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The New Era of Hybrid Vehicles

Over the past 25 years, hybrid technology has evolved significantly, benefiting from advancements in engineering, vehicle design, and even lessons learned from motorsports.

by Jon Leverett
May 14, 2025
The New Era of Hybrid Vehicles

Over the past 25 years, hybrid technology has evolved significantly, benefiting from advancements in engineering, vehicle design, and even lessons learned from motorsports. 

Photo: Government Fleet

4 min to read


More than a century after the world’s first roadworthy hybrid automobile, hybrids have provided fleets with an option when looking for improved fuel economy without compromising the mainstream. 

Simply put, a hybrid vehicle is one that can propel itself with more than one type of energy, and by far the most common are gasoline-electric hybrids. An internal combustion engine is paired with an electric motor (or motors) and battery pack, which are used separately or in combination for the most efficient propulsion.

First envisioned as the ultimate fuel sippers, the hybrids of the last century were designed primarily for fuel economy and lower emissions, designed with the rigors of urban stop-and-go traffic in mind. However, early hybrid technology was less cost-efficient, hence the slow start to their market penetration. 

While automakers experimented with different forms of propulsion and electrified power in the 20th century, most production hybrids were seen in larger vehicles, like buses and trucks, and it wasn’t until the 1990s that hybrid cars saw renewed interest and development. By the early 2000s, customers could choose from hybrid cars, trucks, and SUVs, and the number of hybridized and electrified vehicles has grown substantially since. 

How Have Hybrids Changed?

Over the past 25 years, hybrid technology has evolved significantly, benefiting from advancements in engineering, vehicle design, and even lessons learned from motorsports. Today, hybrid systems are not designed to improve fuel consumption and reduce emissions for fleets, but also for enhancing vehicle performance.

In many cases, hybrid models can offer both quicker acceleration and better efficiency than their non-hybrid counterparts, demonstrating how far the technology has come.

For years, some automakers focused on maximizing fuel economy without hybrid or electric assistance, relying on lightweight designs, advanced transmissions, and efficient combustion engines to achieve strong mileage ratings. Now, as fleet needs shift, manufacturers are expanding their hybrid offerings to blend efficiency with driving engagement and a modern design.

Today, hybrids come in many forms—from traditional hybrids to plug-in models—and are designed to fit a wide range of lifestyles. For drivers who want better fuel efficiency without fully committing to an EV, hybrids offer a practical middle ground. Plug-in hybrids, in particular, provide electric-only driving for short commutes, with the reassurance of a gasoline engine for longer trips. 

💡Did you know? 

Ferdinand Porsche (yes, that Porsche) is credited for creating the world's first hybrid electric vehicle in 1901?

These electrified options backed by gas engines alleviate the idea of range anxiety, but still notably reduce customer's carbon footprints and fuel costs. This shift reflects a broader industry trend where hybrid technology is no longer just about fuel savings but about finding versatile solutions that cater to the diverse needs and driving preferences of modern fleets. 

How Can Hybrids Stand Out In A Saturated Market? 

Today’s hybrid buyers aren’t just looking for lower fuel bills; they expect the same comfort, capability, and driving enjoyment they’d get from any modern vehicle. That’s why automakers are evolving their approach. 

Rather than treating hybrids as a separate category, brands are now building them with the same attention to driving dynamics and design quality found in their conventional models. Precise steering, responsive acceleration, quality interiors and all-wheel drive capability are just some of the ways automakers are adapting to this market shift. 

Where Are Hybrids Going Next? 

Hybrid vehicles have made considerable progress in the last twenty years, so much so that a “hybrid” badge is now hardly more significant than model or trim. As for what’s ahead, greater market variety and customer choice will be at the forefront. 

Automakers are always looking into powertrain refinements like battery chemistry and software, along with manufacturing efficiencies to control overall costs for customers. Hybrids continue to be an appealing fleet addition to automakers, as they don’t require infrastructure changes the way the addition of EVs would.

Drivers are able to ‘get-in-and-go,’ just as they would in a gas vehicle, which eliminates the installation of mass charging stations, which would need to be considered when introducing EVs. 

Additionally, they can offer a long service life comparable to an ICE (Internal Combustion Engine) vehicle that doesn’t require any notable change when it comes to maintenance or repair, while reducing fuel costs and overall emissions. 

About the Author: Jon Leverett is an expert automotive professional with a lifelong passion for cars. Currently serving as Project Manager for Launch Strategy at Mazda North American Operations, Jon oversees Mazda model lines to ensure cross-functional alignment and readiness ahead of vehicle launches. Surrounded by Mazda vehicles from a young age, his hands-on experience and deep understanding of automotive engineering have been fundamental in shaping his approach to vehicle launch strategy. This article was authored and edited according to Government Fleet editorial standards and style. Opinions expressed may not reflect that of GF.

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