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China's BAIC looks to invest in Daimler

Daimler and Beijing Automotive Group (BAIC) are already intertwined in China. Daimler is a 12-percent shareholder in BAIC Motor, the third largest shareholder in the passenger-car division of BAIC. They have a joint manufacturing venture Beijing Benz in which BAIC is the majority partner by one percent, a sales joint venture Beijing Mercedes-Benz Sales Service Co. in which Daimler is the majority partner by one percent, and Daimer says, "BAIC is our most important partner in China." Beijing Benz is ten years old this year. They'll become even closer if talks between the two concerning BAIC taking "a major stake" in the German conglomerate come to anything. Reuters reports that the two are in talks now, with BAIC Chairman Xu Heyi saying it should be resolved one way or another by the end of this year. If they agree, the China-based, Hong Kong-listed company will join Renault-Nissan and the Kuwait Investment Authority as Daimler's top shareholders. Some China analysts see a potential Daimler investment as a coup for BAIC, similar to BAIC's 2009 purchase of old Saab platform, engine, and transmission technologies, that would give it access to technologies it wouldn't have to develop on its own and hastening the development of its own cars. A deal is also seen as potentially opening up export possibilities for the Chinese company. Other analysts aren't sure that BAIC would get any useful technology, noting that that last deal between the two gave BAIC the outdated E-Class platform, but none of Mercedes' headline tech. If a deal is done, BAIC will join Dongfeng Group and SAIC as Chinese automaker investors in western automotive companies.

U.S. tariff threat hits European automakers' stocks

FRANKFURT, Germany — A U.S. warning that it may introduce tariffs on foreign auto imports hit shares in German carmakers BMW, Daimler and Volkswagen on Thursday, which together have a more than 90 percent share of North America's premium car market. Washington said on Wednesday it had launched an investigation into whether car and truck imports are a national security issue due to signs they had damaged the U.S. auto industry. That could lead to new U.S. tariffs — up to 25 percent — similar to those imposed on imported steel and aluminum in March. BMW and Daimler shares fell as much as 3.1 percent in early Thursday trading, while Volkswagen's dropped as much as 2.5 percent. "(U.S. President) Donald Trump is obviously not thinking about how to prevent a trade war. Import duties on cars would be a nightmare for the German auto industry and would lead to a massive sales impact," said Thomas Altmann at Frankfurt-based asset manager QC Partners. BMW on Thursday condemned the move to consider tariffs. "The BMW Group is committed to free trade worldwide. Barrier-free access to markets is therefore a key factor not only for our business model, but also for growth welfare and employment throughout the global economy," it said. Daimler, which makes Mercedes-Benz cars, and Volkswagen, which makes upmarket Audis and Porsches, were not immediately available for comment. German carmakers produced 804,000 cars at local factories in the United States and exported 657,000 German-made cars into North America last year, according to German auto industry association VDA. China took pains on Thursday to welcome German firms and investments, with Premier Li Keqiang talking up relations after a meeting with German Chancellor Angela Merkel. BMW and Mercedes have expanded production capacity in the United States, but BMW, Audi, Volkswagen and Daimler have also invested billions to build new factories in Mexico in the hope of selling locally produced cars into the United States. German carmakers hiked vehicle production in Mexico by 46 percent to 620,000 cars last year, while production levels inside the United States fell by 6 percent to 804,000 cars because of a shift to Mexico, according to the VDA. BMW has its biggest factory worldwide in Spartanburg, South Carolina, and is the largest vehicle exporter among all the carmakers in the United States measured by value of goods exported. More than 70 percent of BMW's U.S.-made cars are exported.

Mercedes F1 to use Qualcomm 5 GHz WiFi for its tire data

In Formula 1 you need more of everything. More speed, more grip, more hospitality, more money. And you need data, reams and reams of data. The Mercedes-AMG Formula 1 team – the guys with the silver cars driven by 2015 F1 champion Lewis Hamilton and his teammate Nico Rosberg – need so much information that they've teamed with Qualcomm to wirelessly upload thermal imaging data of its tires. During a typical race weekend Mercedes's two racecars will generate approximately half a terabyte of data. Live telemetry has been a feature of Formula 1 for 20 years, though there are more restrictions on it than in the past. (In the days leading up to last weekend's United States Grand Prix in Texas, Formula 1 major domo Bernie Ecclestone said that F1 needs to cease being an engineering war and return more responsibility to the drivers.) Nevertheless, F1 teams gather vast amounts of data during a race weekend, particularly in practice sessions during which restrictions on what they can upload from cars – from engine/power unit parameters to aerodynamic loads – are less prohibitive. For example, during a typical race weekend Mercedes's two racecars will generate approximately half a terabyte of data. Mercedes F1 technical director Paddy Lowe points out that the standard telemetry system simply doesn't have the bandwidth to handle the thermal tire imaging data that the onboard thermal cameras generate. Why do you want a thermal video of the tires? Because it tells the engineers and drivers precisely how much temperature there is across the surface of a tire during a lap, in corners and on the straights. It also indicates how quickly the tires come up to temperature and when they potentially overheat. Understanding the temperature variations allows the team to set the cars up optimally for grip and tire life during a stint. Qualcomm's system works with the race cars like this: Each car has forward- and rear-facing cameras in a winglet mounted on the left side of the engine intake behind the driver's head, which continuously record thermal images of the tires. As a Mercedes enters the pit lane, it passes a Qualcomm 802.11ac WiFi receiver to which it uploads the thermal data. As the car nears the garage, another receiver takes over the upload. Several Qualcomm Snapdragon 805 processors crunch the raw data as it uploads. The data is encrypted – there are always prying eyes in Formula 1.