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Report: Ford, GM Exploring Powertrain Collaboration, Including Electric
4 August 2008
The Detroit News reports that GM and Ford are discussing a possible collaboration to develop new powertrain technologies that could include the Volt extended-range electric vehicle technology as well as combustion engines. Although no agreements have been reached after several meetings, the talks reportedly are “promising.”
The rival automakers are keen to find ways to reduce research-and-development costs even as they struggle to respond to a dramatic shift in consumer demand from big trucks and sport utility vehicles toward smaller, more economical cars and crossovers. A deal could give Ford access to GM’s Volt technology—if it becomes commercially viable. It could also help GM offset cuts to its product development budget.
Neither company would confirm or deny the reports. GM spokesman Tom Wilkinson said his company does “not comment on speculation about future products or product development.” Ford spokesman Said Deep said Ford is concentrating on bringing its fuel-efficient European platforms to North America, but did not rule out working with another manufacturer.
Ford and GM previously collaborated on the development of a six-speed transmission.
August 4, 2008 in Brief | Permalink | Comments (8) | TrackBack (0)
Comments
Posted by: gr | August 04, 2008 at 06:15 AM
I think that is intelligent.. Geographically locating an R&D center in the rust belt (specifically in SE Michigan or NW Ohio) would be agreeable to both. Heck, you could include that little private equity firm that makes Jeeps also located in Detroit.
Posted by: Bryan | August 04, 2008 at 10:07 AM
Good way to stay in business and keep the UAW happy.
Posted by: GreenPlease | August 04, 2008 at 10:10 AM
This seems dumb if GM wants Volt/E-Flex to be a high volume platform. Battery supply is by far the most pressing issue, helping competitors get to market will only make that worse. Not a problem if you only plan to make 10k halo cars per year, though.
Posted by: doggydogworld | August 04, 2008 at 10:27 AM
doggydogworld,
good point.
but perhaps Volt technology can be put to better/faster use by Ford. also, better to spread it around rather than let GM sit on it.
Posted by: danm | August 04, 2008 at 12:17 PM
Great news! Now they can focus (very) limited development and tooling dollars on a larger total volume. Both (all) manufacturers face daunting challenges of developing all the solutions that will be needed - this is one way to get more and better solutions with less duplication/waste. If it was 30 years ago and Ford/GM controlled 75% of the market I would be worried about monopolization - but in today's marketplace, that's not an issue.
Way to go Ford/GM - that's the creative, courageous thinking we need!
Posted by: shane | August 04, 2008 at 02:12 PM
Electric drive systems need high volume production to reduce costs. They are now far too expensive compared to engines. Air or hydraulic might cost less than electric, both in the short run and long run. Electric valves for hydraulic has improved operation and efficiency. ..HG..
Posted by: Henry Gibson | August 04, 2008 at 03:12 PM
Ford and GM have to understand that help and coolaboration between them will help them to stay in business. The real threat is chinese cars. A threat for Toyota too.
Posted by: Jorge | August 05, 2008 at 03:04 PM
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A reasonable way for GM to leverage the large investment in Volt development. And an expedient way for Ford to enter the EV business - which is at this point extremely time sensitive.