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Weekly Recap: Marchionne's Manifesto again calls for industry consolidation

Sergio Marchionne isn't taking no for an answer. Despite public rebuffs from General Motors and Ford, the leader of Fiat Chrysler Automobiles continues to push for consolidation within the auto industry. His latest assertion came Wednesday when he said a combination of FCA with another automaker could net savings of $5 billion or more annually. No, this isn't about selling his company, he claimed, it's about cutting costs. Put simply, the auto industry wastes money, Marchionne said during FCA's earnings conference call. Companies invest billions to develop basic components that all cars use, but many consumers don't care how they work or recognize the differences. "About half of this is really relevant in terms of positioning the car in the marketplace," he said. "The other half, in our view, is stuff which is neither visible to the consumer nor is it relevant to the consumer." In 2014, top automakers spent more than $100 million on product development, FCA estimated. Marchionne said consolidation could save up to $1 billion on powertrains alone, noting that almost every automaker offers four- and six-cylinder engines. Not everyone has to make their own, he contended. "The consumer could not give a flying leap whose engines we are using because they are irrelevant to the buying decision." That's pretty provocative for enthusiasts, but less so for average consumers. Still, there are major differences in power and efficiency ratings, even among similar engines. Skeptics could argue consolidation would also weaken competition and reduce choices for car buyers. Marchionne stressed his presentation, curiously entitled Confessions of a Capital Junkie, wouldn't require closing factories or dealerships. It's not his final "big deal" as CEO, intent to sell FCA, or a way to elevate his company up the automotive food chain. He claims he wants to fundamentally change the industry and its habit for burning cash. "The horrible part about this, and the thing that I find most offensive, is that the capital consumption rate is duplicative," he said. "It doesn't deliver real value to the consumer and it is in its purest form, economic waste." Other News & Notes Ford Profits dip in first quarter Ford profits fell $65 million to $924 million in the first quarter, hampered by slight dips in revenue and sales.

Fiat's Ecobasic concept shows what the city car of the future looked like in 1999

In the late 1990s, Fiat set out to prove cheap and eco-friendly weren't mutually exclusive. It argued a car could be both with an innovative, opinion-cleaving concept named Ecobasic built to preview the econobox of the future. Fiat quietly presented the Ecobasic at the 1999 edition of the Bologna auto show, which was still a big deal 21 years ago, and it displayed it again at the following year's Geneva show. Its high-top Converse-shaped silhouette turned heads everywhere it went, and that was only the beginning. Looking closer revealed its front end received a transparent panel that let users add oil, coolant, wiper fluid, or give the battery a jump. Audi adopted a similar solution for its A2. It had one door on the driver's side, two on the passenger's side, and a transparent hatch underlined by a pair of horizontal lights. It stretched 137.7 inches long, 67.3 inches wide, and 57.8 inches tall, dimensions that made it about two inches taller, three inches wider, and an inch lower than a modern-day 500. Keeping manufacturing costs in check was a priority, so Fiat used plastic body panels dyed with color during the production process and mounted them to a steel structure, a configuration not unlike the Smart ForTwo's. They were designed to be recycled at the end of the car's life cycle. Inside, the passengers were treated to a marvelous exercise in simple, back-to-the-basics design. The driver sat in front of a four-spoke steering wheel, while a speedometer and a fuel gauge were integrated into a pod that sprouted from the center of the dashboard. The automatic transmission's gear selector, a handful of buttons, and the HVAC controls were aligned below it. The domed, bolted-down hood covered a 1.2-liter four-cylinder turbodiesel developed specifically for the Ecobasic. It showcased Fiat's Multijet common-rail technology, which promised improve fuel economy without compromising power. On paper, that's exactly what it achieved. The four developed 61 horsepower at 3,500 rpm and 118 pound-feet of torque at 1,800 rpm, which were reasonably respectable figures for an Italian city car made in the late 1990s, and it returned nearly 80 miles per gallon. Fiat quoted a 13-second 0-62-mph time. The company apparently did not blush when it hinted it could build 200,000 units of the Ecobasic annually and sell each one for approximately 5,000 euros, a price which would have made it one of the cheapest new cars sold in Europe.

Iveco spotted testing jacked-up Daily 4x4 in the snow

The Italians go up against the Mercedes Sprinter with the Fiat Ducato, better known around these parts as the Ram ProMaster. But that's not the only full-size van associated with the burgeoning Fiat empire. So too is the Iveco Daily, and here we're looking at the latest version. Spied undergoing cold-weather testing in the snow, this version of the Daily is a chassis cab with a cargo bed, a jacked-up suspension and four-wheel drive. The chassis cab is just one of a number of configurations available for the Iveco Daily, which is perhaps more commonly seen on roads across Europe and around the world as a cargo van or mini-bus. But the 4x4 looks new to our eyes. Now if you're scratching your head and wondering what Iveco is and where it stands in the growing Fiat Chrysler Automobiles empire, the short of it is that it doesn't. Not quite, anyway. Once part of the Fiat Group, it's now part of CNH Industrial – otherwise known as Case New Holland – whose largest shareholder is the same Agnelli-owned Exor holding company that controls the largest share of FCA. That doesn't mean that the Daily, in this form or any other, will make the jump to the North American market any time soon – as an Iveco, a Ram or under any other brand – but as far as professional-grade machinery goes, this piece of forbidden fruit is looking pretty cool. Featured Gallery Iveco Daily 4x4: Spy Shots Image Credit: CarPix Spy Photos Fiat Automakers Truck Commercial Vehicles Off-Road Vehicles iveco iveco daily