Ford CEO Says Outdated IT Forced Shift in EV Development Strategy

Ford Motor Company CEO Jim Farley said the company’s legacy IT systems were too outdated to support its next-generation EV development, prompting a major internal shift led by its Skunkworks team. The initiative has since driven broader modernization across Ford as it works to compete with fast-moving EV rivals, particularly from China.

Skunkworks team bypassed legacy systems to accelerate EV development

Speaking at CERAWeek, Farley acknowledged that Ford had underinvested in modern IT infrastructure, creating limitations for its advanced EV programs. When the Skunkworks team was formed to develop the company’s Universal Electric Vehicle (UEV) platform, it was instructed to avoid Ford’s internal systems entirely and instead use best-in-class external tools.

That decision led to the adoption of new engineering and design software, including systems not previously used within Ford, according to Ford Authority. As a result, the company has begun rolling out these tools more broadly, replacing legacy processes such as a decades-old parts release system.

The shift reflects a fundamental change in how Ford approaches product development, moving away from traditional, linear workflows toward more agile and software-driven methods.

EV push drives broader transformation across Ford

The Skunkworks initiative is now influencing operations beyond its original scope, with leadership emphasizing the need to transfer these new capabilities across the wider organization. Farley noted that competing with Chinese automakers has accelerated the urgency to modernize, particularly as those rivals continue to advance quickly in EV technology and development speed.

John Lawler reinforced that the Skunkworks team is a permanent part of Ford’s strategy, highlighting the benefits of its unconventional approach. Unlike traditional OEM processes refined over decades, the new EV-focused workflow emphasizes faster iteration and integrated systems development.

As Ford continues building out its next-generation EV platform, the modernization of its IT and engineering processes is expected to play a critical role in closing the competitive gap and enabling more efficient vehicle development.

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