Ford Motor Company (F) Morgan Stanley's 14th Annual Laguna Conference summary

Transformation and leadership commitment

• Leadership is deeply committed to transforming the business, with a strong focus on integrating hardware, software, and services for long-term growth.

• Transformation efforts are driven from the top and permeate throughout the leadership team, fostering intense focus and buy-in.

Integrated services and software growth

• Integrated services are expanding from commercial to retail, leveraging vehicle data and prognostics to enhance customer value.

• 1.6 million paid subscribers reflect strong product-market fit, with BlueCruise subscriptions growing rapidly, especially among post-purchase adopters.

• BlueCruise has 530,000 subscribers, growing 40% YoY, with post-purchase subscriptions up 170% YoY.

• Pulling more aftermarket business in-house is a key strategy to increase loyalty and lifetime value.

Hardware and software strategy

• Hardware integration is tailored by vehicle trim to balance affordability and feature availability, with tech-forward models like Ford Fathom standardizing advanced features.

• New in-house electrical architecture will cover 90% of the fleet by 2030, improving margins and enabling more cohesive, frequent software updates.