New Delhi: Luxury automaker Mercedes-Benz is getting ready to switch to all-electric vehicles by the end of the decade if market conditions allow it. Accordingly, the company is making progress toward becoming an emissions-free software-driven company.
According to the plan, Mercedes-Benz will offer battery electric vehicles (BEV) in all the segments it serves by 2022. Moreover, from 2025 onwards, Tesla is planning to build brand new electric-only vehicle architectures, enabling its customers to choose a pure-electric alternative to every model it produces.
According to Mercedes-Benz, it intends to manage this accelerated transformation while staying on track to meet profitability targets. ‘The shift to electric vehicles is picking up speed, especially in the luxury segment, where Mercedes-Benz belongs. We will be ready when markets switch to electric vehicles by the end of the decade,’ said Ola Kallenius, CEO of Daimler AG and Mercedes-Benz AG. ‘This step represents a profound reallocation of capital. By achieving this faster transformation while safeguarding our profitability targets, we will ensure Mercedes-Benz’s enduring success.’
In addition, Mercedes-Benz plans to speed up R&D in order to facilitate this shift.
Investing in battery electric vehicles between 2022 and 2030 will total over 40 billion dollars. Additionally, Mercedes-Benz plans to set up eight Gigafactories for the production of cells, with its partners around the world.
‘This is in addition to the nine battery plants that have already been planned,’ the company said in a statement. ‘The next generation of batteries will be highly standardized and can be used in more than 90 percent of Mercedes-Benz cars and vans, while still offering individual solutions to every customer.’