2005 Bmw Z4 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.

Recharge Wrap-up: Tesla Gigafactory gets high-tech neighbors, BMW i8 still comes with a long wait

Switch plans to build a large data center near the site of Tesla's Gigafactory battery production facility in Reno, Nevada. The 3 million square-foot facility in the Tahoe-Reno Industrial Center will cost $1 billion to build, and eBay is expected to be the main tenant when the first portion is finished in 2016. Apple is also building a data center nearby. One draw for companies like Switch, Apple and Tesla is access to the region's clean power, and the Reno area could become the next big center for high-tech manufacturing. Read more at GigaOm. Daniel Sparks of investing website The Motley Fool has shared his insights after living with the Tesla Model S for four months and 10,000 miles. After driving his 85-kW version through various conditions, including a 2,200-mile road trip, Sparks is optimistic about the car and the company behind it. From his experience, he says that charging is easier than most people believe, and that range anxiety isn't a problem. He calls Tesla's growing Supercharger network a "game changer," citing their quickness, availability and the fact that charging is free for life. He also says that most people seem to know very little about the car. Still, he calls Tesla stock "pricey" with the growth already priced into the shares. Read more at USA Today. The wait for a BMW i8 is about a year, despite efforts to ramp up production. BMW is reducing production of the i3 in order to increase the number of i8s by more than 50 percent for 2015, but the bigger batch won't become available in the US until October. Ludwig Willisch, CEO of BMW North America, says that he doesn't expect cheap gas to slow sales of the i3. He also denies rumors of an i9 positioned above the i8. The new 7 Series appears to be taking some cues from the i8, though, with carbon fiber, magnesium and aluminum construction, as well as improved connectivity. Read more at Automotive News.

2015 BMW 4 Series Gran Coupe

It's hard to say what a coupe is anymore. Is it merely a car with two doors? Does it have to have an arching roofline? Do frameless windows count for anything? Can a five-door hatchback or even an SUV be a coupe? At some point in the last few years, nearly everything we thought made a coupe a coupe has been challenged by something that calls itself a coupe, but to most people isn't. Our friends at BMW have led most of this line of questioning.
The new 2015 BMW 4 Series Gran Coupe is one of the latest Bimmers to challenge the moniker (which also challenges the idea of "Gran," for that matter), and unlike some of its other "coupe" variations - we're looking at you, X6 - this one is a pretty one. The 4 Series Gran Coupe is essentially a four-door version of the 4 Series, which is itself a two-door version of the 3 Series. Huh? Wouldn't that simply make it another 3 Series? Of course, but this one is prettier, as it uses the 4's sexier body styling, with its lower nose, wider-looking stance and edgier lighting graphics. It is also technically a five-door hatchback, not a sedan per se, and it utilizes frameless side door glass, which apparently does count for something in BMW coupe-land. Significantly, the 4 Gran Coupe's wheelbase is identical to the two-door; if it was longer - as is the case with the 3 Series and 5 Series hatchbacks - that might make it a "Gran Turismo." Confused yet?
We recently got our first chance to drive the 4 Series Gran Coupe at a press launch in Spain, and while the only version we were given was a rear-drive 428i Gran Coupe with the M Sport contents, the harrowing roads around Bilbao gave us a good idea of what this car is all about from a driving dynamics standpoint. Here's some of what we found: