Ford Consolidates Autonomous Vehicle Operations

July 24, 2018 at 11:47 AM

Ford Motor Co. will integrate all its business activities related to self-driving cars under a new company, Ford Autonomous Vehicles LLC, on Aug. 1.

The new subsidiary will be headed by Sherif Marakby, Ford’s head of autonomous vehicles and electrification and headquartered at the campus the carmaker is developing in Detroit’s Corktown district.

Ford says it will invest $3 billion in the venture’s activities between now and 2023.

FAV will comprise Ford’s efforts to integrate an autonomous-driving platform, conduct research, develop automated vehicles as a service and coordinate business strategy and development. The unit also will hold Ford’s ownership equity in Argo AI, the Pittsburgh-based developer of self-driving-vehicle systems.

Separately, Ford has restructured its Global Operations, which are headed by Joe Hinrichs, to include information technology and the company’s worldwide order-to-delivery system. Ford CEO Jim Hackett says the move will accelerate the company’s supply chain, reduce inventories and enable greater vehicle personalization.