High-performance car manufacturer Porsche announced the closure of three subsidiaries as a restructuring measure after its vehicle sales were severely affected. The closures will include Cellforce Group, Porsche eBike Performance, and Cetitec.
Cellforce Group, which produces battery technology for Porsche EVs, was closed after the company opened up to using technology from outside companies. Meanwhile, Porsche eBike Performance, a maker of electric bicycle systems, was closed after the development of its latest eMTB was abruptly canceled in December.
Finally, vehicle software development company Cetitec was closed despite being used in vehicles manufactured by Porsche and the VW Group (Volkswagen, Audi, Porsche, Å KODA, Lamborghini, and Bentley). All of these drastic measures were taken to return the company's focus to its core business. A total of 500 employees will lose their jobs due to the closure of these three subsidiaries.
Last month, Porsche divested its stake in Bugatti's Rimac and Rimac Group as a cost-cutting measure. Despite having an attractive high-performance EV offering through the Taycan, Porsche's sales fell last year due to competition from Chinese EV companies that offer vehicles with comparable performance but at much lower prices.
