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PulseReporter > Blog > Money > Ford CEO Jim Farley says Waymo’s strategy to self-driving makes extra sense than Tesla’s
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Ford CEO Jim Farley says Waymo’s strategy to self-driving makes extra sense than Tesla’s

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Last updated: June 28, 2025 12:44 am
Pulse Reporter 8 hours ago
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Ford CEO Jim Farley says Waymo’s strategy to self-driving makes extra sense than Tesla’s
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Ford CEO Jim Farley expressed skepticism concerning the technological strategy to self-driving vehicles being pursued by Tesla, citing client “belief” and the necessity to “be actually cautious” as the explanation why Ford sees extra potential in techniques based mostly on laser sensors like these in Waymo autos.

The feedback are the most recent indication of the auto trade’s resistance to Tesla CEO Elon Musk’s imaginative and prescient of inexpensive self-driving autos that use solely video cameras and synthetic intelligence — a wager Musk believes will in the end repay and immediate different automakers to license Tesla’s know-how.

However Ford, the quantity three automaker within the U.S., which plans to work with companions to include self-driving know-how into its future autos, doesn’t appear prone to license Tesla’s tech anytime quickly, based mostly on Farley’s feedback on Friday.

“When you have got a model like Ford, when there’s a brand new know-how, it’s a must to be actually cautious,” Farley mentioned on the Aspen Concepts Competition on Friday. “We actually consider that LiDAR is mission crucial,” Farley mentioned, referring to the laser sensors utilized by corporations like Waymo.

Farley was being interviewed by Walter Isaacson, who revealed a biography on Elon Musk in 2023. When their dialog turned to autonomy, Isaacson requested Farley to match each Waymo and Tesla’s techniques, and he requested which strategy made extra sense. 

“To us, Waymo,” Farley mentioned. He identified that each Waymo, owned by Google-parent Alphabet, and Tesla “have made a number of progress” on self-driving, and Farley acknowledged that he has had conversations with Elon Musk. However he said that Ford thought of LiDAR to be an necessary a part of the image, noting that “the place the digicam might be fully blinded, the LiDAR system will see precisely what’s in entrance of you.”

Tesla, which just lately launched its robotaxi service in Austin—with security riders within the entrance seat—has famously taken a “camera-only” strategy to its autonomous know-how, which means that it doesn’t use radar or LiDAR know-how to “see” the surroundings across the automobile. This strategy has drawn scrutiny throughout the trade from individuals who query whether or not it’s as protected with out the redundancies, at the same time as Musk argues that it’s extra economical and performs simply as nicely

“The difficulty with Waymo’s vehicles is it prices far more cash,” Musk mentioned throughout Tesla’s quarterly earnings name in April.  “The automobile may be very costly, made in low quantity. Teslas in all probability value 25% or 20% of what a Waymo prices and made in very excessive quantity.”

Ford has mentioned it plans to companion with a self-driving software program firm as soon as the know-how is farther alongside. Whereas the corporate had spent $1 billion pursuing its personal three way partnership with Volkswagen, referred to as Argo AI, Ford stopped funding the trouble in 2022 and determined to pursue a partnership mannequin. Within the meantime, the corporate has shifted consideration to its “BlueCruise” know-how, a so-called Stage 2 self-driving system that enables drivers to take their fingers off the wheel on the freeway however requires full consideration. Ford continues to be engaged on creating a extra superior system, which is able to permit drivers to not listen throughout sure occasions on the freeway—but it surely has mentioned it not has intentions to construct a totally autonomous, Stage 4 system, solely plans to companion with different corporations who’ve.

“We determined, as an organization, {that a} cooler drawback than full autonomy in an city setting was excessive pace, eyes off. Push a button and skim a guide in your automobile,” Farley mentioned.

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