Ford Motor Company and General Motors Corporation have signed an agreement under which both companies will jointly develop an all-new generation of advanced-technology 9- and 10-speed automatic transmissions that will be used for the brands' cars, crossovers, SUVs and trucks.

This will be the third time that the two companies have collaborated on building transmissions, the most recent ones being the six-speed FWD transmission found on several Ford and Chevrolet vehicles worldwide. The collaboration enables both automakers to design, develop, engineer, test, validate and deliver these new transmissions for their vehicles faster and at lower cost than if each company worked independently.

That original collaboration served as a template for the new one. As before, each company will manufacture its own transmissions in its own plants with many common components. This is for the company to maximize parts commonality to provide economy of scale for both parties.

“This agreement provides tremendous benefits for both companies, and it will pay big dividends for our customers and shareholders,” said Jim Lanzon, GM vice president of global transmission engineering. “By jointly sharing the development of these two new families of transmissions, both GM and Ford will be able to more efficiently use our respective manpower resources to develop additional future advanced transmissions and bring them to market faster than if we worked alone.”

Further technical details and vehicle applications for these transmissions will be released by each company at the appropriate time before launch.