Ford announced yesterday the elimination of some 350 jobs in its connected vehicle software development teams in the United States and Canada. This decision aims to improve the company's operational efficiency in a constantly evolving technological context, according to a source familiar with the matter.
Key projects affected, including the digital experience for Ford and Lincoln
The employees that have been let loose worked notably on the new digital interface for Ford and Lincoln, recently launched. The positions eliminated represent around 5 percent of the software team dedicated to connected vehicles, led by Doug Field, chief of electric vehicles, digital and design at Ford.
A company spokesperson said the decision has no connection with U.S. tariffs or the recent halt in the development of the FNV4 software architecture, an internal next-generation project for electric vehicles.
Ford accelerates into the era of software-defined vehicles
For several years, Ford boss Jim Farley has emphasized the importance of hiring the right technological profiles to succeed in the transition to software-defined vehicles. As early as 2022, he described this talent quest as "the biggest untold story at Ford."
However, at the end of April, the company abandoned the FNV4 architecture due to cost overruns and delays. During the first-quarter earnings call held on May 5th, Farley explained that the merger of two internal electric architectures will allow Ford to accelerate software deployment and improve efficiency.
Wider cuts in Europe
Independently of North American decisions, Ford is also undergoing a vast restructuring in Europe, with nearly 14 percent of its European workforce slated to be eliminated, mainly in Germany and Great Britain. Tensions are rising at the Cologne plant, where a strike is expected on May 14th to protest those layoffs.