Ford Motor announced plans to introduce Level 3 driver-assistance systems to the market by 2028, which will allow drivers to take their hands and eyes off the road when operating on certain highways. This technology will debut on Ford's new electric vehicle platform designed by a team in California, US, initially featured in a midsize EV truck launching in 2027, priced at approximately $30,000. However, the Level 3 system, which is intended to be an optional feature, will incur an additional fee that has yet to be determined.
Ford is developing these driver-assistance systems internally to reduce dependency on suppliers, aiming to lower costs, expedite updates and enhance quality. The Level 3 system will utilize lidar technology for remote sensing. In contrast, Tesla CEO Elon Musk advocates solving autonomy challenges using cameras, with Tesla vehicles equipped with Level 2 capabilities that require continuous driver attention. Most automakers are cautious about expanding self-driving features beyond highways due to the unpredictability of urban environments, and some, such as Mercedes-Benz, have limited their Level 3 systems to highway use in certain US states.
General Motors (GM) plans to offer eyes-off driving in 2028, starting with the Cadillac Escalade IQ EV, while Stellantis recently paused its Level 3 advanced driver assistance system program due to high costs and technological hurdles. Driver-assistance systems are increasingly important for automakers seeking subscription revenue opportunities, with Ford's Level 2 BlueCruise system available for a $50 monthly or $495 annual fee. The advancement of assisted-driving technology is seen as a step toward fully autonomous vehicles, potentially expanding new markets for ride-hailing and personal self-driving cars.
Additionally, Ford plans to release an AI assistant through a mobile app in 2026 and in vehicles in 2027, capable of analyzing supply quantities. Other automakers such as GM, Volkswagen and Mercedes-Benz are also integrating conversational AI systems into their vehicles, with GM utilizing Google Gemini and planning to unveil a proprietary system soon.
This content may be AI-assisted and is composed, reviewed, edited and approved by S&P Global.
