Ford CEO Jim Farley has revealed that he was left "shocked" by the competitive landscape in the electric vehicle (EV) market after his team dismantled a Tesla Model 3. This experience led him to overhaul his company's approach, realizing they had fallen behind in EV production and were using outdated equipment.
A critical comparison of Ford's Mustang Mach-E with Tesla's Model 3 highlighted the significant differences between their designs. The Mach-E's wiring loom was found to be 1.6 kilometers longer than its rival's, adding 70 pounds of dead weight and costing an extra $200 per battery. This exposed a major flaw in Ford's traditional manufacturing approach.
Farley acknowledged that his company had "even more catch-up" to do with EV manufacturers using modern equipment. The math behind EV production changes significantly due to the huge expensive batteries used in these vehicles. Recognizing this, Ford split its company into two divisions: Model E (EV vision) and Blue & Pro (traditional operations).
The move marked a significant shift for Ford, as Farley is committed to beating competitors through hands-on experience. He has been testing his own cars on the road, including a Chinese-made Xiaomi SU7, which he believes provides valuable insights into how vehicles are used in real-world scenarios.
While acknowledging that this approach may be seen as unusual by some, Farley emphasized its importance. He described himself as an "industry juggernaut" and called China's EV leaders – including companies like Xiaomi – the "Apple of China." Despite facing criticism from colleagues over his use of a Chinese-made car, Farley remains committed to staying ahead in the rapidly evolving EV market.
Ford's efforts to catch up with competitors have come at a cost, as its Model E division lost over $5 billion in 2024. However, Farley asserts that this is necessary for Ford to remain competitive and accountable to investors. The company's new governance structure and increased focus on innovation are aimed at tackling the challenges posed by EV manufacturers using modern equipment.
As tensions between American and Chinese automakers continue to rise, it remains to be seen how Ford will navigate these complexities while maintaining its commitment to staying ahead in the EV market.
A critical comparison of Ford's Mustang Mach-E with Tesla's Model 3 highlighted the significant differences between their designs. The Mach-E's wiring loom was found to be 1.6 kilometers longer than its rival's, adding 70 pounds of dead weight and costing an extra $200 per battery. This exposed a major flaw in Ford's traditional manufacturing approach.
Farley acknowledged that his company had "even more catch-up" to do with EV manufacturers using modern equipment. The math behind EV production changes significantly due to the huge expensive batteries used in these vehicles. Recognizing this, Ford split its company into two divisions: Model E (EV vision) and Blue & Pro (traditional operations).
The move marked a significant shift for Ford, as Farley is committed to beating competitors through hands-on experience. He has been testing his own cars on the road, including a Chinese-made Xiaomi SU7, which he believes provides valuable insights into how vehicles are used in real-world scenarios.
While acknowledging that this approach may be seen as unusual by some, Farley emphasized its importance. He described himself as an "industry juggernaut" and called China's EV leaders – including companies like Xiaomi – the "Apple of China." Despite facing criticism from colleagues over his use of a Chinese-made car, Farley remains committed to staying ahead in the rapidly evolving EV market.
Ford's efforts to catch up with competitors have come at a cost, as its Model E division lost over $5 billion in 2024. However, Farley asserts that this is necessary for Ford to remain competitive and accountable to investors. The company's new governance structure and increased focus on innovation are aimed at tackling the challenges posed by EV manufacturers using modern equipment.
As tensions between American and Chinese automakers continue to rise, it remains to be seen how Ford will navigate these complexities while maintaining its commitment to staying ahead in the EV market.
I can feel Jim Farley's frustration and determination after being left shocked by Tesla's competitive edge 
. It's crazy to think that his team was using outdated equipment, which is just not efficient at all 
. The fact that Ford had to split their company into two divisions is a huge step in the right direction 
. I admire Farley's willingness to test drive different cars, like his Chinese-made Xiaomi SU7 
, and learn from real-world experiences. It shows he's willing to think outside the box and take risks 
. Yeah, it might cost Ford some money, but if they want to stay ahead in the EV market, it's worth it 
. Fingers crossed for Ford to navigate these complex relationships between American and Chinese automakers 
!
Ford's EV game is a mess. Who knew a wiring loom could be so extra? 
...splitting up into Model E (EV vision) and Blue & Pro is a total cop-out 
. If they wanted to catch up with Tesla, they should've done it through investments or partnerships, not by creating a whole new company 
. And what's with the Xiaomi SU7 thing? I mean, I get that he wants hands-on experience, but testing Chinese-made cars isn't exactly going to give him competitive insights, if you ask me 
. Anyway, it'll be interesting to see how this all plays out in the EV market...I'm gonna stick with my Honda Civic for now 
. Newsflash: it's not that easy! You gotta put your money where your mouth is, Farley 
Is he tryin' to be some kinda EV evangelist? I mean, I get it, real-world testing is important, but can't they just buy a Tesla or somethin'? 
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It's interesting how Farley is embracing the "Apple of China" label, but at the same time, he's not afraid to test his own cars on the road. That takes guts, right? 
I'm curious to see how this new governance structure and focus on innovation will pay off for Ford. Will they be able to catch up with Tesla and other EV manufacturers? Only time will tell 
on Farley's face when he realized his team was playing catch-up! 
like, 1.6k loom difference? that's a huge flaw 
and it shows they were stuck in the past 
model e is all about innovation and staying ahead of the game, while blue & pro is handling the traditional stuff 
. farley's approach might be a bit unconventional 
, and it's giving him valuable insights 
! They had no idea what Tesla was cooking up over there 
. That wiring loom is like, woah 1.6 km long!!! 
And it costs them $200 extra per battery?!? What a bummer for their bottom line 
. Ford's gotta step up its EV game ASAP or risk getting left behind 
. Jim Farley's idea of testing his own cars on the road is so cool btw 
, but I guess it came at a cost 
or risk getting left behind in this rapidly evolving market 
the fact that he's been testing his own cars on the road is wild 
. and did you know that Tesla sells over 1 million EVs per year? 
that's like, a lot! 
. What if Ford is actually trying to be taken down by its own competitor, China? It's all about perspective, right? 