Ford invests US$ 182 million in Pivotal to enhance software development

Ford Motor Company has announced an investment of US$ 182.2 million (Rs 1,213 crore) in Pivotal, a cloud-based software platform company headquartered in San Francisco, to further enhance its software development capabilities and deliver innovations. 

In addition, Ford and Pivotal plan to open new software labs in strategic locations in both the United States and Europe. The labs will be staffed with software architects, engineers and user experience experts – all using Pivotal’s software development methodology.

Commenting on the investment, Mark Fields, Ford president & CEO said, “Expanding our business to be both an auto and mobility company requires leading-edge software expertise to deliver outstanding customer experiences. Our investment in Pivotal will help strengthen our ability to deliver these customer experiences at the speed of Silicon Valley, including continually expanding FordPass – our digital, physical and personal mobility experience platform.”

Expanding partnership with Pivotal

Ford recently teamed up with Pivotal to deliver FordPass, a free digital, physical and personal platform that features benefits such as Marketplace, FordGuides, Appreciation and FordHubs.

After the launch of FordPass last month, the US-based automaker plans to accelerate the incorporation of Pivotal’s advanced software development methodologies and technology across the IT, product development, and research and advanced engineering teams. Ford will put Pivotal’s next-generation cloud platform and analytics capabilities to use on the company’s new mobility projects – such as its on-demand Dynamic Shuttle pilot program.

Rob Mee, Pivotal’s CEO commented, “We are at a major inflection point in global business, and Pivotal is at the fulcrum of that change. We are collaborating with iconic companies like Ford to help transform their businesses with our unique software development methodology and modern cloud platform and analytics tools. We are thrilled to create a deeper partnership with Ford through this investment as we drive its evolution to becoming both an auto and mobility company.”

Building more software expertise

Pivotal’s advanced software development methodologies and cloud platform complement Ford’s embedded software capability that supports EcoBoost engines, SYNC 3 connectivity system and driver-assist technologies like Active Park assist.  

Software plays an important role in the EcoBoost engine enhancing its fuel efficiency as it helps engineers to maximise the use of each drop of fuel at a molecular level. Ford has 275 patents on EcoBoost technology and another 200 pending, with a large majority covering aspects of software controls and calibration.

“Investing in Pivotal builds on our current strengths in software development,” said Marcy Klevorn, Ford vice president and CIO, who will join the board of directors at Pivotal. “We plan to quickly add new state-of-the-art software engineering capabilities across the Ford enterprise.”