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Ford CEO: 'We Now Have Solutions For Cities'

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Ford CEO: 'We Now Have Solutions For Cities'

Three technological advancements are converging simultaneously in the auto industry that could offer "solutions for cities," according to Ford Motor Company (NYSE: F) CEO Jim Hackett.

What Happened

The three emerging technologies in the auto sectorare the advancement of electric vehicle; the robotic "brains" of the vehicle, or autonomous vehicle technology; and cloud technology that can orchestrate traffic, Hackett told Bloomberg's David Westin on " "Bloomberg Daybreak: Americas."

The three technologies weren't designed to come together at the same time — but they are, and this presents a solution to many of today's traffic problems, Hackett said.

Why It's Important

The answer to today's problems is "more of a marathon than a sprint," Hackett said. He characterized Ford as being "No. 2 in the race right now."

Ford has the necessary resources to make the right investments or take on the right partners, but what's more important than the financial aspect is developing an appropriate business model and new markets, the CEO said. 

What's Next

Ford's ambition to tackle the future of auto technology come at a time the company has identified $25 billion in cost-saving initiatives over the next five years, Hackett said.

In terms of global trade uncertainty, Hackket said trade talks need to be modernized and revisited at a much quicker pace. New tariffs on steel and other commodities have so far eliminated $1 billion in Ford profits and could cause "more damage" if left unchanged over time, he said. 

Related Links:

Ford's 'Fortress' Balance Sheet, Accelerated Targets Win Over Jefferies

Morgan Stanley Revisits Auto OEMs, Says Fiat Chrysler Has 'Strategic Potential,' Ford 'Out Of Favor'

Ford CEO Jim Hackett, right, with Executive Chairman William Ford Jr. in Detroit earlier this year. Photo by Dustin Blitchok. 

Posted-In: auto Autonomous Driving Bloomberg cars Jim HackettMedia Best of Benzinga

 

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