Mahindra and Ford sign MoU to develop electric vehicles and connected cars
The Mahindra Group and Ford Motor Company have announced that they have signed a memorandum of understanding (MoU) to explore a potential partnership, similar to what the Volkswagen Group and Tata Motors had done. Ford and Mahindra will explore the possibility of collaboration for the development of electric vehicles, mobility programs and connected vehicle technology. If collaboration does happen, Mahindra will be able to benefit from Ford's expertise and reach in the global market. Ford meanwhile, will be able to leverage Mahindra's scale and relatively successful operating model in India, the world's fifth largest automobile market. This is the second time the two companies are collaborating since 1995, when Ford entered the Indian market with Mahindra, as Mahindra Ford India Limited.
Jim Farley, Ford's executive vice president and president of global markets, says that this MoU will allow the two companies to work together to take advantage of the rapidly changing automotive industry. Dr Pawan Goenka, the managing director of Mahindra and Mahindra said that companies need to explore alternatives and collaborate to exploit new opportunities which is a result of the rapid technological developments. He also said that this announcement "builds on the foundation laid through our past partnership with Ford and will open opportunities for both of us."