Ford has written off $1.9bn as it cancelled plans for an all-electric large SUV in the US, opting to produce a hybrid version instead in the latest sign of western carmakers struggling to make profitable electric cars.
The US carmaker said on Wednesday that it would not be able to reach a profit on the electric SUV within a year, its measure of whether a new car is viable, citing the stiff competition from Chinese manufacturers. It will initially write off the cost of $400m (£300m) in tooling for the vehicle, plus another $1.5bn (£1.15bn) in extra costs in the future.
Ford also said it would delay the successor to its F-150 Lightning electric pickup truck until 2027, after initially targeting a launch next year.
how does producing fewer options result in more choice, let alone “maximum” choice?
i feel like corporations are just throwing around “customer choice” as a justification for literally everything they do, regardless of how much “choice” is actually involved–same bullshit as tax-funded vouchers for private jesus schools
short term profit that will result in long term market loss.
They are maximising choice by creating a new lowest rung on the ladder of choices. Now you can buy something good, or buy a Ford!
Same as always.
They are the customer of future “too big to fail” government bailouts, and they are choosing to get more free money.
socialize losses, privatize profit
We will produce only one of this item, giving our customers infinite choices, which again means unlimited profits!
I swear I lmao when I first heard they were getting rid of so many cars. It was so obvious they were cutting their own throat.
Isn’t Ford the company that got its start by telling customers that they could get their model t in any color they want, as long as it’s black?
Perhaps this is simply part of Ford’s DNA and they don’t know how to make it stop?