Ford To Invest $1 Bln Into Argo AI To Develop Self-driving Cars

(RTTNews) - Ford Motor Co. (F) announced that it is investing $1 billion during the next five years in Argo AI to develop a virtual driver system for Ford's autonomous vehicle coming in 2021 - and for potential license to other companies.

The company said that the $1 billion investment in Argo AI will be made over five years and is consistent with the autonomous vehicle capital allocation plan shared last September as part of Ford Investor Day.

By the end of this year, Argo AI expects to have more than 200 team members, based in the company's Pittsburgh headquarters and at major sites in Southeastern Michigan and the Bay Area of California.

Argo AI's initial focus will be to support Ford's autonomous vehicle development and production. In the future, Argo AI could license its technology to other companies and sectors looking for autonomous capability.

Founded by former Google and Uber leaders, Argo AI will include roboticists and engineers from inside and outside of Ford working to develop a new software platform for Ford's fully autonomous vehicle coming in 2021.

Argo AI founders Bryan Salesky, the company's chief executive, and Peter Rander, chief operating officer, led the self-driving car teams of Alphabet Inc. (GOOGL) and Uber, Ford said.

"Argo AI's agility and Ford's scale uniquely combine the benefits of a technology startup with the experience and discipline of the automaker's industry-leading autonomous vehicle development program," Ford said in a statement. Ford last year announced plans to sell driverless cars by 2021 and unveiled partnerships and investments in the arena, as well as buying a San Francisco-based shuttle startup.