at least two new BEV “architectures” that will underpin future models.

        One is an update of the platform used for the Mustang Mach-E. It will be used for an all-electric version of the Ford Explorer and other SUVs. Another platform will debut in 2025 and underpin the second-generation F-150 Lightning — along with other heavy-duty and full-size products, such as the Ford Expedition SUV.

        Ford F-150 Lightning - at EV Center
        Ford is full speed ahead on its own EV program, including the much-anticipated F-150 Lightning.

        Ford, said Abuelsamid, “realized it wasn’t necessary to spread themselves thinner. They can do what they need with two (in-house) platforms.”

        Stock rebound

        The Detroit automaker has received generally positive feedback for its expanded BEV efforts. It’s stock bottomed out last January at a mere $8.52 a share. It started Monday trading at $19.88, a 124% increase. Still, its market cap is a relatively modest $79.4 billion compared to Rivian’s.

        Farley, in his interview, sounded an optimistic note for the future, pointing to the strong initial demand for the Mustang Mach-E, F-150 Lightning and an upcoming, all-electric version of its Transit van.

        “We have three hits on our hands,” Farley said. “We need to be No. 2 in the U.S. in electric sales, and we need to make money on those products. If we do those two things, Ford will be in a different situation, and I believe the narrative will be different.”

        How to Care for Your Car

        Cheap Car Warranty

        Editor's Choice

        Best Extended Car Warranty

        Editor's Choice
        Recently Published

        All-Electric Buzz Debut Conjures Up Tales of VW’s Past

        Yesterday

        The Rearview Mirror: America’s Last New Automaker Before Tesla

        Yesterday
        Fisker Ocean EV driving mountain

        EPA Says Fisker Ocean Goes Farther than Predicted

        June 02, 2023

        Leave a Reply Cancel reply

        Your email address will not be published. Required fields are marked *

        Share this article:
        © The Detroit Bureau 2023
        • Guides
        • Privacy Policy
        • Terms of Use
        • Affiliate Disclosure
        • Contact Us
        • Sitemap
        Follow Us: