Fiat Chrysler Automobiles Open to Partnership With Suppliers, Tech Companies
Company Probably Won’t Partner With PSA Peugeot Citroen
Fiat Chrysler Automobiles’ CEO is still open to a partnership, according to Reuters, with one twist. Sergio Marchionne has said the company is now looking outside the automotive sector to partner with technology companies and other suppliers.
Reuters reports that with many different companies, including Google and Apple, looking to get into the manufacturing business, Marchionne believes there’s space for his company to provide insights and find “shared solutions,” in the Fiat Chrysler CEO’s words. One company he likely won’t consider is French automaker PSA Peugeot Citroen, which has made it clear it is open to collaboration.
Marchionne has stated that a strategic partnership with PSA would place too much of a limit on Fiat Chrysler’s opportunities moving forward, in spite of the benefits it might have for both companies. He elaborated, saying any future partner would need to be strong where his company is weak, specifically the Chinese market.
The statement is a bit surprising at first blush. Peugeot Citroen’s experience with building cars in developing countries, combined with its history of managing Chrysler Europe in the 1980s, would be a good fit for the decidedly Euro- and America-centric Fiat Chrysler Automobiles. However, given Fiat’s small-car proclivities and Chrysler’s skills with SUVs and pickups, Peugeot Citroen might not be able to offer Sergio’s charge anything it can’t already produce itself.
Marchionne has been on the hunt for a partner for years now. Last year, a strategic partnership was rumored between Fiat Chrysler and General Motors, and Marchionne has inferred that the company will seek a partner from which to license the company’s next-generation compact and midsize cars.