Ford to pay up to $165m to government for moving too slowly on recall
Ford Motor Co. will pay a penalty of up to $165 million to the U.S. government for moving too slowly on a recall and failing to give accurate recall information.
The National Highway Traffic Safety Administration says in a statement Thursday that the civil penalty is the second-largest in its 54-year history. Only the fine Takata paid for faulty airbag inflators was higher.
The agency says Ford was too slow to recall vehicles with faulty rearview cameras, and it failed to give the agency complete information, which is required by the Federal Motor Vehicle Safety Act.
Ford agreed to a consent order with the agency that includes a payment of $65 million, and $45 million in spending to comply with the law. Another $55 million will be deferred.
Under the order, an independent third party will oversee the automaker’s recall performance obligations for at least three years.
Ford also has to review all recalls over the last three years to make sure enough vehicles have been recalled, and file new recalls if necessary.
AMD cutting almost 1,000 jobs in AI pivot
Silcon Valley’s Advanced Micro Devices is shedding about 1,000 jobs as part of an effort to refocus on newer markets like artificial intelligence chips.
AMD has been pouring resources into artificial intelligence processors — a market dominated by Nvidia Corp. — and is pushing deeper in data centers and corporate personal computers. The company has traditionally focused more on processors for consumer PCs, where it competes with Intel Corp.
The job cuts are concentrated on sales and marketing positions for areas such as consumer PC and gaming PCs, according to a person familiar with the process who asked not to be identified because the matter is private. The company, which has its main offices in Santa Clara and Austin, is still hiring overall. The layoffs were reported earlier by CRN.
Electric vehicle makers drop on report Trump wants to end credits
U.S. automaker stocks fell after Reuters reported President-elect Donald Trump plans to eliminate a key consumer tax credit aimed at boosting electric-vehicle adoption.
Trump’s transition team has been discussing ending the $7,500 subsidy as part of a broader tax-reform effort, Reuters said, citing unidentified sources with direct knowledge of the matter. Representatives of Tesla Inc. also support ending the credit, according to the report.
Repealing the subsidy, a major component of President Joe Biden’s signature climate bill, the Inflation Reduction Act, would deal a significant blow to EV adoption in the U.S., which has already sputtered due to still-high vehicle prices and spotty charging infrastructure.
Trump has previously said he would reverse Biden’s EV policies on day one of his presidency.
Shares of Irvine-based Rivian Automotive were hardest-hit among major EV makers, plunging 14% in New York trading, the biggest drop since Feb. 22. Tesla also hit an intraday low following the report and closed the day down 5.8%. General Motors Co. and Ford Motor Co. shares declined
Compiled from Associated Press and Bloomberg reports.