Prior to a planned initial public offering (IPO), the Renault Group announced the establishment of a new business unit devoted to electric vehicle (EV) development and technology. According to Renault, the new division, Ampere, is a new kind of automaker with the goal of dominating the rapidly expanding European market for electric cars.
Ampere will create a “horizontal model to be more agile and innovate faster,” according to the company, which is also driven by technology. Renault stated that the goal is to democratize electric vehicles (EVs) in Europe by providing affordable cars.
Ampere aims to deliver a distinctive customer experience by designing exclusively electric cars for the European market. In order to “bring about this large-scale transition to electric mobility,” Renault said that Ampere employs over 11,000 people, of whom 35% are engineers. These individuals would design, develop, manufacture, and market high-performance automobiles under the Renault brand.
What did the Renault CEO say?
Luca de Meo, the CEO of Renault, will oversee the company, while Luciano Biondo will oversee industrial operations. “Creating a new model of the company specialising in electric vehicles and software running as of today: How better to illustrate our revolution and the boldness of our teams?” stated Luca de Meo, CEO of Ampere and Renault Group.
The CEO also said, “Establish a long-term business strategy and make sure that it permeates every procedure and output. Enhance the Group’s capabilities and reassess our entire process. Establish a close-knit group and work for the group’s goals. Utilize our French heritage to take the lead in Europe. Declare our dedication to our clients, the environment, and all living things on it.”
“The Group’s ambitious goals are reflected in the roadmap Ampere is pursuing, and I am incredibly proud to announce this significant advancement.”
Restructuring has also been implemented by other automakers, like Ford, to create corporate divisions devoted to creating and promoting electric cars. It is hoped that specialized and targeted business units may concentrate efforts away from the distraction of ICEs in order to achieve higher value and future competitive gain when the market and industry shift to EVs.
A public offering would strengthen investor awareness, yet sources indicate that Ampere’s listing is being postponed until at least the second half of 2024 if market conditions permit.
