Horse Powertrain, a joint venture that emerged from the merger of Geely‑Volvo’s combustion engine programs and Renault’s similar effort, is positioning itself as a key player in keeping traditional engines viable while the auto industry shifts toward electrification.
Origins rooted in a 2010 acquisition
When Geely bought Volvo from Ford in 2010, it combined two separate internal‑combustion development streams under one roof. Rather than shuttering those projects, the companies chose to expand the division, betting that engines would need continual improvement for years to come. CEO Matias Giannini says the decision reflected a belief that “combustion engines will still be needed and will have to get better.”
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From split to stand‑alone
Renault Group’s chief executive Luca de Meo later spun off his own ICE operations into a stand‑alone entity called Horse. The two firms then merged, creating Horse Powertrain with an initial 50:50 split between Geely and Renault. A later 10% stake was taken by Saudi Aramco, adding an oil‑major’s perspective to the mix.
Market scope and customer base
Industry forecasts suggest roughly one billion cars will still run on gasoline or diesel by 2035. Giannini argues the alternative is “half of the vehicles ending up with inefficient, polluting systems.” He adds that the company sees itself as the answer, offering more efficient power units to manufacturers that have not yet fully adopted electric drivetrains.
Challenges ahead
Critics ask how long a business centered on combustion technology can thrive as the market accelerates toward full electrification. Giannini responds that the timeline for a complete transition is “still far off,” and that the firm has an “obligation to solve the decarbonisation problem in the meantime.” He points to the long history of internal‑combustion development—spanning more than 150 years—as evidence that engines can continue to become quieter, lighter and more fuel‑flexible.
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The venture aims to stay relevant.
According to the report, the company’s strategy is to keep improving efficiency while also expanding hybrid solutions that can bridge the gap to pure electric propulsion. The approach aligns with the broader industry view that a mix of technologies will be required during the shift.
Industry perspective
Automotive analysts note that while many original equipment manufacturers have announced aggressive EV targets, a sizable portion of the global fleet will remain dependent on gasoline or diesel for at least another decade. This reality that firms like Horse aim to address.
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Future outlook
The CEO says the company will keep pushing the limits of engine technology, exploring new fuels and lightweight designs. He adds that Horse’s work is “only just getting into its stride.” The firm’s recent award for innovation reflects both its technical achievements and its commercial relevance in a market that is still finding a way toward full electrification.
For readers interested in the technical background of internal‑combustion engines, the Wikipedia entry on internal combustion engine provides a concise overview.