Auto blog

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.

BMW recalls 840,000 vehicles to replace Takata airbags

The Basics: BMW will recall about 840,000 vehicles in the US, and they include: 2008–2013 1 Series Coupe (incl. 1M) 2008–2013 1 Series Convertible 2008–2013 3 Series Sedan (incl. M3) 2009–2011 335d Sedan 2006–2012 3 Series Sports Wagon 2007–2013 3 Series Coupe (incl. M3) 2007–2013 3 Series Convertible (incl. M3) 2013–2015 X1 2007–2010 X3 2007–2013 X5 (incl. X5 M) 2009–2013 X5 xDrive35d 2008–2014 X6 (incl. X6 M) 2010–2011 X6 ActiveHybrid The full list, which includes approximate volumes and production dates, is in BMW's statement, below. The Problem: The vehicles have Takata's PSDI-5 driver side airbag inflators, and the parts could rupture in a crash. Injuries/Deaths: None reported in this population of vehicles. The Fix: BMW will replace the driver airbag on these vehicles. If You Own One: BMW will send owners a letter advising them about the recall, and people will receive a second letter when the parts are available for the repairs More Information: This recall stems from Takata and NHTSA's announcement in late January that automakers need to repair about five million vehicles. Mercedes-Benz, Volkswagen, Audi, Ford, Mazda, and Honda have already announced recalls due to this expansion. Related Video: BMW statement BMW has notified NHTSA of its intention to recall approximately 840,000 cars and Sports Activity Vehicles equipped with Takata PSDI-5 driver-side front air bags to have the driver-side front airbag replaced. These vehicles, covering model years 2006-2015 have not been part of earlier Takata-related air bag recalls. Owners of potentially affected BMW vehicles will be contacted by first-class mail advising them of the recall. When replacement parts are available, owners will receive another letter with instructions for having the recall completed. Owners with questions can contact BMW Customer Relations at 1-800-525-7417 or e-mail CustomerRelations@bmwusa.com. Model Model Years Approx. Vol. Production Dates 1 Series Coupe (incl. 1M) 2008 – 2013 32,620 Nov 2007 – Oct 2013 1 Series Convertible 2008 – 2013 28,160 Nov 2007 – Oct 2013 3 Series Sedan (incl. M3) 2006 – 2011 132,845 Feb 2005 – Dec 2011 335d Sedan 2009 – 2011 4,160 Mar 2008 – Aug 2011 3 Series Sports Wagon 2006 – 2012 3,270 Jun 2005 – May 2012 3 Series Coupe (incl. M3) 2007 – 2013 129,515 Apr 2006 – Jun 2013 3 Series Convertible (incl.

BMW Concept 90 Motorcycle debuts at Villa d'Este

The Concept 90 is one of two new vehicles BMW is showing off at the Concorso d'Eleganza Villa d'Este on the tony shores of Lake Como in Italy. This year is the 90th anniversary of BMW Motorrad and the 40th anniversary of the R 90 S (inset) - the first production motorcycle to come with a front fairing - and BMW has worked with custom bike builder Roland Sands Design to craft a homage to the Daytona Orange boxer from the Seventies.
While following the line of its forbearer, obviously the Concept 90 has been sexed and sleeked up. The bodywork is of hand-worked aluminum, the giant halogen lamp of the 1975 model (which is when Daytona Orange was introduced) has gone LED, and the front engine cover, valve covers, exhaust and wheels have been made with a contrast-cut milling process.
For a finer description of the Concept 90 check out the press release below, or skip the words and go straight to the high-res images above.