Ford Motor Co. is planning a major reorganization to prepare for the electric future, using Tesla Inc.’s success as a road map and accelerating EV spending by as much $20 billion.
The effort, led by a former Apple Inc. and Tesla executive, calls for Ford to spend an additional $10 billion to $20 billion over the next five to 10 years converting factories worldwide to electric-vehicle production from making gasoline-powered cars, according to people familiar with the plan. That would be on top of the $30 billion Ford already has committed to EVs through 2025.
The move is part of Chief Executive Officer Jim Farley’s initiative to challenge Tesla’s dominance in EVs even as he takes pages from the playbook of the electric-vehicle pioneer, now the world’s most valuable automaker. Investors have bought into Farley’s vision for Ford, briefly lifting the company’s market value above $100 billion in January.
