*By Amanda Weston* Ford Motor Company and Volkswagen AG [announced](https://media.ford.com/content/fordmedia/feu/en/news/2019/01/15/volkswagen-ford-alliance.html) at the Detroit Auto Show they will form a "broad alliance," but the reality of a partnership may present certain conflicts for both companies. "I think that this is going to be a very difficult friendship to make work because Ford ($F) is expected to make some pickup trucks for Volkswagen, which sounds good because Volkswagen needs those pickups in other markets," Nathan Bomey, business reporter at USA Today, told Cheddar Wednesday. "The question is what if they end up wanting pickups in America, which is of course where Ford has its bread-and-butter pickups." Bomey added that both carmakers will need to remain scrupulous about the details. "And so they're going to have to make sure that they've got the details of this alliance worked out so that they don't step on each other's toes. But it does make some sense because Ford and Volkswagen need to be much more efficient companies, and in that respect they can help each other." Both CEOs confirmed they plan to develop commercial vans and medium-sized pickups as early as 2022. The two companies will also explore collaborating on autonomous and electric vehicles and mobility services. They have also said they are considering more advanced vehicle programs. "If that comes to fruition, then that could certainly help spread out the cost, which they believe is important to end up getting across the finish line," Bomey said. "This is very, very costly technology. The regulatory structure is going to be very difficult to navigate, and so they may need to partner to do this. And we are seeing other companies partner as well. The problem is that clash of cultures can be very difficult in the auto industry. You look at the [history](https://www.usatoday.com/story/money/cars/2019/01/15/detroit-auto-show-volkswagen-ford-alliance/2578766002/) of these types of deals, a lot of times the culture clash just doesn't work out well." For full interview [click here](https://cheddar.com/videos/ford-and-volkswagen-unveil-new-partnership-at-detroit-auto-show).

Share:
More In Business
Ford Cuts Production of F-150 Lightning Electric Truck
Ford says it’s reducing production of the F-150 Lightning electric pickup vehicle as it adjusts to weaker-than-expected electric vehicle sales growth. The automaker said about 1,400 workers will be impacted by the move.
Apple Overtakes Samsung as Top Seller of Smartphones
Dan Ives, Managing Director and Senior Equity Analyst at Wedbush Securities dives deeper into a report by the International Data Corporation (IDC) that Apple has ended Samsung's 12-year reign as the world's largest smartphone seller.
AI is the Big Opportunity and the Risk to Watch at Davos
Artificial intelligence is the biggest buzzword at the World Economic Forum’s annual meeting in Davos. Advances in generative AI stunned the world last year, and the elite crowd is angling to take advantage of its promise and minimize its risks.
Load More