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As GM readies Alexa convenience for vehicles, we ponder its dark side

SEATTLE — On the 30th floor of AmazonÂ’s glass tower, in a room with a breathtaking view of downtown Seattle, thereÂ’s a beautiful bed that nobody sleeps in. ItÂ’s near a kitchen nobody cooks in, a living room couch that no one crashes on, a kitchen table that doesnÂ’t host any family meetings. ItÂ’s AmazonÂ’s Smart Home Lab, a place where every Alexa-enabled gizmo the company or its partners can produce is crammed into the same space, ostensibly for Amazon to test. The company invited us there to show us the companyÂ’s vision for consumer products to leverage AlexaÂ’s voice interaction software before taking us down to a demo of its latest implementation in a Buick Encore GX. In this eerie simulacrum of a fantastic luxury apartment, however, nothing went right the first time. ItÂ’s a challenging environment for Alexa to work correctly, our hosts noted, pointing to the fact that there were six wifi networks available for the devices to connect to. In a normal home, one wifi network controls all the devices, who can theoretically sort out for themselves which one youÂ’re actually trying to activate. In the Smart Home Lab, any unmuted Alexa device thinks itÂ’s in charge. Even so, the connected toaster wouldnÂ’t connect. The Fire TV Cube wouldnÂ’t play a song. Our handlers futzed with everything, muting and unmuting devices, repeating commands, making us feel better about our own struggles with similar technologies. If it doesnÂ’t work right at Amazon HQ, maybe itÂ’s not just us! ItÂ’s telling that down on the faux lawn, in between the gleaming Amazon spheres that host a billionaireÂ’s tropical garden and the Day 1 building that the Smart Home Lab resides in, the BuickÂ’s Alexa implementation doesnÂ’t use a “wake-word” at all. The familiar Push to Talk button on the steering wheel, which normally activates General MotorÂ’s own proprietary voice command system, can be set to default to Alexa when that rolls out to GM vehicles in the first half of 2020 via an over-the-air (OTA) update. Given the reluctance of Alexa to respond to its wake-word in the comfort of AmazonÂ’s own lab, we hoped that this was by design. Drivers are already familiar with Push to Talk, and a physical button is more reliable than the vagaries of contemporary voice recognition – not to mention the privacy and accuracy issues involved with always-on mics. Our experience with the not-ready-for-primetime Mercedes-Benz MBUX system is illustrative.

U.S. new-vehicle sales in 2018 rise slightly to 17.27 million [UPDATE]

DETROIT — Sales of new vehicles in the U.S. rose slightly in 2018, defying predictions and highlighting a strong economy. Automakers reported an increase of 0.3 percent over a year ago to 17.27 million vehicles. The increase came despite rising interest rates, a volatile stock market, and rising car and truck prices that pushed some buyers out of the new-vehicle market. Industry analysts and automakers said strong economic fundamentals pushed up sales and should keep them near historic highs in 2019. "Economic conditions in the U.S. are favorable and should continue to be supportive of vehicle sales at or around their current run rate," Ford Chief Economist Emily Kolinski Morris said after the company and other automakers announced their sales numbers Thursday. That auto sales remain near the 2016 record of 17.55 million is a testimonial to the strength of the economy, said Mark Zandi, chief economist at Moody's Analytics. The job market, he said, has created new employment, and wage growth has accelerated. "That's fundamental to selling anything," he said. "If there are lots of jobs and people are getting bigger paychecks, they will buy more." The unemployment rate is 3.7 percent, a 49-year low. The economy is thought to have grown close to 3 percent last year, its best performance in more than a decade. Consumers, the main driver of the economy, are spending freely. The Federal Reserve raised its key interest rate four times in 2018 but is only expected to raise it twice this year. Auto sales also were helped by low gasoline prices and rising home values, Zandi said. It all means that people are likely to keep buying new vehicles this year even as they grow more expensive. The Edmunds.com auto-pricing site estimates that the average new vehicle price hit a record $35,957 in December, about 2 percent higher than the previous year. It will be harder for automakers to keep the sales pace above 17 million because they have been enticing buyers for several years now with low-interest financing and other incentives, Zandi said. He predicts more deals in the coming year as job growth slows and credit tightens for higher-risk buyers. Edmunds, which provides content, including automotive tips and reviews, for distribution by The Associated Press, predicts that sales will drop this year to 16.9 million.

Biden's tariffs likely won't impact Americans already driving Chinese-built cars

A 2024 Buick Envision Sport TouringGM-DESIGN Chinese car brands are missing from the US market, but Chinese-made cars are still sold in the US.  Americans bought more than 104,000 Chinese-made cars in 2023 and nearly 28,000 in Q1 2024. Buick, Lincoln, Polestar, and Volvo all sell cars in the US that are made in China.  Of the more than 15 million cars sold in the US last year, none wore the badge of a Chinese car brand. Chinese EV heavy hitters like BYD and SAIC are conspicuously missing from US showrooms. With the government's existing 27.5% tariffs on Chinese-made cars and Tuesday's new 100% tariffs on Chinese-made EVs imported to the US, the situation isn't likely to change anytime soon. What some people might not realize, however, is that tens of thousands of cars manufactured in China are sold in the US every year. Volvo's S60L sedan was one of the first Chinese-made cars to be sold in the US starting in 2016, followed by Buick's Envision SUV and Cadillac's CT6 Hybrid. According to Automotive News data, US consumers purchased more than 104,000 Chinese-made vehicles in 2023, up 45% from 2022. Americans bought another 28,000 Chinese-made cars during the first quarter of 2024. Currently, Buick, Lincoln, Polestar, and Volvo sell Chinese-made vehicles in the US. Of those, the only Chinese-made EVs come from Polestar, a brand co-owned by Volvo and its parent company, Geely Automotive. The EV brand imported just 2,217 cars in the first three months of 2024. It is unclear how the new tariffs will affect Polestar's future production plans. The company eventually plans to move some of its car production to South Carolina in 2024. In a statement to Business Insider, a Polestar spokesperson said the company is evaluating the Biden Administration's announcement. Here's a closer look at the Chinese-made cars on sale in the US. Buick Envision A 2024 Buick Envision AvenirGM When it launched in 2016, the Buick Envision compact SUV was one of the first Chinese-made vehicles sold in the US. The second generation Envision, which arrived in 2021, continues to be made in China at one of the plants GM operates in a joint venture with SAIC. The Envision was Buick's second-best-selling model in 2023, with more than 44,000 vehicles sold. Last year, Buick sold 167,000 vehicles across its entire lineup in the US, an impressive 61% increase over the previous year. However, this number pales in comparison to Buick's sales in China, which totaled 517,000 units last year.