It shouldn't come as much of a surprise, therefore, to learn that Porsche is chopping up a few more of its divisions that aren't supporting the core business of building cars.
Auf Wiedersehen To eBikes
Porsche eBike Performance GmbH is probably the most recognizable of the downsized operations, considering it was part of a cross-promotion alongside the battery-electric Taycan a few years ago. The automaker has had cobranded bicycles before, but in 2021, it bought a majority stake in the German manufacturer Greyp Bikes, followed by its 2022 acquisition of the e-bike drive system manufacturer Fazua. The moves were intended to allow eBike Performance to market machines that were engineered and designed in-house, with a factory in Zagreb, Croatia, earmarked for production.
Porsche eBike Cross with Taycan Turbo GT Weissach
Unfortunately for the subsidiary's 350 employees, Porsche eBike Performance will be shuttered completely. It's not clear if the automaker intends to sell off the intellectual property associated with its foray into the world of two-wheeled, city-friendly mobility, a move that could give some hope to those affected by layoffs. We would think there's probably some meat left to scavenge off the bones of the joint venture, but citing "fundamentally changed market conditions" for propulsion systems, Porsche intends to cease all activities associated with its pedal-powered subsidiary.
More Software Cuts, Revised R&D Plans
Also on the redundancy list is Cetitec GmbH, a Porsche-owned company that designs communication software for Volkswagen Group's electronic vehicle systems. Porsche says that its development scope has changed, and the subsidiary is no longer a viable part of the company's long-term plans.
The same is true of Cellforce GmbH, which was responsible for developing battery cells (presumably for electric cars but possibly for other applications), but since the electrification market has shifted rather significantly, the company will close down. Unfortunately, between Cetitec and Cellforce, around 140 employees will be laid off.
The decision comes mere days after Porsche eliminated its Car-IT division, which was responsible for developing the latest infotainment software found in the Cayenne Electric. Car-IT is being reabsorbed into Porsche's research and development departments, and its leader, Sajjad Khan, will step down from his board membership without being replaced.
Most automakers have a variety of side hustles, but they're usually in collaboration with other companies as opposed to something wholly launched by the automaker. Porsche's eBike division was something internal, which makes us wonder about other initiatives not directly tied to automobiles. To be clear, none of these divisions have been mentioned as being in danger of being shut down. But they bear watching.
Porsche Ventures
Since 2016, Porsche Ventures has functioned as "a global early-stage venture capital firm" offering financial support to start-ups focusing on industrial technology, sustainability, and mobility.
Porsche Design
It's highly unlikely that Porsche would wind down its internal branding group that has existed since 1972. But it's worth noting that eBike was part of that group. It's conceivable that other elements within Porsche Design could quietly fade away. While we doubt Porsche makes its own crest-shaped ice-cube trays or golf divot tool sets, money could be saved by pausing or ending some of these partnerships.
Porsche Lifestyle Group
Technically part of Porsche Design, the Lifestyle Group is more about, well, lifestyle. This is the group working on, among other things, real estate ventures such as Porsche Design Tower Miami and Stuttgart.
This tech company based in Washington state specializes in traffic data and connected car services. With Porsche pulling back on Car-It, there's already a basis for reducing expenses in other areas. Porsche is an INRIX shareholder, investing $55 million back in 2014. A sale of some or all its stake could free up a little bit of cash for sure.
And there's certainly a basis for Porsche selling stakes in companies. Arguably, Porsche's biggest cost-cutting efforts surrounded its former stake in a joint venture with Rimac Group. Under a 2021 restructuring, Volkswagen Group handed the reins to its Bugatti hypercar brand over to Rimac, which formed a joint venture known, simply enough, as Bugatti Rimac. Under the terms of the deal, Porsche retained 45 percent of the newly created hypercar firm and acquired a larger stake in Rimac Group.
However, late last month, the two companies announced that Porsche would be divesting itself of the joint venture, as well as its roughly 20 percent stake in the Croatian parent company. Although specifics of the deal remain confidential, Bugatti Rimac has an estimated market valuation of more than $1 billion, meaning Porsche may have freed up more than $500 million in cash and assets by moving on without the French supercar manufacturer.
Despite impressive sales numbers in 2025, Porsche didn't make much money last year. High production costs and degrading consumer confidence in electric vehicles affected the company significantly, as did new tariffs in its largest region – North America. Although the legendary sports car manufacturer remains profitable, those margins have fallen as much as 98 percent by some estimates.
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