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Ford gets out of car subscriptions, sells Canvas to rival Fair

Ford says it’s selling its Canvas subscription service to competitor Fair, getting out of the subscription game after less than three years. Terms of the deal were not announced. Ford acquired Canvas in 2016 as a wholly-owned subsidiary based in San Francisco as a service to pilot subscriptions to Ford and Lincoln vehicles, eventually rolling out to Los Angeles and Dallas. The company said it had amassed around 3,800 subscribers in that time, who will have the opportunity to join Fair when their current subscriptions end and will receive more information from both subscription companies. But that number pales in comparison with Santa Monica, California-based Fair, which claims more than 45,000 subscriptions in 30 markets since launching in 2017. Ford was always fairly quiet about Canvas, and Automotive News last year reported that Lincoln executives expressed surprise over soft demand, saying that subscribers were looking for short-term solutions and often dropped out after just a few months. Ford is also in cost-cutting mode under CEO Jim HackettÂ’s $11 billion restructuring plan. The Blue Oval joins Cadillac, which put its $1,800-a-month Book By Cadillac subscription service on ice late last year, citing higher costs and fewer customers than expected. Cadillac has pledged to eventually relaunch the service as a pilot in select cities, but mumÂ’s been the word since. More recently, VolvoÂ’s Care by Volvo subscription service has come under scrutiny from dealers and an investigation from the California Department of Motor Vehicles and has made changes to its program. Thought it also has added the XC60, XC90 and V60 to the list of available vehicles. Fair touts itself as a “commitment-free” solution, with all-inclusive plans covering 24-7 roadside assistance, routine maintenance, insurance and other perks. It uses a mobile app to get customers prequalified, and it analyzes their eligibility and targets an affordable range of monthly payments. Customers then shop for cars and sign up for one via an initial payment that ranges by vehicle type, with the ability to keep the cars as long as they want and drop the service at any time. It peddles used cars from more than 30 different brands, none more than six years old or with more than 70,000 miles on the odometer. Fair on Tuesday announced it has raised $500 million in loans from a group of creditors, including Mizuho Bank and Japan's SoftBank, as it looks to expand its leasing services to Uber drivers.

Ford blamed in drug mule lawsuit

If a college student is caught smuggling drugs across the border, one might think the kid got what was coming to him. But when a Mexican student at the University of Texas in El Paso was caught by Border Patrol agents with duffel bags filled with marijuana in his trunk, the man used a classic excuse: He claimed they weren't his.
While a claim like that is almost unbelievable, Ricardo Magallanes, the student, is now suing Ford for handling its vehicles' key codes negligently enough to allow drug smugglers to break into his Ford Focus and stash the drugs, The Daily Caller reports. The twist here is that four other people who lived in Juarez and worked in El Paso were involved in the same type of scheme - allegedly unwittingly, just like Magallanes - and all the cars were Fords except one model from General Motors. FBI agents also found an employee at a Dallas Ford dealership that had accessed the key codes to all four of the cannabis-stuffed Fords.
While we all may not own Fords, the case still causes us slight paranoia. We'll definitely be checking our trunks before we cross any more international borders.

Ford recalls 1.9m cars and crossovers for defective airbags

The Basics: Ford is recalling a total of 1,898,728 vehicles to replace defective Takata front passenger-side airbags. This includes the 2007-2010 Ford Edge, 2006-2011 Ford Fusion, 2005-2011 Ford Mustang, 2007-2011 Ford Ranger, 2007-2010 Lincoln MKX and 2006-2011 Lincoln MKZ, Zephyr and Mercury Milan vehicles built in North America. The Problem: The defective airbags have been linked to ruptures that can send metal fragments at the passenger, due to deteriorating propellant. Injuries/Deaths: Ford claims it's not aware of any injuries due to the problem, but rupturing Takata airbags have been linked to a series of serious injuries and deaths. The Fix: Dealers will replace the passenger-side frontal airbag at no charge to the customer. If you own one: Look out for a letter from the manufacturer to arrange service at your local dealer. If you'd like to check if your vehicle is affected, click on the safety recalls link on Ford.com and enter your VIN. Related Video: