Herbert Diess, CEO of the Volkswagen Group, denied the news that his company would merge with Ford.
Since Volkswagen and Ford announced that they could produce commercial vehicles together, there were reports that this collaboration could be moved to other areas. Herbert Diess, who spoke at a conference in Germany, denied these allegations and said that there was never a “merger” between the two companies. In the previous statements, it was stated that the strategic cooperation between the two companies would not include such agreements as the mutual purchase of shares.
Diess “we are looking at the common platforms we have. Ford is very strong in the U.S., and we are in other markets.” quoth.
There will not be a merger, but the possibility that the partnership between the two companies will move beyond commercial vehicles is still not excluded. Ford spokesman Jennifer Flake said that the good-faith agreement with Volkswagen covers a number of different areas, but it is premature to share details at the moment.
The two companies are expected to develop electric vehicles and autonomic driving technologies together. Thus, both companies can reduce R & D costs and increase their profitability.
In a statement on Volkswagen’s website, the partnership will benefit both companies, but Ford and Volkswagen will remain competitors, and will not work together in advertising, marketing and pricing strategies.
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