Ford Triples Down on Mobility, Acquires Two Tech Firms
While mobility has placed the automotive industry in a state of minor limbo, manufacturers achieving a major breakthrough may yet ascend to heaven — financially speaking. Ford has promised to deliver robot-driven taxis within a couple of years and expended quite a bit of cash to get there since acquiring Argo AI in 2017. However its autonomous arm, Ford Smart Mobility, has only encountered mixed success. Progress in terms of self-driving has been incremental, with the company shuttering some of the side businesses that explored alternative revenue streams (e.g. Chariot) and losing millions though its software investments.
Disinterested with failure, Ford partnered with Volkswagen Group earlier this year. As part of the deal, VW agreed to dump another 2.6 billion into Argo in hopes that it would accelerate development. Ford said it would be taking things a step further on Tuesday and announced the acquisition of two more tech companies.
Journey Holding Corp. is a firm that develops tracking software and other app-based technology for the transportation industry with a focus on mass transit. The other acquisition, Quantum Signal AI, is a robotics and simulation company aimed at giving Ford’s self-driving efforts a nudge in the right direction (with help from Argo and the Israel-based SAIPS).
Quantum Signal will be tapped for its algorithmic knowledge, with Ford hoping to put it into use inside of its autonomous vehicles. But it’s also going to help the automaker run digital simulations that teach machines how best to navigate a myriad of environments. That’s the hope, anyway.
Meanwhile, buying Journey Holding nets Ford access to subsidiaries Ride Systems and DoubleMap. The duo develop and run apps that track shuttle services for universities and private businesses. In the future, the acquisition is said to help ensure Ford has a system that allows it to effectively monitor its planned robo-taxi fleet while giving customers a way to access it via their phones (think Uber). It’s also supposed to help the automaker manage its existing mobility services in a similar manner.
“The combination of these transit technology companies will accelerate our efforts to help cities deliver more seamless, productive, and accessible transportation solutions to their citizens and visitors,” said Brett Wheatley, vice president Ford Mobility Marketing and Growth. “It also will be key to connecting customers with the other mobility solutions in our portfolio, such as Spin e-scooters and our GoRide Health service.”
[Image: Ford Moto Co.]
A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.
More by Matt Posky
Comments
Join the conversation
Once again, Ford is off-loading their design to outsiders. They did the same thing years ago with Mazda and Volvo (Focus/500/Explorer). The shuttering of their two prior outside investments pretty much says that the senior leaders are clueless and are using a coin to make decisions. Long term, that doesn't bode well for them.
Between mobility and the mad rush to sell bazillions of EVs nobody wants.... The question becomes which company is going to file bankruptcy first when one or both bets go bad.