Mercedes-Benz parent company Daimler announced on July 26 that it will split into three companies 'to adapt to future developments'. After the reorganization, Mercedes-Benz, Daimler's truck division and mobile The travel business units will all become independent entities, and Daimler calls this the “PROJECT FUTURE”.
Mercedes-Benz van and automotive business will be merged into Mercedes-Benz AG; Daimler commercial bus and truck operations will be merged into Daimler Trucks AG); Daimler Mobile Travel will merge with Financial Services to become Daimler Mobility AG. The three companies will remain under Daimler AG.
Daimler wants to keep up with the pace of the technology industry, but can only restructure in 2020
Daimler said that splitting these business units into independent companies is expected to have greater 'entertainment freedom', a clearer 'market and customer focus', and the ability to 'build more flexible partnerships faster' In order to remain competitive in the ever-changing automotive industry. This plan will be voted by shareholders at the annual meeting of Daimler in May 2019. If approved, the company will show its face in January 2020 with a new look. .
Within a week, Daimler was the second car manufacturer to make a similar decision. On July 23, Ford established the new Ford Autonomous Vehicles LLC, which said on July 25. Plans to rebuild its global business model 'to enhance competitiveness'. Previously, Ford has set off a focus on technology-based services such as car sharing and shared bicycles from the company to form Ford Smart Mobility LLC.
In the past 10 years, traditional car manufacturers have been striving to achieve all-round development, which is both due to the willingness to actively change, but also forced to help. They have to adapt to the increasing demand for electric and hybrid systems in the market, which is mainly Affected by the policy, the great success of companies such as Tesla is also one of the reasons. Almost all auto companies are developing autopilot cars in some way, largely because of pressure from Google and other Silicon Valley technology companies. Affected by many technology companies in the mobile travel sector, most automakers are also exploring new business models, such as shared cars, shared cars and subscription services.
But looking at the world today, the business forces of automakers continue to spread to the world, and the scale of the company is unprecedented. On the surface, Daimler is a German company, but the company is also one of the many large automakers that manufacture vehicles in China. It is part of its cooperation with BAIC.) Daimler also reached an agreement with technology company Baidu, the two sides will jointly develop autopilot technology. Not long ago, Geely has announced that it is Daimler's largest shareholder. This is only for China. In terms of Daimler's manufacturing business has long been spread all over the world.
The automotive industry faces unprecedented external pressure
The auto industry is facing unprecedented external pressure, and the trade war initiated by President Trump's whim is tantamount to adding fuel to the fire.
In the past few years, most automakers have tried to exploit this uncertainty. They have maintained cooperation with each other and also sought to reach an agreement with technology companies. In order to develop autonomous vehicles, GM is doing both to Lyft. The investment also acquired the startup Cruise, which recently acquired a $2.25 billion investment from SoftBank. Ford spent $1 billion on artificial intelligence company Argo AI, Ford's smart mobile company and Chinese automakers Zotye is launching a network car service in China. Daimler and BMW have already reached an agreement that the mobile travel business units of both parties will be merged into one independent company (whether this restructuring of Daimler will make this cooperation unclear) This type of news is too numerous to mention.
The decisions made by Daimler and Ford show that they are willing to come up with an unprecedented determination to make a response from the inside to the deeper level in response to this change that has swept the entire automotive industry. The stock market is for the two major companies. The statement reacted negatively (Ford's share price even fell to its lowest point in six years), but Daimler's stock soon rebounded. But we have reason to believe that their decision will have some traditional automakers in the long run. benefit.
Separating businesses from each other helps attract talent and investment
Relevant industry analysts believe that it is a wise move to separate these businesses, which they can use to conduct initial public offerings (IPOs) for mobile travel, and may attract external funding like the Softbank Group's partnership with Cruise. Given the huge amount of money rushing to companies that are committed to developing mobile travel and autonomous vehicles, separating these potential businesses into independent companies will undoubtedly allow investors to clarify specific directions and help attract more investment.
Separating these businesses from each other will also help recruit new talent. The newly formed company will focus on specific mobile travel areas, and the company's internal stocks will become a magic weapon for recruiting talent. For younger technology talents, mobile travel company internal stocks The attraction is far greater than that of a traditional car company. Ford has established a self-driving car company and promises to create a working atmosphere like Silicon Valley, in order to attract these talents.
At the same time as the announcement, both companies have quietly taken action. Ford has made it clear that it allows Ford Autopilot to accept third-party investments. More importantly, these moves indicate that Daimler and Ford have finally begun to believe if they Being able to get rid of the rules and regulations of traditional car manufacturers, self-driving cars will probably bring huge income to them.
For the business model based on mobile travel business, the core thinking behind the decision of the two companies is: Reduce the car holding rate, at least change the owner of the car. For them, the sense of crisis can stimulate a strong motivation.