luebri
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This article released today discusses that very topic. Although there is some real funny math going on. See below for the excerpt.Maybe the price increase is just part of Ford's overall game plan to reach a +8% eBit margin by 2026. If so, then perhaps we get an inkling of how well those plans are going to go over .... (thud!).
https://www.f150lightningforum.com/...v-losses-for-the-first-time.14960/post-317632
$200,000,000 (possible revenue) / 100,000 = $2,000 revenue for active subscriber!??!? The article is a bit ambiguous but I would assume they are talking annually?
âDifferent kind of revenueâ
"Doug Field, chief advanced product development and technology officer, also touted a push into software and subscription revenue models, using the automakerâs BlueCruise hands-free highway driving system as as example.
âAs we build out our next gen platforms, we aspire to deliver [BlueCruise] to as many customers as possible,â Field said. âWhen you can take your eyes off the road, everything changes.â
Ford for the 2024 model year expects to build 500,000 vehicles equipped with the hands-free technology. At an expected take rate of 20%, Field said BlueCruise alone could amount to $200 million in revenue.
âMy finance and business partners tell me that this is a different kind of revenue,â he said. âThey use these words like accretive to margins, less cyclical than vehicle sales.â
Field said that Fordâs approach to creating EVs is radically different from its traditional strategy for vehicle development, emphasizing that software will define and control many new features â including features Ford hasnât yet developed, but will add to existing vehicles in the future via updates.
âThe products we make are not living rooms,â Field said. âThey are moving, working robots. And our software ambition goes way beyond deep into how our products move, how they collect data, and how they support people who are going to use them for real work.
âWe call them unimaginably great products, because the best things we will make are the ones we havenât thought of yet.â
https://www.cnbc.com/2023/05/22/ford-capital-markets-day.html
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