In recent years, we have heard from Renault about the Renaulution plans, as part of which the brand was transformed and launched a plan of reorganization, savings and modernization. Part of the plan was the establishment of an independent division for the development and production of electric vehicles and platforms and technology for them. Ampere Holding was founded in November 2023 and announced as a new model car company, which wants to become the European leader in the fast-growing electric vehicle market. However, only a little more than two years later, Ampere’s turn came to – shut down.
Weak demand ruled them out
The decision to terminate the Ampere Holding division was made after it became clear that its planned initial public offering (IPO) would not materialize due to unfavorable market conditions and reduced demand for electric vehicles. The reorganization, which should be completed by July 1 this year, is aimed at reducing complexity within the Renault group and speeding up future projects through a simpler management structure, it was announced, and after that date Ampere’s operations should be integrated back under the roof of the parent company.
According to management, the merger will not result in layoffs or contract changes for most of the approximately 11,000 employees who worked within Ampere’s system. The unions reacted positively to the plan, judging that the simplification of the organization was necessary and expected in the current circumstances.
Change of strategic direction
New Chief Executive Officer François Provost with this move, he continues the trend of overturning the key decisions of his predecessor Luce de Meaafter having previously terminated the independent Mobilize unit in December. Although Ampere was conceived as a European leader exclusively in the domain of electric vehicles, the withdrawal of external investments from partners such as Nissan and Mitsubishi made the existence of that division in the form of a separate entity redundant.
After reintegration, Ampere will become the Renault Group’s advanced engineering center specializing in software and electric vehicle technologies, while the plants in the north of France will once again become direct subsidiaries of Renault. Despite this negative news, Renault recorded a significant increase in sales of fully electric vehicles in 2025, which confirms the continued focus on electrification through an integrated business model.