Tag Archives: Electrified Vehicles

SEC Investigating VW Due to the “Voltswagen” Stunt

Voltswagen

The “Voltswagen” April Fool’s Day prank has led to an investigation by the SEC.

What started out as a “humorous” advertising and marketing ploy could land German automaker Volkswagen in serious trouble with the federal government.

The Securities and Exchange Commission (SEC) is apparently looking into VW’s “Voltswagen” marketing stunt to determine if it hurt company stock prices and may have broken any U.S. securities laws, according to German news outlet Der Spiegel.

The incident in question dates back to March 29. As a sort of early April Fool’s Day prank (and marketing ploy), VW “accidentally” released a rough draft of a press release declaring the company was going to change its name to “Voltswagen” as part of a larger effort to promote its ever-growing line-up of electric vehicles (EVs).

This action was picked up by the worldwide automotive press and on March 30 VW issued an official press release to several news outlets, including the Associated Press, confirming the leaked statement from the day before.

This action resulted in VW’s stock price going up. At one point it was 12.5% above its price before the whole incident.

SEC looking at jump in stock price

VW of America President Scott Keogh took responsibility for the poorly received April Fools’ prank that wasn’t on April 1.

This is what caught the attention of the SEC, taking what many considered a fairly unfunny publicity ruse to a possible federal offense.

After the April Fool’s stunt failed in the eyes of the media and the public, VW issued a press statement saying the releases were actually part of a larger tradition in which companies often issue prank statements.

This one just meant to also focus the world’s attention on VW’s growing EV portfolio.

But public statements that affect stock prices usually don’t get an “April Fools” immunity. An SEC investigation could result in charges against the company.

Several news organizations, including The New York Times and Reuters, have asked for a comment from VW. So far, the company has declined to issue one.

Just one of many VW legal scandals

This is not the first time VW has gotten into trouble for the way it conducts its business.

Oh those wacky Germans!! As quickly as it got here, VW took it away: Voltswagen is the company that never was.

In October 2015, as Volkswagen struggled to deal with its diesel emissions scandal, new data raised questions about whether the automaker properly reported death and injury claims to U.S. regulators during the past decade.

A study by the financial advisory firm Stout Risius Ross Inc., found that Volkswagen of America reported nine times fewer deaths and injuries than the average of the 11 largest automakers operating in the U.S. market. Significantly, VW reported less than half as many incidents as either Fiat Chrysler or Honda, both of which have been fined for underreporting their own death and injury data.

Back in September 2015, the EPA accused the German maker of using a so-called “defeat devices,” software designed to fool government emissions tests, on a variety of luxury models from the Audi and Porsche brands. The feds charged VW took steps to cover up excess emissions on 482,000 vehicles sold in the U.S. during a 7-year period.

The end result was VW paying billions of dollars in fines to various governments around the world. The company also faced numerous consumer lawsuits that further cost the company money.


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Fiat Joins Electric Van Fray with New E-Ducato

Fiat E-Ducato for DHL

Fiat is getting into the electric van market with the new E-Ducato, and partnering with global logistics giant DHL.

It’s not just the light duty arena seeing a substantive increase in battery-electric offerings as the crowded commercial van market just got another competitor: the Fiat E-Ducato.

Stellantis, Fiat’s parent company, told the world it would move quickly to become competitive in the electric vehicle market once the merger of Fiat Chrysler Automobiles and Group PSA was complete. The deal was done at the end of 2020, and they’re making good on that promise.

The new E-Ducato steps into a very crowded field facing competition like the Mercedes e-Sprinter, Rivan’s new all-electric delivery van, GM’s BrightDrop offering and the king of the segment, Ford and its E-Transit model.

But it’s not just the big names looking to make inroads in the segment, Fiat’s competing with fringe players like Silicon Valley’s Canoo, Ohio’s Workhorse Group and the even smaller Arrival, which uses “microfactories,” ditching the traditional assembly line approach vehicle manufacturing.

The newest player

Fiat’s new E-Ducato starts at about $50,500, which puts it on par with most of its competition.

Ever-intensifying competition aside, the new E-Ducato is available right here — if here is Europe — and right now. It’s assembled at Fiat’s Atessa, Italy plant, although the electric powertrain will be install at the Mirafiori facility in Turin. No word on if or when a ProMaster version comes to the U.S., although the company did say other variants would follow.

Fiat says it’s comparable to a diesel in its performance levels. The motor puts out 122 horsepower and 206 pound-feet of torque, which should be plenty to get around town. Additionally, it can add another 62 miles of range in less than 30 minutes, Stellantis officials noted.

The E-Ducato offers two different battery options — 47 kWh and 79 kWh, best-in-class for installed electrical capacity. It offers four types of charging modes, although only three are available now. With a 47-kWh battery, it travels up to 145 miles. With a 79-kWh battery, it enjoys a range of about 230 miles.

“For the E-Ducato, we started from the idea of creating not only a ‘green’ vehicle, but also a complete mobility solution, characterized by versatility, reliability, efficiency and sustainability (at both an environmental and an economic level),” said Eric Laforge, head of the Fiat Professional brand, who’s leading charge into large electric vans.

Rivian delivery van for Amazon

Amazon and Rivian are expanding the use of the EV maker’s electric delivery van.

“In short, a working tool to build up your business while respecting the precepts of ecology, a model ready for every mission, uncompromisingly aiming to be the benchmark in the market and to be equipped with the same capabilities as vehicles with internal combustion engines. Its 400 configurations mean it can meet the needs of all professional operators, from freight fleets and construction companies to artisans and municipal service providers.”

Following a familiar path

Like many of the other competitors in the segment, Fiat’s got a real-world partner: DHL. The global delivery giant signed on to help build a better van five years ago, but the relationship intensified when the E-Ducato hit the drawing board.

Unsurprisingly, it will purchase E-Ducatos as part its commitment to electrify most of its last-mile delivery vehicles by 2030, and 60% of its overall fleet electrified. “This means I’m looking for something like 14,000 vehicles we’re gonna buy,” said Alberto Nobis, CEO of DHL Express Europe during the press conference. “We had an opportunity to build this vehicle to our specifications.”

A pre-production version of the BrightDrop EV600 van being tested by FedEx.

It’s unclear if Nobis was committing to buying 14,000 E-Ducatos or simply that many electrified vehicles. However, the partnership between DHL and Stellantis shows the importance of catering to the market.

Similarly Rivan worked with Amazon, which is also a major investor in the company, to create the electric vans it’s currently testing in several cities across the U.S.

Arrival and Workhorse are both working with UPS, GM is partnering with FedEx on its BrightDrop vehicles. Ford and Daimler haven’t announced formal partnerships yet, but they are the two largest players in the segment so getting input likely isn’t a problem.

The new E-Ducato starts at just under $50,500, which puts in the same league as the aforementioned E-Transit which starts at about $45,000.


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Bow. Wow! One-Bow Design Takes Mercedes EQS in an Entirely New Direction

Mercedes EQS with Thomas Kuppers

The new Mercedes-Benz EQS battery-electric sedan makes its formal debut April 15.

One thing’s for sure: there’ll be no mistaking the new Mercedes EQS sedan when it rolls down the street.

Think of the EQS as the all-electric alternative to the German automaker’s familiar S-Class flagship. But you clearly won’t confuse the two when it reaches showrooms in autumn. Some new battery-electric vehicles share the same design language as conventional, gas-powered products. With EQS, Mercedes goes off in an entirely new direction, one it’s been hinting at with concept vehicles like the 2019 Vision EQS.

The production model adopts what the automaker calls a “one-bow” design. It takes the look of the coupe-like Mercedes CLS to extremes. The result could have rolled off the set of a sci-fi film. But there are practical benefits in terms of range and interior roominess, as well.

“We said we have to go further” than just packing batteries into a conventional looking product,” Steffen Kohl, Mercedes’ director of advanced exterior style, said during a media webinar. The EQS “carries the future of Mercedes-Benz,” he added, noting the “one-bow” language of the EQS will strongly influence other products to come from the new, all-electric Mercedes-EQ sub-brand.

Plenty of power and range

Mercedes EQS with Robert Lesnik

Robert Lesnik led the exterior design effort for Mercedes new EQS battery-electric sedan.

EQS rides on a skateboard-like platform, mimicking virtually all new battery-electric vehicles. Its batteries, motors and other key electrical components sit below the floorboards.

The automaker will reveal full powertrain details during a formal unveiling April 15. But EQS uses twin motors, one on each axle, drawing power from a 108 kilowatt-hour battery pack. That provides about 435 miles of range using the European WLTP test cycle. The EPA rating should come in somewhere about 350 miles, according to industry observers.

The layout moves the sedan’s wheels close to the vehicle’s corners. It also frees up space where a traditional gas or diesel engine would be mounted, providing significant flexibility to the Mercedes design team.

Shorter wheelbase, longer cabin

The cab-forward design features a short nose, the angled, one-piece aluminum clamshell hood rising aggressively to flow into a steeply raked windshield. Instead of a traditional, two- or three-box layout, the look is like that of a single bow line, explained Robert Lesnik, who led the exterior design effort.

The Mercedes-Benz Vision EQS concept provided a framework for the company’s new electric luxury sedan.

“EQS will be the world’s best production car ever in terms of aerodynamics,” with a drag coefficient of 0.20 significantly better than even the sleekest of today’s supercars, he explained.

The effect “looks optically lower than it is,” Lesnik added.

The front end features a new grille with “abstracted, three-dimensional star pattern(s),” according to Mercedes. It’s framed by slit-like headlamps flowing into the front quarter panels.

“When people ask why we need a grille anymore,” Lesnik explains that it is “not an air intake. It’s a face.”

“Coming from the future”

The side panels lack the normal creases found on conventional Mercedes models, though the greenhouse does pinch in towards the trunk, giving the EQS a sense of muscularity.

Mercedes-Benz EQS interior

The new EQS features Mercedes’ newly introduced Hyperscreen technology.

Around back, the most distinctive feature is a light band connecting what Mercedes calls “curved, 3D helix” taillamps.

From nose to tail, the new EQS measures 5.2 meters, or 204.7 inches. That’s about 3.5 inches shorter than the U.S. version of the latest Mercedes S-Class. But the electric sedan has more room for four passengers, its cabin pushed forward into what would normally be the engine compartment.

As distinctive as the exterior might be, the interior takes things even further, said Peter Balko, who oversaw development of the cabin. “We wanted our interior to be modern,” he explained, “as if coming from the future.”

Buyers will have numerous options

Buyers have several key options to choose from. The showpiece layout uses the new hyperscreen concept first shown on the latest S-Class. It features a seamless digital cluster running the entire width of the instrument panel. The organically shaped glass blends three different displays, starting with the digital gauge cluster, the touchscreen infotainment screen and a separate display for the front passenger.

Mercedes-Benz EQS gauges

The gauge cluster on the new EQS is configurable based on the wants of the driver.

EQS offers a digital gauge cluster and a large, free-floating, Tesla-like infotainment screen for those seeking a more conventional look. The space in front of the passenger can be outfitted with an assortment of different woods and fabrics and even a version of the Star Pattern grille.

The EQS will “touch almost all of your senses,” said Kohl. Among other things, the product development team has come up with three distinctive, user-programmable “soundscapes.”

Sounding off

While battery cars aren’t entirely silent, they are significantly quieter than vehicles with conventional internal combustion engines. Motorists can enjoy the lack of noise or they can opt for one of the soundscapes, “depending upon the emotions of the moment,” said lead sound engineer Thomas Kuppers.

  • Silver Waves is meant to be soft and soothing;
  • Vivid Flux is “shimming and explosive,” a bit “techie but (with) warmth,” said Kuppers; and
  • Roaring Pulse is “pretty raw, with “the growl of thunder,” especially under aggressive driving.

“We haven’t finished yet,” Kuppers added, noting that, “There will be new soundscapes over the life of the vehicle that we will download through over-the-air updates.”

The new EQS will borrow from the conventional S-Class by also appealing to the sense of smell, Mercedes officials noted. The new BEV will have the ability to inject scents into the cabin, including some designed specifically for the new model.


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Lordstown Motors in Fight for its Life

Lordstown Motors CEO Burns in truck Feb 2021

Lordstown Motors CEO Steve Burns attempted to assuage investor concerns by offering detailed insight about the truck and earnings.

Lordstown Motors officials went on the offensive Wednesday afternoon, aiming to dispel mounting doubts about the EV startup’s future in light of a damning research report questioning whether it has received any real orders – while suggesting its founder and CEO is a “con man.”

Lordstown is one of numerous manufacturers getting ready to launch battery-powered pickups. The company completed a SPAC merger last year generating $675 million in cash, money it is using to finish development of its new Endurance model. Lordstown officials claim they’ve received more than 100,000 non-binding production reservations from commercial fleet users. But that’s been thrown in doubt as a result of a report published last week by short-seller Hindenburg Research.

After issuing a terse response early this week declaring that work on the electric truck is “on track” for a September 2021 launch, Chairman and CEO Steve Burns acknowledged that the company is “cooperating” with an inquiry by the SEC. Lordstown also has launched its own internal investigation, Burns revealed, though he declined to comment directly on the Hindenberg study.

Burns talks sales numbers

Lordstown beta roof assembly

Lordstown Motors is engaged in beta testing its production line with the first of 57 pre-production electric trucks to come soon.

That said, Burns did provide some insight into its sales expectations. With the first of a planned 57 beta-test vehicles now being readied, “We are able to obtain more substantial levels of commitment from our prospective customers,” he said, adding

“Under these arrangements the fleet management companies agreed to use reasonable effort to obtain purchase commitments from their clients.” But those commitments will be “conditional” until Lordstown actually puts trucks into production, Burns cautioned.

There’s still a problem with the math, 20,000 “conditional” orders significantly lower than the 100,000 non-binding reservations Lordstown previously quoted.

Company officials suggested that limited manpower means it will take time to firm things up. A clearer number will emerge “over the next 60 to 90 days,” said Lordstown President Rich Schmidt.

Nonetheless, the company is confident enough in its prospects, the Lordstown founder said, it is preparing to increase the Ohio factory’s capacity to 60,000 vehicles a year. And it is speeding up development of a second product program, an all-electric RV-style van set to reach production by the second half of 2022, said Schmidt.

A confident front

Burns said he believed his company was the only one to begin automated assembly this early in the process.

While Lordstown officials aimed to project confidence during a Wednesday afternoon earnings call with analysts and reporters, there is no question company officials need to be worried about the report issued by Hindenberg, said Sam Abuelsamid, principal automotive analyst with Guidehouse Insights.

“They’re absolutely facing the fight of their life, no doubt about it,” said Abuelsamid. “I’ve always been dubious about the number of orders they claim considering they’ve never built a product before. They’re going to have to provide real evidence of what they actually have … and they need to demonstrate an actual product.”

Lordstown was founded in 2018 by Steve Burns, a pioneer in the electric vehicle space who previously ran startups AMP and Workhorse. Its sole product is the Endurance, an all-electric pickup that it is primarily targeting at the commercial fleet market. The truck takes the unusual approach of using four motors, one mounted in each wheel hub. It is expected to produce 600 horsepower, deliver 250 miles of range and tow up to 6,000 pounds.

The nascent EV maker caught a lucky break two years ago when General Motors decided to sell it one of the three North American assembly plants it was planning to close. GM loaned the fledgling company $40 million to get the deal completed and eventually invested $75 million in the startup.

Lordstown beta welding roof

CEO Burns expressed enough confidence in his team that he upped the expected production levels to 60,000 units.

Even before rolling out a running prototype, Lordstown began touting advance reservations for Endurance, something that drew the interest of investors as the company prepared to enter a SPAC, or special purpose acquisition company, reverse merger last year. The deal not only got Lordstown listed on the Nasdaq exchange – trading as RIDE – but also generated about $675 million in new equity.

Hindenburg report casts doubt

But Hindenburg Research decided to address some of the questions that Abuelsamid and other industry observers had quietly been discussing among themselves. And the report it released last week went off like a bombshell. Where Lordstown stock surged to a high of $31.80 after its SPAC deal, it fell to as low as $9.80 after the report’s release, shares closing at $15.09 as the bell sounded Wednesday. The price dropped into the $14.40 range in after-hours trading.

“Lordstown is an electric vehicle SPAC with no revenue and no sellable product, which we believe has misled investors on both its demand and production capabilities,” Hindenburg said, while referring to Lordstown founder and CEO Steve Burns as a “con man.”

It zeroed in on several supposedly large orders for the Endurance, including one supposedly for 14,000 of the trucks worth $735 million supposedly placed by E Squared Energy. But Hindenburg claims the firm is a two-man operation, based out of a “small apartment in Texas,” which has no vehicle fleet.

Lordstown Endurance race truck

The company plans to enter one of its trucks in a Baja race in Mexico next month for additional real-world testing.

“Another 1,000-truck, $52.5 million order comes from a 2-person startup that operates out of a Regus virtual office with a mailing address at a UPS Store,” reported Hindenburg. “We spoke with the owner who acknowledged it won’t actually order any vehicles, instead describing the ‘pre-order’ as a mere marketing relationship.”

Hindenberg’s lengthy analysis was particular harsh on Burns. It cited unnamed current and former Lordstown employees who, among other things, likened Burns to P.T. Barnum, the legendary circus owner and huckster.

During the Wednesday afternoon call, however, Burns and other Lordstown officials went to great pains to provide all the minutiae industry analysts sought during the company’s earnings call.

What we learned

Lordstown Endurance white front

The new Endurance is set to begin production at the end of September officials reaffirmed during the company’s first-ever earnings call.

The key takeaways: Lordstown is completing development of the Endurance and moving ahead on its second product line. The company lost $38 million during the fourth quarter of 2020 and $101 million for the full year. Largely due to the SPAC deal, the startup ended 2020 with $630 million in cash. It expects to end 2021 with just $200 million in the bank due to the heavy spending associated with the Endurance launch and the van project.

Whether Wednesday’s call will put Lordstown on firm ground is uncertain. What’s clear is that Hindenburg has something of a track record knocking down incipient EV companies.

Last February, the research firm gained headlines targeting Phoenix-based Nikola Corp. Like Lordstown, Nikola focuses on the commercial market and used a SPAC deal to go public. Nikola then saw a big runup in its share price while also lining up a proposed alliance with General Motors.

Hindenburg revealed a number of false or misleading statements by Nikola and its founder and now former CEO Trevor Milton – later backed up by the company’s own, internal review. As a result, Nikola’s share price collapsed and the deal with GM was sharply pared back. Milton was subsequently forced to resign when additional information about inappropriate behavior involving minors was revealed.

Now it’s Lordstown’s time in the crosshairs. The company will have to demonstrate that that is real substance behind both its truck and its business plan if it expects to survive, said analyst Abuelsamid.


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Is Ford Making an All-Electric Mustang? Maybe

Could the next-gen Ford Mustang coupe come only as a battery-electric model?

Ford Motor Co.’s gotten such an overwhelmingly positive reaction to the all-electric Mustang Mach-E, it’s rumored to be making the next-generation of the sports car a fully electric offering as well.

According to AutoForecast Solutions, the automaker will not build the next version of the pony car until 2028. The reason for the delay? It needs to be redesigned on a battery-electric platform. Further, it’s expected to be the only powertrain for the new Mustang.

“… the gas-fueled burble of the V-8 is replaced with the shocking acceleration of an electric motor when the standard Mustang becomes an EV in just a few years,” said Sam Fiorani, vice president of global vehicle forecasts, in the company’s podcast on Jan. 18.

(New Mustang Mach-E is just the first step in “electrification” for Ford.)

The early success of the Mustang Mach-E suggests that an all-electric version of the sports car could be well received by aficionados.

Fiorani’s podcast was followed by a report by Autoline Detroit Tuesday, recounting the AFS report about the next version of the Mustang. Although it isn’t out of the question for the Mustang to get an electric powertrain, for it to be the only offering is a bit surprising.

Many have suggested some form of electrification, such as a small electric motor to add some more power and torque has certainly been bandied about. Several other sports cars have move to the hybrid set up to boost performance.

It should be noted that in 2017 the automaker killed a $1.6 billion investment in Mexico, redirecting $700 million of that to expand the Flat Rock plant. Ford would add a new body shop at the site to handle two unnamed battery-electric vehicles, officials said at the time, although it was suggested that one would be a hybrid.

The site currently produces just the Mustang, which until recently included the Shelby GT350 and GT350R models. Those two vehicles have been discontinued, with the GT500 living on and now the Mach 1 making a comeback later this year. Ford officials have not responded to TheDetroitBureau.com at the time of publication.

Ford officials have long maintained that electrification was part of the company’s future, not its sole focus, unlike its rival, General Motors, which has been dealing with some electrification rumors lately too. Last week, reports resurfaced that an all-electric Chevrolet Corvette was in the works, but following in Ford’s footsteps.

Ford announced plans in 2017 to invest $700 million in its Flat Rock, Michigan, plant, which currently builds only the Mustang, to build electric vehicles.

(Ford axes $1.6B Mexico plant for $700M Michigan upgrade.)

While General Motors insiders never really downplayed reports about the potential electrification of the ‘Vette, including a fully electric model. However, last week there were reports that the bowtie brand was considering an electric Corvette crossover like the Mustang Mach-E because of the warm reception it’s getting.

The flames were fanned during CES2021 when GM officials talked about offering a variety of new electric vehicles between now and 2030. Earlier reports centered on a 1,000-horsepower monster dubbed the Corvette Zora, named after the creator of the original car. The move to create an all-electric crossover would check off two “rumor” boxes, if you will: an all-electric model and the creation of a separate Corvette sub-brand.

The downside, of course, is that Corvette loyalists would shun it immediately. It’s been barely a year since the eighth-generation Corvette – the C8 to fans – made its debut, marking the switch to a mid-engine layout, the most radical shift for the sports car in its nearly seven decades on the market.

Several senior members of the Corvette team have hinted at plans in conversations with TheDetroitBureau.com, among other things indicating the new car’s platform could allow space for a battery pack.

(Could an all-electric Corvette crossover be in the works?)

Several purported timetables have emerged indicating Chevrolet is working on hybrid or plug-in versions of the sports car. But when directly asked about the opportunity of a hybrid model, GM President Mark Reuss has responded on several occasions with the company’s new mantra, that it is “on a path to an all-electric future.

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Tesla Cleared of Sudden Unintended Acceleration by NHTSA

This 2016 Model X crashed into an exterior wall, allegedly due to sudden unintended acceleration. (Photo credit: Puzant/Tesla Owner Forum)

Having initiated an investigation into complaints of sudden acceleration in Teslas a year ago, the National Highway Traffic Safety Administration closed that query last week after absolving the California-based EV maker of blame.

NHTSA’s inquiry found that 246 crashes involving Teslas came as a result of drivers confusing the accelerator and brake pedal, aka pedal misapplication, and not from any manufacturing defect.

The analysis came as a result of a petition, filed Dec. 19, 2019 by independent investor Brian Sparks, alleging, “Tesla vehicles have a structural flaw which puts their drivers and the public at risk. I further believe Tesla must know of this flaw and be unresponsive to it.”

(Tesla chief Musk now world’s wealthiest person due to record-setting stock price.)

Sparks’ complaint involved 2012-2020 Tesla Model S, Model X, Model 3 and Model Y vehicles crashing through walls of restaurants, banks, garage doors and other stationary objects. NHTSA closed its investigation, noting, “the theory provided of a potential electronic cause of SUA (sudden unintended acceleration) in the subject vehicles is based upon inaccurate assumptions about system design and log data.”

Even the Tesla Model Y was suspected of being plagued by the problem.

The report goes on to state that, “there is no evidence of any fault in the accelerator pedal assemblies, motor control systems, or brake systems that has contributed to any of the cited incidents. There is no evidence of a design factor contributing to increased likelihood of pedal misapplication.”

Tesla, in response to the petition nearly a year ago, stated that, “this petition is completely false and was brought by a Tesla short-seller. We investigate every single incident where the driver alleges to us that their vehicle accelerated contrary to their input.”

(Tesla narrowly 500K delivery target for 2020.)

But Tesla has a combative history with safety regulators, and not merely for its automated driving system.

In November, NHTSA expanded their probe into flash memory failure on Tesla touchscreens, which would cause the car to lose many functions, including the rear backup camera, a federally mandated safety feature, on 2012-18 Model S and 2016-18 Model X vehicles.

Tesla’s was cleared by NHTSA after the investigation.

That same month, the agency launched a formal inquiry into front suspension failure on 2015-2017 Model S and 2016-2017 Model X vehicles.

And in July, the Los Angeles Times reported that NHTSA is investigating the 2012-2016 Model S’s battery packs for cooling system problems that could render the batteries useless, or cause them to catch fire. This, and the growing chorus of quality complaints concerning the Model Y, seems to suggest that Tesla hasn’t fully conquered its manufacturing gremlins.

(Tesla’s Musk offering big incentive to drum up end-of-year sales: free FSD.)

Yet none of this seems to have affected Tesla’s stock price, which is hovering near 52-week highs; nor its sales, which amounted to 499,550 vehicles in 2020, or chief executive Elon Musk’s net worth, which was estimated last week at $185 billion, making Musk the richest man in the world, just ahead of Amazon’s Jeff Bezos.

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Ford Fusion Could Stage a Return — This Time in Crossover Form

Rumors are flying that the Ford Fusion is coming back as the Fusion Active: a crossover.

The once-popular Ford Fusion nameplate appeared to be heading off to the great junkyard in the sky last year as the automaker set off to eliminate its passenger car line-up, but it may soon make a comeback.

Images leaked out on Instagram show what appears to be an all-new version of the Fusion, albeit this time in in crossover form that, some are speculating, will be dubbed the Fusion Active. The images, along with insider tips, suggest it will fall somewhere between a classic CUV body style and a conventional wagon, on the order of the Subaru Outback or the short-lived Buick Regal TourX.

The exact source of four images, three showing partial exterior details, the last a bit of the interior, have been circulating online after originating on some Chinese websites. But rumors of a Fusion revival have been out there since even before Ford finally shut down U.S. production of the midsize Fusion sedan last August.

(End of an era at Ford as last Fusion rolls off production line.)

If it is actually a revival of the Fusion nameplate, it’s unlikely to hit the U.S. until 2022.

If all this proves accurate, we can expect to see the Fusion Active come to the U.S. market in the next couple years — though it may make its initial debut in Europe under the Mondeo badge used for the sedan outside of the States.

There’s no question that the crossover market is hot. According to IHS Markit, utility vehicles, overall, could account for 55% of the new products sold in the U.S. this year. But products in the nether world between wagons and CUVs have been a mixed bag: the Outback a consistent seller, the TourX never gaining serious traction.

Beyond the tall wagon exterior, the single interior shot reveals a high-tech focus, starting with a dashboard that is all but entirely covered by video screens. While there’s no way to get the measuring tape out, the displays appear to cover nearly as much territory as in the latest-generation Cadillac Escalade, and only slightly less than in the Byton M-byte prototype that debuted at the Consumer Electronics Show last January.

(The Ford Fusion is dead — for now anyway.)

Like automakers in general, Ford has been growing the size of the screens in its latest vehicles, the new Mustang Mach-E being the best example. But that laptop computer-sized display doesn’t come near to covering as much real estate. One is left wondering how even the latest version of the Ford Sync entertainment system would be used to fill up such a large display setup. Then again, Ford has suggested it could use its in-car displays to deliver entertainment — at a price.

The Fusion Active certainly gets a focus on technology with a massive screen or set of screens on the dashboard.

There is also the possibility that what we’re looking at is a concept vehicle, rather than the final production model. Massive video displays have become the hot design element of the moment, much like all-glass roofs and sideview cameras were a few years back.

As far as powertrains are concerned, speculation centers around several options, including a version of the 250-horsepower 2.0-liter turbo-4 offered in the latest Ford Escape. But several electrified packages also appear to be in the works, including one using a 2.5-liter gas engine eschewing conventional turbochargers in favor of twin electric motors. All-wheel drive is a certainty, though the hybrid system is likely to for a through-the-road AWD layout with no connecting driveshaft.

(2019 Ford Fusion to be the “most sophisticated” sedan ever.)

Chances are the Ford Fusion/Mondeo Active will debut late in 2022 or even early 2023. It would not just fill a gap left by the demise of the Fusion but also flesh out the automaker’s broad SUV line-up.

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New Recalls, Class Action Lawsuit, Add to Tesla Quality Woes, Raise New Questions About Long-Term

Tesla continues to be plagued by quality issues across all four of its vehicles.

Nearly 10,000 Tesla Model X and Model Y SUVs are being recalled for a series of safety-related defects underscoring the automaker’s ongoing problems with quality and reliability.

Tesla has faced an array of issues affecting its four product lines, ranging from defective paint to faulty suspension systems and failing touchscreens used to control vehicle operations. Federal safety regulators recently launched a probe into one of the problems, while Consumer Reports and J.D. Power have slammed Tesla for having some of the worst quality and reliability in the industry. The automaker was also hit with a class-action lawsuit alleging a quality cover-up on Friday.

Those problems have largely been ignored by Wall Street, however, Tesla’s market capitalization now topping $525 billion, or about the same as Toyota, Volkswagen, General Motors, Nissan, Honda and Daimler combined.

(Mazda tops annual Consumer Reports reliability study, Tesla slammed.)

Tesla has been battling a problem with its touchscreens going blank, making it impossible access many functions.

For the moment, at least, Tesla owners have been reasonably forgiving, said Stephanie Brinley, principal auto analyst with IHS Markit, reflecting an early adopter mindset. But, longer term, Brinley said “Tesla is at risk.” The company “needs to get quality and recalls under control.”

Tesla has faced problems with quality from Day One. While Consumer Reports initially called the automaker’s first volume product, the Model S, the best vehicle it ever tested it quickly withdrew its coveted “Recommended Buy” endorsement due to serious quality issues.

In the annual Consumer Reports Automotive Reliability Study released last week, Tesla ranked second to last among 26 brands. Some of the problems were high-tech, such as faltering touchscreens, but others were much more basic, such as ill-fitting body panels, paint defects and seats not properly attached.

“A focus on the basics would help them a lot,” said the influential magazine’s auto testing chief Jake Fisher. Tesla continues to struggle with problems, he said, that “other automakers worked out 50 years ago.”

Tesla’s problems with fit-and-finish have been so common, and occasionally so severe that one new owner last month had the roof of his new Model Y fly off as he drove home from the showroom last month.

The Model X and its gull-wing doors have been one of the bigger quality problems plaguing the ute.

Each of the automaker’s four product lines appear to have its own unique – and ongoing – issues. With the Model X, for example, that includes “Falcon Wing” doors that can’t close properly. The Model Y has similar problems with its hatchback, according to Fisher, along with rear seats that have been improperly mounted.

Some issues stretch across the entire Tesla line-up, notably problems with paint and body trim. And then there are the faulty touchscreens.

Earlier this year, the National Highway Traffic Safety Administration began probing reports that the automaker’s touchscreens, especially those on older Model S sedans and Model X SUVs, would suddenly start to malfunction and even “brick,’ or go completely dead, unexpectedly. The issue appears to be related to a faulty eMMC, or embedded Multi-Media Memory Card. Though the issue has been widely reported on Tesla owner forums, the company only acknowledged it publicly this month, announcing plans to make free repairs.

“This malfunction may result in a blank or intermittently blank touchscreen but will not impact the ability to drive your car,” the automaker said in a note to impacted owners.

(NHTSA expands probe into Tesla touchscreen issue.)

But the statement isn’t entirely accurate, according to Fisher. While the vehicles won’t shut down, he explained during an online meeting with the Automotive Press Association, a driver won’t be able to operate many vehicle functions, since the screen replaces most traditional buttons and knobs. And motorists won’t be able to see how fast they are going or even be sure what gear they are in.

There are reports of problems with the lift gate on the Model Y.

Tesla’s latest safety recalls are relatively minor in terms of the numbers. NHTSA today said the larger one covers 9,136 Model X SUVs from the 2016 model-year. They have roof trim that may not have been properly adhered and which could fly off while being driven, striking other vehicles or pedestrians.

The second recall covers just 401 of the new Model Y SUVs. Bolts connecting the front upper control arm and steering knuckle may not have been properly assembled. They could detach and cause a loss of control.

Separately, a new class-action lawsuit filed in federal court in California last Friday claims Tesla has covered up suspension issues on older Models S and X vehicles. “Tesla is gambling with the lives and safety of hundreds of thousands of additional drivers and passengers whose vehicles suspension parts [are] at an imminent risk of failure,” the lawsuit stated, adding that the automaker has recalled most of those models sold in China for the same defect.

Time and again, Tesla has been hammered for quality and reliability problems. The automaker has limited access to the data normally used by J.D. Power to assess out-of-the-factory problems. Until this year, the research firm left Tesla out of its widely followed Initial Quality Study. This year, however, it decided to use what information it could track down and, though the results were marked with an asterisk, it came in dead last – and by a wide margin, according to Power’s auto research chief Dave Sargent.

Complicating matters, Tesla operates in a hodgepodge of states and vehicles often have to be trucked long distances in order to undergo repairs. Tesla forums are filled with reports of lengthy waits for parts and service.

Tesla is by no means the only automaker with quality problems. Ford’s Lincoln division fared even worse in this year’s Consumer Reports Auto Reliability Study, and research chief Fisher noted there were problems plaguing several other battery-car models. But while “there are a couple of EVs that gave us pause, there were many other very good models.”

Tesla’s production problems have been well documented. One observer suggested the company would be well served to focus on the basics.

Until recently, Tesla had the market pretty much all to itself, at least in terms of long-range battery-electric vehicles. But there’s a tsunami of new models coming from manufacturers as diverse as Ford, Hyundai, Volkswagen, General Motors, BMW and Mercedes-Benz.

In China, the Wuling Mini, produced by a GM joint venture, recently displaced Tesla as the country’s best-selling EV. The California company has also been losing ground in several key European markets, though it remains, by a wide margin, the best-selling EV brand in North America.

(Tesla Model Y hammered by quality issues.)

“Consumers are often forgiving” when they have to get repairs, “as long as they feel they’re taken care of,” said analyst Brinley. That’s especially true, she added, for early adopters, many Tesla owners feeling an almost cult-like devotion to the brand. But with more competition coming, and with no sign Tesla has yet begun to get its quality and reliability issues under control, she and other analysts warn that could pose problems going forward.

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Rivian Reveals Price Cut, Takes Orders for Electric R1T Pickup, R1S SUV

A special Launch Edition of the Rivian R1T will be the first version offered.

Facing the likely blockbuster Tesla will deliver with its Cybertruck, Rivian’s newly released numbers show it will cut the anticipated cost of the R1S electric SUV and R1T pickup it plans to start delivering next year.

While originally expected to come in at $69,000, they now will start at $67,500, Rivian says. But don’t expect to find those base models at Rivian showrooms, at least not initially. The startup EV maker says both entry-level and high-end versions will come later, with the R1S and R1T first showing up in special Launch Editions starting at $75,000.

The Launch Edition models will feature a “300+” mile battery pack, exclusive badging and a unique “Launch Green” color option. It also will feature an upgraded interior and such off-road niceties as an underbody shield and onboard air compressor.

(Amazon shows off all-electric Rivian delivery van.)

Detroit-based Rivian will be entering a market that is quickly getting quite crowded. It’s R1T will face off with the new Cybertruck which, Tesla says, will start as low as $39,900. It’s still a bit early to make an apples-to-apples comparison on pricing based on features, however, and potential buyers need to factor in the $7,500 federal tax credits available on the Rivian truck. Tesla hit a sales threshold in late 2018 that has eliminated the incentives on its products.

The R1T will be going into an extremely competitive market. All told, there appear to be 11 or more electric pickups on the way from start-ups that also include Bollinger and Lordstown Motors, as well as established makers such as Ram, Ford and General Motors.

And, like Rivian, the GMC brand will launch both a pickup and an SUV version of its new Hummer line. The pickup is expected to reach GMC showrooms next year. Ford will follow with its electric F-150 soon afterwards.

Rivian is expecting to have the first version of the R1T available for delivery starting next June, the R1S to follow in August.

(Tesla goes after EV rival Rivian in court.)

The company is already taking preliminary reservations but, with this week’s announcement says pre-order holders will be able to start configuring vehicles starting next Monday, November 16. Among other things, they’ll be able to pick vehicle color, battery pack size, wheels and tires.

Rivian will also offer the R1S SUV sharing the R1T pickup’s skateboard-style platform.

Those in a hurry will want to choose the R1T Launch Edition. Along with the off-road accessories, it will get upgraded wheels and tires, the unique “Launch Green” paint and features in the Adventure Package, such as vegan “leather” upholstery, ash wood trim and an upgraded audio system. There’ll also be a powered tonneau on the R1T.

The less well-equipped Adventure edition will launch in January 2022, according to Rivian, and also will come in at $75,000. The base Explore model will also debut in January 2022 at $67,500 and will sacrifice the off-road features, the premium audio system and the ventilated seats, for example.

Rivian will offer a number of options, most notably a choice of 105, 135 or 180 kWh battery packs delivering at least 230, 300 or 400 miles range, respectively. It’s important to note that towing and heavy loads will significantly impact the range of an electric pickup or SUV and, like all EVs, they will see the numbers drop during cold weather, as well.

(Lincoln, Rivian scrub Lincoln EV project due to coronavirus.)

Rivian is one among many battery-car start-ups but it has gotten a significant boost after forming alliances with both Ford Motor Co. and Amazon. The online retail giant plans to purchase 100,000 all-electric Rivian delivery vans for its Prime service over the course of the coming decade.

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Chevrolet Charging into Electric Aftermarket with K5 Blazer Conversion for SEMA Show

Chevrolet will showcase a 1977 K5 Blazer converted to all-electric propulsion at SEMA360.

Crate engines have been wildly popular for decades with car enthusiasts, giving them a way to beef up stock vehicles. Chevrolet has a long history of offering these powerplants, but now is honoring that tradition with a modern twist: eCrates.

In fact, some of those doing electric conversions are using old EV1 motors, General Motors’ long-dead first attempt at electric vehicles. However, there are several options available for those looking to get the instant torque only an electric motor can provide while keeping those vehicles on the greener side.

At this year’s virtual SEMA show, called SEMA360, Chevy will be showing what it thinks can be done with their eCrate motors by revealing a 1977 K5 Blazer that has been converted to an all-electric powertrain. The setup used in the K5 Blazer-E should be available from the company sometime next year, pushing aside the aforementioned EV1-powered conversions.

(Chevrolet teases 2022 Bolt EV makeover — and new Bolt EV.)

“As GM introduces a new fleet of electric vehicles, it creates an exciting opportunity to bring EV technology to the aftermarket,” said Jim Campbell, GM U.S. vice president of Performance and Motorsports.

The K5 Blazer-E uses a Bolt EV electric motor, delivering 200 hp, paired with a Chevrolet Performance electronically controlled 4-speed automatic.

“Our vision is to offer a comprehensive line of Connect and Cruise systems from Chevrolet Performance – delivering a solution for every customer ranging from LSX V-8s to eCrate conversions,” Campbell said.

The K5 conversion uses a 60-kWh battery pack sitting the cargo area behind the driver and front-seat passenger to provide the power for a 200-horsepower electric motor as well as all of the necessary power inverters, converters and additional equipment needed to make it a fully functional 33-year-old vehicle — with an electric powertrain.

This isn’t the brand’s first foray into the eCrate conversion segment. It’s already done two other vehicles: an eCOPO Camaro in 2018 and an E-10 pickup last year. The efforts acted as development projects for the brand’s Electric Connect and Cruise electric vehicles. The converted vehicles also attracted plenty of attention.

“Minutes after Chevrolet showed the E-10 concept, customers started calling to ask how soon they could build their EV project,” said Russ O’Blenes, Chevrolet director of engineering, Performance and Racing, in a statement.

(Chevy squeezes 21 more miles out of Bolt battery for 2020.)

Power for the K5 Blazer-E is supplied by a 400-volt Bolt EV battery pack with 60 kilowatt-hours of usable energy installed in the cargo area.

Often vehicles SEMA are wild takes on the original machine, but the goal of the K5 conversion is to make it look as close to normal as possible. However, the upgrades are the latest technology offered by Chevy with 90% of the new parts coming from the Bolt EV.

Obviously, the first thing that had to go was the K5’s 175-hp 400 cubic-inch V-8, three-speed automatic, fuel system and exhaust. Aside from the previously mentioned 200-hp electric motor, Chevrolet Performance installed an electronically controlled four-speed automatic. The rest of the Blazer drivetrain is original, including the transfer case, driveshaft and axles.

The battery pack providing the juice to the system is a 400-volt Bolt EV battery pack. The system uses so many of the Bolt’s components, it retains many of the benefits of the system, such as shock protection, battery heating and cooling, battery-overcharge protection and even regenerative braking, GM engineers added.

Anticipating demand for these conversions, Chevy created a certification program for dealers and aftermarket companies. Performance vehicle stalwart Lingenfelter Performance Engineering is piloting the training and certification program. As part of that, they will get the tools and equipment needed to work with high-voltage systems and charging stations used by the vehicles, GM officials said.

The K5 Blazer-E gets special badging.

“The K5 Blazer-E demonstrates what is possible for customers who want to convert their vintage truck to a daily driver with the instant torque and unique driving experience of an EV. For customers who want more extreme performance, the modular eCrate system will have virtually limitless applications,” O’Blenes said.

(GM EV program charging ahead despite pandemic.)

As the program moves forward, GM will find ways to incorporate its Ultium batteries and supporting technology, the company noted. In addition to the K5 conversion, the brand is showing off several Tahoe and Suburban aftermarket performance parts at the show.

Joseph Szczesny contributed to this story.

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