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Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.

Roll pins in recalled 2014-2015 Cadillac CTS V-Sports could crack

General Motors has issued a recall for select 2014-2015 Cadillac CTS V-Sport sedans due to roll pins in the rear differential that could crack. The recall only affects 2,866 vehicles, but it is expected that 100% of those vehicles have the defective parts. According to NHTSA Campaign No. 20V038000, 2014-2015 CTS V-Sports built between July 1, 2013 and May 15, 2015 have roll pins in the rear-axle differential that could "fatigue" and "fracture." If these pins were to break while the vehicle is in motion, it could cause the rear to lock up, which might create a potentially dangerous driving situation. In September 2019, a GM engineer noticed a forum discussion about the problem with the V-Sports, which can be easily identified by their twin-turbo 3.6-liter V6 engines. Because he had dealt with similar issues with his own personal vehicle, he submitted a report, and an investigation was opened the next month. To make good with its customers, GM has promised to replace the rear differentials on all affected vehicles. The recall report says the roll pins in the replacement parts will have "increased strength" and a double-shear design rather than the original single-shear design.  GM plans to send customers recall identification notices starting March 9, 2020. 

Mystery Cadillac Escalade prototype spied testing on public roads

This mystery Cadillac Escalade prototype could be a rumored V model featuring a supercharged LT4 V8. This prototype, sporting a fancy exhaust and other unique elements under fairly elaborate camouflage, was spied testing on public roads in Michigan.  Since it's still quite comprehensively disguised, we can't say much for certain about what this prototype has going on underneath. We can see a new set of wheels, a quad-tip exhaust and what appears to be a redesigned lower front bumper, but our spies didn't indicate anything else definitive — not even the telltale whine of a supercharger. That seems a glaring omission, given that a V model would almost certainly be powered by the same supercharged V8 found in the CT5-V Blackwing, where it is expected to develop well north of 650 horsepower.  Cadillac chief engineer Tony Roma has previously suggested that more V-badged cars are in the pipeline without confirming which ones or when to expect them. An unverified report published in February 2021 claims the Escalade's 6.2-liter V8 will soon receive a 200-horsepower bump thanks to a factory-backed, dealer-installed supercharger; a full-fledged V model would take that formula a step further. If you're not familiar with Cadillac's latest performance offerings, "V" models are now the mid-range performance variants, similar to Audi's "S" cars in that they offer a bump in power and handling but stop short of being full-blown track monsters. That treatment is reserved for the new "Blackwing" nameplate, which was derived from the twin-turbocharged V8 of that same name that was originally slated to power those range-topping models.  Related video: