AP Source: VW investing $2.6B in Ford-owned robocar firm
DETROIT (AP) — A person briefed on the matter says Volkswagen will invest $2.6 billion in a Pittsburgh autonomous vehicle company that’s mostly owned by Ford.
The number is part of a broader partnership on electric and self-driving vehicles that Ford and the German automaker will announce Friday in New York.
The person says the two will become equal owners of Argo AI, which is developing autonomous vehicle systems. The person didn’t want to be identified because the figures haven’t been officially announced.
The VW investment includes $1 billion in cash and the $1.6 billion value of VW’s autonomous intelligent driving company. Ford already has committed to putting $1 billion into Argo, which the person says is now valued at $7 billion.
Also under the deal, Ford will use VW’s new modular electric vehicle underpinnings to build zero-emissions vehicles for the European market, according to another person briefed on the matter who also didn’t want to be identified ahead of the official announcement.