As Ford starts on its path towards an all-electric future, CEO Jim Farley is exploring the possibility of splitting the EV side of the business from its legacy internal combustion engine (ICE) business.
According to sources who spoke to Bloomberg, the split is being considered but would be difficult, so Ford may instead separate the EV business internally as its own unit.
Part of the reason the split is being explored is that Ford believes it would allow it to cash in on the EV craze and unlock a valuation like that of Tesla’s, which has reached as high as $1 trillion.
The sources said it would also be a difficult sell to the Ford family, who would be reluctant to lose influence over the company.
The move would be part of a larger reorganization the company is making to put itself at the forefront of the EV revolution.
Ford plans to spend as much as $22 billion through 2025 to modernize and convert their existing facilities and build new ones to support their transition to EVs.
The automaker has committed to having a fully electric passenger lineup in Europe by 2030.
They also plan to have 100% of their commercial vehicles in the US be zero-emissions capable by 2024.