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Would you pay $17 a month to give your older Ford connectivity?

When it was first introduced in 2007, there was nothing like the original Ford Sync system, since it allowed car owners to connect and use a portable device better than anything that came before it. And because it was a brought-in/tethered and software-based system, Sync leveraged a device's connectivity and was easily updated. It took competitors awhile to catch up: Toyota Entune wasn't available until 2011, and Chevy MyLink didn't roll out until 2012. But now Ford is the one playing catchup since it stuck with the brought-in strategy while most other automakers were quicker to add connectivity via an embedded cellular modem. Ford initially installed 2G/3G modems in its small fleet of electric and plug-in electric vehicles starting in 2012 so that owners could keep tabs on charging. Embedded connectivity came to Lincoln in 2014, and Ford began adding onboard 4G LTE via Sync Connect to select cars starting with the Escape in 2015. To get more cars connected more quickly, last week the automaker rolled out its FordPass SmartLink solution that plugs into the OBD port of 2010 to 2017 model year vehicles. This lets owners retroactively get onboard Wi-Fi, set up a "geo-fence" to keep tabs on a car's location, receive vehicle health reports and allows remote engine starting and door locking/unlocking using a smartphone app, among other features. But to connect older Ford vehicles will cost owners $16.99 a month for two years, not including installation. Ford throws in 1 GB of data or a 30-day trial, whichever comes first, after which owners have to add the vehicle to their Verizon shared data plan, which supplies connectivity for SmartLink, or establish a new account. (Disclosure: Autoblog is owned by Verizon.) By comparison, GM's 4G LTE data plans start at $10 a month for 200 MB and goes up to $30 for 3 GB, and owners can also add a car to an AT&T shared-data plan. But OnStar doesn't have a separate monthly subscription for the embedded modem or an installation charge, and standard features via the RemoteLink Mobile App are free for the first five years of ownership. FCA's Uconnect Access service also uses an embedded modem to provide similar telematics features for $20 per month following a free one-year trial, while a la carte in-car Wi-Fi is offered for $10 per day, $20 per week or $35 per month.

Chrysler files for IPO

Chrysler has had a lot of owners over the past few years alone, from Daimler to Cerberus to Fiat and the federal government. But it could be poised to gain some more before long. Like, a lot more.
The automaker has just announced that it has filed with the US Securities and Exchange Commission to issue an Initial Public Offering of common stocks. Chrysler hasn't revealed how many shares will be offered and at what price, however the shares in question will not come out of Fiat's approximate 60% majority shareholding but instead out of the 40% minority stock held by the UAW's VEBA retiree healthcare trust. Reports suggest that the IPO, which is being handled by JP Morgan, could encompass approximately 16% of Chrysler stock, initially valued at approximately $100 million.
Lest you think this is all part of Sergio Marchionne's grand plan to consolidate Chrysler and Fiat, the two auto groups over which he presides, think again. The filing, which still needs to be approved by the SEC, comes at the insistence of the UAW. Negotiations between Marchionne's management team and the union over Fiat's acquisition of the VEBA shares have stalled. If they manage to come to an agreement, however, the IPO would likely be taken off the table. So don't go calling your broker just yet, but you can analyze the official announcement below.

Ferrari officially files SEC paperwork to register future IPO

Late last year FCA announced plans to spin off Ferrari into a separate company, and after a long wait that process has finally become official. The Prancing Horse has now filed the necessary prospectus and other documents with the Securities and Exchange Commission to hold an initial public offering on The New York Stock Exchange. The paperwork doesn't mention a specific date for the Italian sportscar maker's IPO, but it's expected sometime in October. At this point, the documents also don't include some other vital data about the IPO. Ferrari lists neither the number of shares being offered nor their price. The company also doesn't have a stock symbol yet. UBS, BofA Merrill Lynch and Santander are acting as joint book runners for the deal. As part of the IPO, FCA initially intends to sell 10 percent of Ferrari's shares on the stock market. Another 10 percent of the company still belongs to Piero Ferrari. FCA is holding onto the remaining 80 percent in the short term for financial reasons but intends to distribute them to shareholders in early 2016. After the spin-off, about 24 percent of Ferrari would be owned by Exor, 10 percent by Piero Ferrari, and 66 percent by public shareholders, according to the SEC documents. FCA boss Sergio Marchionne believes that Ferrari could be worth over $11 billion. Although, his estimate might be slightly high. According to Reuters, Wall Street is actually putting the value somewhere between $5.5 billion and $11 billion. If you're thinking about investing in the company or just want to read the nitty-gritty about the brand's financial health, the entire SEC filing can be read here. Ferrari Files for Initial Public Offering LONDON, July 23, 2015 /PRNewswire/ -- Fiat Chrysler Automobiles N.V. ("FCA") announced today that its subsidiary, New Business Netherlands N.V. (to be renamed Ferrari N.V.), has filed a registration statement on Form F-1 with the U.S. Securities and Exchange Commission ("SEC") for a proposed initial public offering of common shares currently held by FCA. The number of common shares to be offered and the price range for the proposed offering have not yet been determined, although the proposed offering is not expected to exceed 10% of the outstanding common shares. In connection with the initial public offering, Ferrari intends to apply to list its common shares on the New York Stock Exchange.