Arch Nemeses Ford and GM Unite to Lower Development Costs

General Motors Corp. and Ford Motor Co., the two largest automakers in the world, stated recently they will be teaming up in a unique and unprecedented partnership to develop a new 6-speed automatic transmission. The high-volume, front-wheel-drive transmission will offer 4 to 8% better fuel economy over traditional 4-speed units. Ford and GM have inked an initial agreement to cooperate on designing, engineering and testing the new transmission as well as working with suppliers to develop and buy components. They expect to finalize the deal this winter.
Why are they joining forces after years of battle? "Ford and GM may be traditional competitors, but we share common goals of satisfying customers, improving fuel economy and reducing costs," said Thomas G. Stephens, Group Vice President for GM Powertrain. "We believe partnering together on this program will provide significant benefits to our companies and our customers." Ford Vice President of Powertrain Operations David T. Szczupak further stated, "We'll each produce transmissions that are distinct in feel and performance," and continued, "That's because the transmissions will be mated to different engines and fitted to different vehicles." The companies said the new transmission would be available in the mid-to-late decade.






