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Ford cuts 950 Russian jobs on weak demand
Thu, 03 Apr 2014The Russian auto market, in decline for the past year and further hit by the declining value of the ruble and recent sanctions over its annexation of Crimea, has forced Ford to cut jobs and shifts at two of its joint venture plants there. Around 700 of the 2,700 total workers who build the Russian-market Focus and Mondeo will be cut at the plant in Vsevolozhsk, near St. Petersburg as it drops to a single production shift. A second plant about 700 miles away in Yelabuga, in the Tartarstan region, will lose 250 workers. That plant builds seven vehicles, including the Explorer, Kuga and Edge.
The Moscow Times says Ford has been especially hit by the market decline, the overall market losing 5.5 percent in 2013 compared to the year before, but Ford sales dropping 18 percent in 2013 year-on-year. This year isn't going any better, with The Blue Oval posting a 21-percent decline through the first two months of 2014. That's why, though the Yelabuga plant builds the CUVs that customers are moving into, even it is facing cuts.
The job cuts in Vsevolozhsk come on top four-week plant shutdown planned so that the paint and body shops can go to one shift. In a statement, the company said, "Ford Sollers remains absolutely committed to the Russian market and is confident it has the right product plan, people and assets to deliver long-term profitable growth."
Amazon is showcasing its big push into cars and transportation at CES
Mon, Jan 6 2020From making cars talk using Alexa's voice to managing data from factories full of robots, Amazon wants a big piece of the action in transportation, and next week at CES will unveil more about its strategy to achieve that goal than ever before. The Seattle retail and cloud services powerhouse plans to use the annual technology show in Las Vegas to unveil its plan to be a major player in self-driving vehicle technology, connected cars, electric vehicles and management of the torrents of data generated by automakers and drivers, company executives told Reuters. Amazon Web Services, which provides large-scale cloud computing and data management services, is central to Amazon's strategy. "We really are extending ourselves more and more out in the ecosystem from manufacturing to connected car," Jon Allen, head of professional services in Amazon Web Services' automotive practice, said in a telephone interview. "The takeaway message on this is if you go to CES this year we really are taking it as a 'One Amazon' view." Until now, Amazon has shown its transportation strategy to investors — and rivals — one piece at a time. Amazon has invested in self-driving software startup Aurora. It also has signed deals with automakers to deliver packages to vehicle trunks, help develop electric vehicle charging networks and use AWS to network their factories. The Seattle company will share the CES stage with partners such as virtual reality firm ZeroLight, electric vehicle startup Rivian, Canada's BlackBerry Ltd and video game software development company Unity Technologies. "It's our attempt to weave everything together in a single experience for our customers," Dean Phillips, AWS' automotive technical leader, told Reuters. "Customers don't distinguish AWS from Alexa from Amazon.com. It's Amazon."  Related: As GM readies Alexa convenience for vehicles, we ponder its dark side  At CES, ZeroLight and GM's Cadillac will demonstrate how they are partnering to develop an online vehicle configuration experience that will allow high-fidelity images of vehicles that consumers build online to be taken with them on visits to dealers, Phillips said. The process can open the door to dealers better meeting customer needs by knowing what users focused on when building their dream car. It has already boosted profit per vehicle at Volkswagen's Audi brand by an estimated 1,200 euros ($1,340), he said.
Detroit automakers mulling helping DIA avoid bankruptcy looting
Tue, 13 May 2014It's not really a secret that the city of Detroit is in lots and lots of trouble. Even with an emergency manager working to guide it through bankruptcy, a number of the city's institutions remain in very serious danger. One of the most notable is the Detroit Institute of Arts, a 658,000-square-foot behemoth of art that counts works from Van Gogh, Picasso, Gauguin and Rembrandt (not to mention a version of Rodin's iconic "The Thinker," shown above) as part of its permanent collection.
Throughout the bankruptcy, the DIA has been under threat, with art enthusiasts, historians and fans of the museum concerned that its expansive collection - valued between $454 and $867 million by Christie's - could be sold by the city to help square its $18.5-billion debt.
Now, though, Detroit's hometown automakers could be set to step up and help save the renowned museum. According to a report from The Detroit News, the charitable arms of General Motors, Ford and Chrysler could be set to donate $25 million as part of a DIA-initiated campaign, called the "grand bargain." As part of the deal, the DIA would seek $100 million in corporate donations as part of a larger attempt at putting together an $816-million package that would be paid to city pension funds over 20 years. Such a move would protect the city's art collection from being sold off.
