2007 Mercedes-benz Slk-class Slk350 on 2040-cars

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Dealers mobilize to protect their margins from automaker subscription services

Six individual auto brands — Lincoln, Cadillac, Porsche, Mercedes, BMW and Volvo — have established or are trialing a vehicle subscription service in the U.S. Three third-party companies — Flexdrive, Clutch and Carma — run brand-agnostic subscription services. And three automakers — Mercedes-Benz, BMW, and General Motors — have also launched short-term rental services. Dealers, afraid of how these trends might affect their margins, are building political and lawmaking campaigns to protect their revenue streams. So far, three states are investigating automaker subscriptions, and Indiana has banned any such service until next year. It's certain that those three states are the first fronts in a long political and legal battle. Powerful dealer franchise laws mandate the existence of dealers and restrict how automakers are allowed to interact with customers to sell a vehicle. On top of that, Bob Reisner, CEO of Nassau Business Funding & Services, said, "Dealers and their associations are among the strongest political operators in many states. They as a group are difficult for state politicians to vote against." In California earlier this year, the state Assembly debated a bill with wide-ranging provisions to protect against what the California New Car Dealers Association called "inappropriate treatment of dealers by manufacturers." One of those provisions stipulated that subscription services need to go through dealers, but that item got stripped out when dealers and manufacturers agreed to discuss the matter further. In Indiana, Gov. Eric Holcomb signed a moratorium on all subscription programs by dealers or manufacturers until May 1, 2019, to give legislators more time to investigate. Dealers in New Jersey have taken their campaign to the state capitol, asking that the cars in subscription programs get a different classification for registration purposes. Automakers run the current subscription services and own the vehicles. Sign-ups and financial transactions happen online or through apps, leaving dealers to do little more than act as fulfillment centers to various degrees, with little legal recourse as to compensation amounts when they're called on to deliver or service a car. That's a bad base to build on for business owners who've sunk millions of dollars into their operations.

Mercedes-Benz releases stunning first images of 2014 S-Class

The all-new 2014 Mercedes-Benz S-Class, designated W222, is one of the most highly anticipated debuts of its model year. Every generation of the flagship sedan has broken new ground in technology and innovation for the entire industry, and the German automaker appears determined to raise the bar much further with its latest arrival as it promises to deliver "the best automobile in the world." Mercedes-Benz has just released nearly two dozen interior images of the new sedan, showing off style in design, craftsmanship in execution and pioneering advancements in technology.
Unlike all previous generations - the first S-Class officially arrived in 1972 - the 2014 model completely discards a traditional instrument cluster and replaces it with two high-resolution color displays in 8:3 format with a screen diagonal of 12.3 inches (the outgoing model's gauges were a mix of digital and analog). The left unit displays traditional analog gauges (digitally, of course) while the right unit is reserved for infotainment and comfort settings with the automaker's all-new mBrace2 - a cloud-based entertainment and information delivery system that is rolling out this year.

Lewis Hamilton scores a record 80th pole in Japan, Vettel ninth

SUZUKA, Japan (Reuters) - Formula One leader Lewis Hamilton seized a record-extending 80th pole position at the Japanese Grand Prix on Saturday, timing his sole flying lap to perfection while Ferrari's Sebastian Vettel managed only ninth. The Mercedes driver, in dominant form all weekend at the Suzuka circuit, pumped in a one minute 27.760 second lap on the super-soft tires while it was still only just spitting with rain. Vettel and Ferrari teammate Kimi Raikkonen, who went out on intermediate tires in the final part of qualifying with the track still dry, lost time coming back in to fit the super-soft tires. The German then made another mistake on his first flying lap and was unable to get another one in as the intermittent drizzle turned into a full-blown shower that drenched the track. Meanwhile, Hamilton – who along with team mate Valtteri Bottas had gone out straight away on the super-soft tires to beat the rain – was lighting up the timing screens. "The team have done an amazing job this weekend, and the call that we made for Q3 was probably the most difficult," said the Briton, joined by Bottas on the front row after the Finn completed a second successive Mercedes front row lockout. "It's so difficult when the pressure is on to make the right call but that's the big difference between us this year and that's why we're the best and the team deserve it," added Hamilton. Vettel trails his fellow four-times champion by 50 points in the standings with just four races left after Japan. His hopes are fading fast and he needs a huge stroke of luck now to reignite his challenge. "Obviously it's not the position we deserve to be in," said the 31-year-old. "I think we have better speed than ninth but we'll start there and see how it goes. "Anything can happen tomorrow. Tomorrow is a new day." RICCIARDO FUMES Vettel's misfortune allowed 21-year-old Dutch driver Max Verstappen to qualify third for Red Bull. "We have a bigger chance now to be on the podium," said Verstappen, doubting that he would need to worry too much about the others' title battle: "Is it still a battle? I'm not sure," he said. While the Dutchman celebrated, teammate Daniel Ricciardo was left hoarse with anger after a power unit problem sidelined him during the second phase of qualifying before he had set a time. The Australian, as a consequence, is set to start 15th. "I just can't catch a break," said Ricciardo, who is leaving Red Bull for Renault at the end of the year.