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Mini Vision Next 100 Concept: It's the autonomy, stupid

The concepts that Mini and Rolls-Royce showed off today – the Vision Next 100 Concept and 103EX, respectively – are all about autonomy. The Rolls-Royce doesn't even have a place for a "driver." And even though both are very much blue sky concepts, corporate parent BMW thinks it will make fully-autonomous cars within the next five years. That's according to Peter Schwarzenbauer, Member of the Board of Management of BMW AG, MINI, BMW Motorrad, Rolls-Royce, and Aftersales BMW Group, who also told us that both cars, at least in concept, are fully electric. The Rolls-Royce has dual-drive, 250kw motors mounted fore-and aft, on front and rear axles. While the Rolls is clearly a luxury concept for the monied few, the Mini is very much focused on a shared economy. Holger Hampf, Head of User Experience, BMW Group, said the chief design challenge of a car-sharing world is producing a car that could in theory mean different things to different borrowers. You get exclusivity because each car would morph according to the borrower's desires. BMW/Mini already have a car-sharing program in London called DriveNow, and a pilot program in Seattle called ReachNow, focused on the idea of shared exclusivity. ReachNow, which allows Mini/BMW owners to lend their cars out in an AirBnB-type scheme or to borrow "fleet-style cars," are immutable – however the car that was ordered is what the borrower or the owner will get. That's great if you're the owner, but it's also challenging for both anyone who'd buy that car used or for anyone borrowing the car. And if the future of most cars is a shared model (Ford is now offering multi-person leases among up to six buyers in a pilot program in Austin, Texas), customization is impossible. The result is what Schwarzenbauer derogatorily calls "normed." He says carmakers have to relearn to brand for a world where ownership is devalued but customization is key. To that end the MINI VISION NEXT 100 is "skinned." We've seen this before with the BMW NEXT concept that was revealed at the NY Auto Show this past spring, and the idea is to use the exterior of the car as a canvass that changes according to setting. Indeed Mini envisions that in a multi-driver household, the vehicle's customization could easily include changing colors according to driver preference – automatically. Dr.

Mini adds limited-edition Coral Red model to 2021 Hardtop line-up

Mini stylists took a trip to the design well and came back with a limited-edition model named Coral Red inspired by the brand's heritage. Offered with two or four doors, it's scheduled to arrive in showrooms this month. As its name clearly implies, the Coral Red edition primarily stands out from the Cooper S it's based on with Coral Red Metallic paint borrowed from the Clubman's palette. Black paint on the door mirrors and on the roof adds a touch of contrast. Mini also added 17-inch Rail Spoke wheels, LED lights at both ends, plus a long list of piano black trim pieces including the headlight bezels, the door handles, and the emblems. Photos of the interior haven't been published yet, but the BMW-owned firm noted the Carbon Red edition gains additional piano black trim in the cabin. It also receives black leatherette upholstery. Mini made no mechanical changes, so power for the Coral Red comes from the same 2.0-liter four-cylinder engine as the Cooper S. It's turbocharged to deliver 189 horsepower at 5,000 rpm and 207 pound-feet of torque at 1,350 rpm, and it once again spins the front wheels via a six-speed manual transmission. Alternatively, buyers who want two pedals can order a seven-speed dual-clutch automatic at extra cost. Approximately 300 examples of the Coral Red have been earmarked for the American market. Pricing starts at $34,125 for the two-door and $35,370 for the four-door, figures that include a mandatory $850 destination charge. In comparison, the standard Cooper S costs $28,100 with two doors and $29,100 with four. Why Coral? Although the pink-ish Coral Red color comes from the Clubman, the first Mini to wear something like it was the 1100 Special model introduced in 1979 to celebrate the Mini's 20th anniversary. It was one of the first in a shockingly long line of limited-edition variants released largely to hide the fact that British Leyland (and, later, the Rover Group) either didn't know how to replace the original Mini or didn't have the money required to fund the project, depending on the era, market conditions, and who was in charge of either company at a given time. Sold exclusively in England, the 1100 Special was available in two metallic colors named Silver Grey (shown above) and Rose, respectively; the latter was close to 2020's Coral Red hue. Silver cars featured a black vinyl roof, while Rose cars were topped with beige vinyl.

BMW warns profits will fall, plans $13.6 billion in cost-cutting

FRANKFURT, Germany — BMW said Wednesday that profits in 2019 will be "well below" last year's, and it will cut 12 billion euros ($13.6 billion) in costs by the end of 2022 to offset spending on new technology. The company said profits would be eroded by higher raw materials prices, the costs of compliance with tougher emissions requirements and unfavorable shifts in currency exchange rates. The Munich-based automaker also faces increased uncertainty due to international trade conflicts that could lead to higher tariffs. "Depending on how conditions develop, our guidance may be subject to additional risks; in particular, the risk of a no-deal Brexit and ongoing developments in international trade policy," said Chief Financial Officer Nicolas Peter. The company forecast a profit margin of 6 to 8 percent for its automotive business, short of the long-term strategic target of 8 to 10 percent, which it said still "remains the ambition" for the company if given "a stable business environment." BMW said it had no plans for layoffs even as it outlined cost saving measures that include dropping half of its engine variants as it seeks to reduce product complexity. The BMW, Mini and Rolls-Royce brands are to get a single sales division. Peter said that given the headwinds to earnings, "we began to introduce countermeasures at an early stage and have taken a number of far-reaching decisions." The company said the measures were needed "to offset the ongoing high level of upfront expenditure required to embrace the mobility of the future." Automakers around the world have faced heavy up-front costs for technology expected to change how people get from one place to another in the next decade. Those include electric cars and renting cars through smartphone apps. Yet the returns from such investments remain uncertain and auto companies face competition from tech firms such as Uber and Waymo. BMW made 7.2 billion euros ($8.2 billion) in net profit last year, down 17 percent from 2017, when it booked a gain of $1 billion from U.S. tax changes. The company faced headwinds from increased tariffs on vehicles exported to China from the United States. It also suffered from turmoil on the German auto market when companies faced bottlenecks getting cars certified for new emissions rules. BMW faces uncertainty from U.S.-China trade tensions that could result in new tariffs if talks do not result in an agreement. U.S.