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BMW looking to save billions with cost cuts

BMW is planning a fairly extensive overhaul in a bid to recoup some its annual costs, with CEO Norbert Reithofer (pictured above) aiming to save three to four billion euro ($4 to $5.4 billion) per year to help keep the company's profit margins between eight and 10 percent, while also maintaining investments in production expansion and new tech. BMW's profit margins sat at 9.4 percent in 2013.
According to Automotive News Europe, Reithofer is none too pleased about costs at Mini and on the 1 Series, although neither AN nor its source story, from Germany's Manager Magazin, elaborate on what steps could be taken to improve losses on either project. That makes it hard to figure out just where the fat will be trimmed from.
What may happen, though, is that BMW attempts to trim 100 million euros ($135 million) from its German labor costs each year; a solution hinted at a few weeks ago by Germany newspaper Muenchner Merkur. While a dramatic cost reduction, 100 million euros still doesn't begin to even approach the savings envisioned by Reithofer.

Why BMW doesn't plan to integrate Apple's iOS in the Car

While watching Apple introduce iOS in the Car during its WWDC keynote on Monday, we wondered how automakers, even the 14 who've already signed up to integrate this new in-car functionality of iOS 7, will feel about having the Cupertino company's mobile operating system supplant their own in-car systems. After all, some OEMs like Ford, General Motors and many luxury automakers have sunk millions of dollars into developing their own advanced infotainment, navigation and communication platforms like MyFord Touch, CUE and older systems like iDrive.
One automaker has now spoken up. A BMW spokeperson was interviewed by someone in the news department of British auto dealer group Arnold Clark and confirmed that the company would not be getting in line to integrate iOS in the Car anytime soon. The reason, as we suspected, is that BMW believes its own products developed over the last decade are both plenty good and already so deeply integrated with other systems of the car that, as told to Arnold Clark, "it would not be that straightforward to start changing all of the architecture of a car as has been implied [by Apple]."
While BMW isn't interested in spending more money to integrate Apple's services and functionality over its own, it has spent a good bit already to integrate iPhone functionality in its cars, including the relatively rare ability to support iPod Out and display Apple's own interface on Mini models with the optional Mini Connected feature, as well as committing to integrate Siri 'Eyes Free' functionality.

2020 Mini John Cooper Works GP is priced from $45,750

Mini hasn’t even given us all the details for the upcoming John Cooper Works GP, but it already has a price. Set to debut at this month's L.A. Auto Show, the GP will start at $45,750. The last GP-badged Mini sold for $39,950, so this mid-$40,000 price point isnÂ’t out of the ordinary or unexpected. However, itÂ’s still pretty nuts considering the competition. Mini previously told us the GP will have “over 300 horsepower” and go around the Nurburgring in less than 8 minutes. Global production is also limited to 3,000 total cars, but itÂ’s not clear how many of those will be coming stateside.  Mini John Cooper Works GP View 30 Photos A regular 2020 John Cooper Works Hardtop starts at $34,250, but itÂ’s making do with considerably less horsepower at 231 ponies. A Civic Type R retails for $37,230. A Golf R is $41,290 and the WRX STI costs $37,895. WeÂ’ll note that Mini hasnÂ’t said how much standard equipment is included with the $45,750 asking price, so it could get much more expensive from there — Mini will surely let you go nuts with the configurator. That said, we can hope the high asking price does include an array of niceties you'd have to pay for on higher trims of the JCW Hardtop. When it launches later this November, Mini has already promised it will be the fastest car itÂ’s ever produced. WeÂ’re excited to see the extreme Mini take to the streets in mid-2020, as the GP models in the past have always provided us with a gloriously fun driving experience.