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Cadillac drops the base engine in the 2017 ATS

Cadillac, in an effort to boost sales of the slow moving ATS, is making some changes to the 2017 model. Most notably, the luxury manufacturer is dropping the base 2.5-liter normally-aspirated four-cylinder engine from the lineup, leaving the 272 hp 2.0-liter turbocharged four as the base engine. The base 2.0-liter ATS will start at $35,590, $1,380 more than the 2016 model, though that's partially offset by more standard equipment. The base model now comes standard with Cadillac's controversial CUE infotainment system with an 8-inch touchscreen display, a Bose surround-sound speaker system, and a backup camera. Despite the bump in price for the base model, all other ATS trim levels will see prices reduced between $650 and $1,100, depending on the model. The ATS was designed to be Cadillac's answer to the BMW 3-Series and Mercedes-Benz C-Class. Though the ATS was originally released at a time where the Germans were slightly off their game, it's never quite matched up in terms of performance or customer perception posting disappointing sales figures compared to the competition. Cadillac has had problems getting customers into cars, and few ATS customers are converts from luxury competition. In order to offload inventory and lure in new customers, the company has previously been forced to offer big lease deals. Many of these customers have come over from more mainstream brands like Chevrolet and Ford. ATS sales have fallen 23 percent through May versus 2015. The car's market share has fallen every year since 2013, currently occupying just 4.5 percent of the compact luxury market. Unless Cadillac can offer some truly amazing deals, we don't expect many shoppers to buy American over the strong German competition. Related video: Cadillac Luxury Sedan

Here is the Cadillac XT6 three-row SUV's interior

The Cadillac XT6 has once again been spotted by one of our spy photographers. Though the outside is still as buttoned-up as ever, our photographer managed to get close enough to see the completely uncovered interior. On the surface it looks more like the interior of the CT6 than the latest Cadillac model, the XT4, which is rather surprising. Specifically, the dashboard layout is nearly identical to the CT6's. It's a wide, sweeping dash, and the mid-section is dominated by a broad piece of trim that appears to be carbon fiber in this model. It likely can be replaced by wood, leather or a variety of other trims. The top part of the center stack is dominated by a large touchscreen with touch buttons surrounding it for driver's aids. Directly underneath are subdued air vents followed by the climate controls. These controls appear to have been lifted straight from the CT6 and feature touch buttons and a trio of toggle switches. The few places the dashboard deviates from the CT6 include how the XT6's fancy trim spans the full width of the dash, rather than giving way to some plain leather on the driver's side. This gives the whole dash a more upscale look. The dash also doesn't try to smash too many different materials and textures into one design. Overall, it all looks attractive enough, though we're a little disappointed to see a lack of physical buttons as we saw in the XT4. That being said, there are XT4-inspired elements in the XT6's interior. Most prominent is the scroll wheel down in the center console. We suspect the infotainment system will be effectively identical, so the wheel will similarly serve as a redundant means of controlling the infotainment system along with the touchscreen, voice commands and wheel controls. The shifter also seems to be the same as the XT4's. The XT6 exterior doesn't really reveal anything new. It still looks angular, and it still looks long enough to have a third row of seats. The introduction of this model will certainly give Cadillac a much more rounded lineup of crossovers from small to large, something the brand sorely needs. Related Video:

Cadillac president Johan de Nysschen expands on brand's future

Cadillac president Johan de Nysschen chatted with journalists at a recent roundtable, expounding on everything from domestic racing to Chinese manufacturing. The brand's been doing a slow burn on rolling out new products and increasing sales, but admittedly, there was a lot of work to do. After closing out last year 0.8 percent down in the U.S., the domestic luxury brand is more than 5 percent up so far this year, thanks to healthy double-digit bumps for the ATS and Escalade, and increased fleet sales. Globally, the brand's doing 21 percent better. The XT5 still outsells everything, though. Asked about slow sedan sales, de Nysschen cited a few reasons, one of them "energy prices," which are low enough to fuel the crossover craze. You can also read that as another admission that Cadillac doesn't have enough crossovers to please the crowds, a fact the XT4 will soon address. Yet de Nysschen also pegged the sedan malaise on "younger consumers who really are less tuned into dynamics and handling and all of those things that used to excite enthusiasts. It's more about the way cars complement and enable their lifestyle now." He topped that with a take on U.S. roads, saying, "I also have to say it may also be influenced a little bit by the decay of America's infrastructure. When roads no longer support high-performance sport sedans and ultra-low-profile rubber, people are going to respond to it." Those latter takes seem wide of the mark. Yes, BMW is the established leader, but the Munich carmaker sold 8,806 3 Series' so far this year in all variants, compared to 2,543 ATS coupes and sedans. Mercedes-Benz has sold 8,366 C-Class models so far in all variants. As for infrastructure, yes, it's a mess, but AMG sales rocketed up nearly 50 percent in the U.S. last year, nearly 10 percent of overall Mercedes sales, and the Three-Pointed Star expects that to rise again this year. People are buying sedans and performance models. They simply aren't buying enough of them with Cadillac badges. Cadillac has no plans to go racing in Europe since the brand doesn't have the kind of presence there to justify the investment. De Nysschen said they'll stick with the Daytona Prototype International formula in the U.S. domestic scene, and continue with the tech transfer from race to road.