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Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.

Cadillac partners with Saks Fifth Avenue for limited-edition ELR

There's no softening the blow with this one - this is the limited edition 2014 Cadillac ELR Saks Fifth Avenue Edition, and it costs $89,500, including $995 for destination. The special model, limited to just 100 units, is part of a holiday season collaboration between Cadillac and luxury retailer Saks Fifth Avenue. In addition to the ELR, there will also be a special "Frozen Escalade" window display at the Saks Fifth Avenue flagship store near Rockefeller Center in New York City, which will feature the 2015 Escalade with functioning LED running lamps that, as the automaker says, "appear embedded and breaking through a wall of ice."
But back to that ELR. This Saks edition plug-in hybrid coupe commands a surcharge of $14,500 over the $75,000 base model that over 85-percent of Autoblog readers polled already feel is overpriced. For that extra coin, you get an ELR wearing exclusive (to this car) White Diamond paint matched with either a jet black or light cashmere interior. Buyers will also receive an upgraded 240-volt charging station complete with professional installation, and the cars come with Cadillac's ELR Concierge service - representatives "trained in white-glove customer care" that serve as an additional point of contact beyond the dealership when it comes to topics like like battery care, charging, service scheduling and news updates.
Folks who order the Saks Fifth Avenue ELR are expected to receive their cars in March of next year. Price aside, we're sure it'll look great parked alongside the Neiman Marcus Aston Martin Vanquish Volante in owners' garages. Scroll down for Cadillac's official press blast.

2019 Autoblog Technology of the Year finalists revealed

Every fall, we line up a range of new models with the latest and most compelling automotive technology from the past year. We test everything from semi-autonomous systems like Tesla's Autopilot to trick suspension setups like the Multimatic spool-valve shocks on the Chevy Colorado ZR2. We spend months paring down the list to a small group of contenders. After testing, dinner and healthy debate, we tally up the votes and name our winner. For Autoblog's 2019 Technology of the Year Award, our three finalists are the Cadillac CT6 with Super Cruise, the Infiniti QX50 with Variable Compression Turbo and the Mercedes-AMG E 53 with EQ Boost. Super Cruise is an advanced SAE Level 2 semi-autonomous system, though Cadillac (unlike some of its rivals) is reluctant to push that point. Cadillac would like you to think of this as an advanced driver assistance feature rather than a semi-autonomous system. Super Cruise allows completely hands-free highway driving. Thanks to a driver-facing camera, the system forces the driver to keep his or her eyes on the road even if hands are off the wheel. Although the CT6 is being discontinued, look for Super Cruise to make its way to other Cadillacs soon. VC Turbo is a little more complicated. Basically, Infiniti's 2.0-liter turbocharged inline-four can vary the compression ratio on the fly. In general, turbocharged engines are more efficient than naturally-aspirated engines when on boost, but can perform worse at low revs. VC Turbo allows for a best-of-both-worlds situation, increasing the compression at low revs and backing it off once the turbo spools up. The best part is that it does so seamlessly, with only a dash readout letting you know what's going on under the hood. Our third finalist is the EQ Boost 48-volt system in the Mercedes-AMG E 53. Like VC Turbo, EQ Boost does a lot just beneath the surface. Mercedes has developed a new turbocharged 3.0-liter inline-six and paired it with a small electric motor. While the car can't run on electricity alone, the motor helps improve both efficiency and performance, smoothing shifts and filling in low-end torque before the turbos spool up. Think torque fill, similar to a McLaren P1. Who can complain about better fuel economy and more torque? Look for the 48-volt system to make its way into most of the Mercedes-Benz lineup. The winner will be revealed next week on Autoblog, and we'll present the award Jan. 15 at the Detroit Auto Show. Related Video: