Rolling bearings are frequently used machine elements in mechanical assemblies to connect rotating parts. Resource efficiency and reliability enhancement are considered to be important factors of rolling bearing development. One of the ways to meet these requirements is the tailored forming (TF) technology, which enables the functionalization of several metal layer composites in a single component. The so-called hybrid machine elements can be produced by co-extrusion of aluminum and steel and subsequent die forging, heat treatment, and machining. The TF rolling bearings made by this process can provide optimized characteristics that use aluminum to reduce weight and steel for a highly loaded contact zone between a rolling element and a bearing raceway. To evaluate the applicability and the potential of this technology, theoretical investigations are presented in this paper. The stress distribution under fully flooded conditions, caused by an external load in the contact between a rolling element and the TF outer ring of an angular contact ball bearing, is analyzed statically with the finite element method. The fatigue life of the TF component can be calculated for different external axial loads and manufacturing parameters, such as steel-to-aluminum volume ratios and osculation. As a damage model, the Ioannides and Harris fatigue model and the Dang Van multiaxial fatigue criterion were used. The results show that the fatigue life has high sensitivity to the steel-to-aluminum volume ratio. For the hybrid component with a steel layer thickness of 3 mm, 90 percent of the fatigue life of pure 100Cr6 steel bearing bushings is reached. In this FE model, residual stresses due to machining processes can be regarded as an initial state, which can increase the fatigue life of this TF machine component. © 2019 by the authors.