"Drive Smart" Technologies

Ford is introducing a wide range of "smart" technologies that increase access to information, entertainment and communication options while driving. These new technologies will give drivers a new level of vehicle efficiency, productivity and connectivity, making their lives easier. Furthermore, we are responding to customers' increasing demand for excellent value by offering these premium technologies on a wide range of our vehicles, not just our luxury vehicles. The all-new 2010 Ford Taurus provides a good example. This vehicle won Edmunds.com's first-ever "Technology Breakthrough Award," for "set[ting] the standard for technology that's practical, intuitive, and offers exceptional value to consumers while making driving safer and more convenient." The 2010 Taurus provides more user-friendly technology than other cars twice its price, including 10 class-exclusive technologies not available from any other manufacturer.

Ford's "drive smart" innovations also reflect our commitment to work with industry leaders in communications, information and entertainment technologies to deliver the best-possible technologies for our vehicles. For example, we joined with IDEO and Smart Design to research a new smart dashboard display system for our hybrid vehicles. We worked with Microsoft, DEWALT, Master Lock, Mario Magnelli, Garmin and Sprint to deliver our new Ford Work Solutions™ system. And, we worked with SIRIUS to add even more features to our voice-activated navigation system.

The following are examples of our new "smart" technologies:

• MyFord™ Driver Connect Technology delivers a new approach to in-vehicle controls, displays and interfaces and provides access to ever-expanding in-vehicle functionality while minimizing driver distraction and improving interior aesthetics. MyFord replaces many of the traditional vehicle buttons, knobs and gauges with voice commands, LCD screens and five-way buttons that drivers can customize, so they can choose which information is front and center. This technology will be available across our full range of vehicles, from affordable small cars to high-end luxury vehicles. It will debut on the 2011 Ford Edge and Lincoln MKX crossovers in North America, followed by the 2012 Ford Focus in our global markets. By 2015, approximately 80 percent of Ford's North American models are expected to have MyFord driver connect technology, with similar percentages predicted for the world market. MyFord was recognized at the 2010 Consumer Electronics Show with Popular Mechanics' "Editor's Choice" award and CNET's "Best of the Consumer Electronics Show" award. In mid-2010, we will be adding an "EcoRoute" function to MyFord that will use historic and real-time traffic information to recommend routes that could increase fuel economy by as much as 15 percent. The EcoRoute system will be introduced initially as an option on the Ford Edge in the middle of this year.
• The next-generation voice-activated SYNC® expands Ford's award-winning hands-free communications and connectivity system. SYNC already includes industry-leading voice-recognition software and integrates a GPS receiver with customers' Bluetooth-capable mobile phones to deliver personalized traffic reports, precise turn-by-turn driving directions and up-to-date information, including business listings, news, sports and weather – without requiring a built-in navigation system. In 2010, Ford is adding the ability to voice control smart phone applications, or "apps," through SYNCApplink. This application programming interface allows the use of popular apps such as Pandora internet radio, Stitcher "smart" radio and the Twitter client OpenBeak. This interface will not only provide vehicle occupants with greater connectivity, but importantly it helps to mitigate driver distraction by using the safer means of voice commands to control functions and programs. We are also adding wi-fi capability to SYNC. That is, USB plug-in modems can be plugged into SYNC to make the whole vehicle a wireless "hotspot" at no extra charge as part of SYNC service. This system includes safety features to prohibit users and devices not authorized by the driver. In addition, the wi-fi capability is only available when the vehicle is in park. Ford research has shown that SYNC increases the resale value of vehicles and also improves potential customers' opinions of Ford vehicles and their likelihood of buying a Ford. We installed the two millionth SYNC unit in March 2010.
• Voice-Activated Navigation with SIRIUS Travel Link™ allows drivers to access up-to-the-minute, voice-activated information on traffic conditions, weather, area gas prices, sports scores and movie listings. The system responds to voice commands for destination programming and route selection. In addition, it provides enhanced route guidance features such as street name announcements, as well as detailed freeway exit, turn and ramp position lane guidance. In 2009, this navigation system ranked highest in a third-party study of navigation system satisfaction. Starting with the 2011 model years, we will be adding a new high-occupancy vehicle (HOV) lane routing preference to the system. Once the HOV option is engaged and a destination is entered, the system will map routes using more than 2,500 miles of HOV carpool routes throughout some of North America's most-congested metropolitan areas.
• SmartGauge™ with EcoGuide is a dashboard display in our hybrid vehicles that gives drivers information to help them maximize fuel efficiency. The system provides information on current fuel economy, fuel economy history, odometer reading, engine coolant temperature, fuel level, battery charge status, electric vehicle mode, tachometer, engine output power, battery output power, power to wheels, engine pull-up threshold and accessory power consumption. Drivers can use the system to track their long-term fuel economy progress and illustrate it either with a traditional chart or using an innovative display of "growing leaves and vines." The more efficient a customer is, the more lush the leaves and vines, creating a visual reward for the driver's efforts. In addition, the real-time system feedback allows drivers to assess and modify their driving habits to achieve maximum fuel economy.
• EcoMode, in our European vehicles, will provide drivers with information on the fuel efficiency of their driving. This system monitors the key parameters for optimal fuel consumption that drivers can affect by changing their driving behavior, including gear shifting, anticipation (i.e., driving as consistently and smoothly as possible) and motorway driving (i.e., driving with the most efficient speed on motorways and country roads). In addition, the system considers the percentage of cold-engine short trips. Through this monitoring process, Ford EcoMode generates a driver profile with a scoring system for these driving parameters and offers information on how to improve fuel economy over time. This process can be translated into driver advice that can help make the best use of the vehicle's technology. The system was introduced on the second-generation Ford Focus ECOnetic and will be introduced in additional future vehicles.
• Ford Work Solutions™ is a suite of four in-vehicle technologies that offers drivers connectivity, flexibility and security to better run key aspects of their business from their Ford truck or van. The suite includes high-speed Internet access, radio-frequency identification tracking for real-time tool inventory, a cable locking system to secure items in the truck bed and a fleet management system in the in-dash computer. The technologies were developed through hands-on research with contractors and skilled tradespeople around the United States to ensure the technologies met their needs. At the 2010 Consumer Electronics Show, the Ford Work Solutions in-dash computer won "Best of Innovations" in the category of In-Vehicle Accessories.
• Ford Active Park Assist uses ultrasonic-based sensors to help drivers parallel park with the touch of a button. This system won Popular Science's 2009 "Best of What's New" award. This is the third straight year that Ford has been recognized with a Best of What's New award. We previously won for our EcoBoost™ engine technology (2008), Easy Fuel® Capless Fuel-Filler System (2008) and SYNC system (2007).