Time for a Reset
The pressure is on at Stellantis following several setbacks, including billions in charges tied largely to its electric vehicle pullback. The automaker has already announced its turnaround plan, dubbed FaSTLAne 2030, though it seems delivering a more effective vehicle lineup won’t be enough.
In a press release, Stellantis is selling its Free2move car-sharing business to German investment firm Mutares. While the financial terms weren’t disclosed, the sale follows the company’s decision to refocus on its core vehicle-manufacturing operations, especially now that its turnaround plan calls for more than €60 billion in investment, roughly $68 billion at current exchange rates.
Tap Into a Ride
Free2move was founded by PSA Group in 2016, before Stellantis was even formed. The platform, which operates car-sharing fleets in 14 cities across the U.S. and Europe, allows users to rent vehicles without visiting a traditional rental office. They can complete the process online and unlock the cars using their smartphones.
The fleet includes Stellantis models such as the Jeep Wrangler, which Free2move lists from $0.48 per minute or $114.99 per day on its customer-facing website.
While Mutares plans to continue developing Free2move, Stellantis will become more intentional with its capital allocation. Under FaSTLAne 2030, roughly 70% of its product investment will be concentrated on Ram, Jeep, Peugeot, and Fiat, along with the Pro One commercial-vehicle business. That detail is noteworthy given that Stellantis owns 14 automotive brands, including Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, Lancia, Maserati, Opel, and Vauxhall. Naturally, some of those brands would have to take a back seat.
Jeep
The Brands Stellantis Is Betting On
In the U.S., Ram and Jeep will be among the biggest beneficiaries of the turnaround plan, which aims to increase annual revenue from €154 billion ($176 billion) in 2025 to €190 billion ($217 billion) by 2030. Given the strong demand for pickup trucks, Ram is expected to succeed Jeep as the face of Stellantis in America by becoming the company’s volume leader in the region. The brand will introduce two new trucks: the compact Rampage and the midsize Dakota, with the latter taking on models such as the Toyota Tacoma.
Whether Stellantis’ strategy will succeed remains to be seen, but dropping Free2move shows how serious the company is about getting its turnaround moving.
Ram
Jeep
Stellantis
About the author
Rex Sanchez
News Editor