DETROIT, May 30 (Reuters) -

Ford Motor ( F ) and General Motors' ( GM ) chiefs on

Thursday offered clashing perspectives on the importance of

hybrid vehicles to their long-term strategic outlooks.

Ford CEO Jim Farley wants the industry to stop viewing

hybrid vehicles as only an interim solution to be used until

drivers are comfortable going fully electric, while GM CEO Mary

Barra does not view the technology as a longer-term play.

"We should stop talking about it as transitional

technology," Farley said of hybrids at a Bernstein conference.

"Many of our hybrids in the U.S. are now more profitable than

their non-hybrid equivalent," Farley added.

Plug-in hybrids, which include a small battery that can be

used for shorter distances, may not be relevant in a few years,

Farley said. However, extended-range hybrids are an important

technology for the industry's future, he said.

Hybrid vehicles, which bridge the divide between gas-powered

vehicles and EVs, have experienced a surge in demand over the

past year, prompting automakers to scale back on their drive to

go electric.

Barra said the Detroit automaker will have plug-in hybrids

starting in 2027, in response to steeper regulatory

requirements, but electric vehicles are where GM sees the market

heading.

"It's not the end game because it's not zero emission,"

Barra said of hybrids at the same conference. "We're trying to

be very smart about how we do that and how we deploy capital

there," she added.

Ford is aiming to quadruple hybrid sales over the next

several years, executives have said. It has pulled back on some

of its EV investments and pushed back production of EVs in

Canada and the U.S.

Separately, the Ford chief said on Thursday that EVs should

not be subsidized, and that automakers should be pushing to

profitably produce battery-powered models quickly.

"We believe that we have to get to that fitness level as

soon as possible," Farley said.

The Dearborn, Michigan company split its electric and

software division from its gas-engine operations in 2022, a move

that executives said would improve efficiency in both segments.

The automaker separately reports results for the wings of

its business following the restructuring.

Ford has forecast a loss of $5 billion to $5.5 billion in

its EV business this year after reporting a $4.7 billion loss in

2023.

'DEFINED BY CHINA'

Farley and other automotive executives have said software

and subscription services will be key profit drivers in the

future.

The Ford boss views autonomous driving technology as one of

the largest growth opportunities for the automaker.

Chinese competitors have been superior in their approach to

developing software and services that attract customers, Farley

said.

"The China consumer experience digitally is far beyond the

West," he said.

"You have to have great cost fitness and quality fitness to

even have the right to compete. And that's being defined not

here in the U.S. It's defined by China," he added.

Barra agreed that she has an eye on the top carmakers in

China, and GM must maintain strong brands, products and cost to

not fall behind them.

"I take the Chinese competitors, especially the top

ones, very seriously. We've got to continue to take cost out so

we can we can compete successfully," she said.

With such fierce competition overseas, Farley does not

believe all carmakers will survive. Pressure will be the

greatest on the all-EV brands that do not have gas-engine

offerings to buoy profits, he said.