Ford Skeptical About Electric Power ~ Hybrid Car Review
Hybrid Car Review: Ford Skeptical About Electric Power

Wednesday, August 27, 2008

Ford Skeptical About Electric Power

Ford CEO, Alan Mulally, was asked how he felt about hybrid cars, electric cars, and where Ford was going with improving their fuel economy while on a trip to Melbourne.

For the most part, Ford is backing off of the hybrid, plug-in hybrid and electric car market. Although they have two hybrid SUVs, with two new hybrid cars on the way, Mulally feels skeptical about the whole thing. And this is despite an internal prediction that Ford would finally make some money selling hybrids.

It seems he feels creating two powertrains in one car is cost prohibitive.

"Clearly, hybrids have a long way to go to be competitive, cost-wise, because they are carrying two power trains," Mr Mulally said.

But mostly, Mulally is concerned about the batteries. And it's no wonder, given how expensive they are. But if Toyota and Honda can make it work, why can't Ford? Also, what about GM's determination to bring out the Chevy Volt?

It seems Ford feels GM will be losing money on the extended range vehicle, but he's not willing to do so.

Instead, Ford will continue to make small incremental changes to their gas motors. They are also focusing on readjusting the line-ups to make more compact vehicles and less SUV and trucks. Ford has lost it's number one spot with their F-150.  And now Ford is playing it safe and letting others compete.  GM has already said it was a mistake to sit out the hybrid car evolution, which is why they are trying so hard with the Volt.  Is Ford now heading down the same path?

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