After a year of computer-chip shortages that continue to hammer automakers, this week Ford found a simple solution by partnering with the U.S.-based chipmaker GlobalFoundries. A move which the company hopes can help now and in the future.
The strategic agreement is just one of many moves from Ford, who’s dealt with supply chain shortages, transportation problems, and more, like everyone else over the past year. With this partnership, the two companies will work together to co-develop semiconductor chips for Ford vehicles.
And while this move is obviously to address a huge bottleneck right now, supply issues, it’s also a smart move when you look to the future. This will help Ford deliver more vehicles throughout 2022, but the company also plans to bring some chip manufacturing and design processes in-house. As a result, it could design chips for Ford features, including self-driving, electric vehicle production, Ford’s e-crate engine platform, and even in-car infotainment systems.
“This agreement is just the beginning, and a key part of our plan to vertically integrate key technologies and capabilities that will differentiate Ford far into the future,” Ford CEO Jim Farley said in a statement.
For now, this is only a nonbinding agreement that could change in the future. Additionally, neither company shared financial details on the deal or how much supply GlobalFoundries could deliver to Ford in the near future.