Ford Motor Co. and Toyota Motor Corp. today announced a joint effort to develop hybrid vehicle technology intended for use in rear-wheel drive SUVs and light pickup trucks.

Both the American and Japanese automakers have been working on their own next-generation RWD hybrid architecture. The joint announcement claims the manufacturers view the collaboration as a way “to bring these hybrid technologies to customers sooner and more affordably than either company could have accomplished alone.” The announcement of joint development refers only to a memorandum of understanding. A fully signed agreement–no doubt following a feasibility study–is expected next year, with actual implementation of the gas-electric hybrid technology slated for later in the decade when the more stringent Corporate Average Fuel Economy (CAFE) standards are set to go into effect.

The memorandum also calls for the two automakers to jointly develop next-generation telematics and internet-based in-car functionalities.

Read more at AutoWeek ^[1].