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Stellantis wants to outfit cars with AI software to drive revenue

MILAN — Carmaker Stellantis announced a strategy Tuesday to embed AI-enabled software in 34 million vehicles across its 14 brands, hoping the tech upgrade will help it bring in 20 billion euros ($22.6 billion) in annual revenue by 2030. CEO Carlos Tavares heralded the move as part of a strategy that would transform the car company into a “sustainable mobility tech company,” with business growth coming from features and services tied to the internet. That includes using voice commands to activate navigation, make payments and order products online. The company is expanding existing partnerships with BMW on partially automated driving, iPhone manufacturer Foxconn on customized cockpits and Waymo to push their autonomous driving work into light commercial vehicle delivery fleets. StellantisÂ’ embrace of artificial intelligence and expansion of software-enabled vehicles is part of a broad transformation in the auto industry, with a race toward more fully electric and hybrid propulsion systems, more autonomous driving features and increased connectivity in automobiles. Ford and General Motors also are banking on dramatically increased revenue from similar online subscription services. But the automakers face immense competition for monthly consumer spending from movie and music streaming services, news outlets, Amazon Prime and others. Stellantis, which was formed from the combination of PSA Peugeot and FCA Fiat Chrysler, said the software would seamlessly integrate into customers' lives, with the capability of live updates providing upgraded services over time. New products will include the possibility to subscribe to automated driving features, purchase usage-based car insurance or even increase the power of the vehicle with a tune-up to add horsepower. As a baseline, Stellantis generates 400 million euros in revenue on software-generated services installed in 12 million vehicles. To meet the targets, Stellantis will expand its software engineering team of 1,000 to 4,500 in North America, Asia and Europe. More than 1,000 of the expanded team will be retrained in house. Stellantis also announced a new partnership with Foxconn to develop semiconductors to cover 80% of the companyÂ’s needs and simplify the supply chain. The first microchips from the partnership are targeted to be installed in vehicles in 2024.

Alfa SUV on pace for 2016 launch

While other parts of FCA's five-year plan are reportedly being shifted around, the timeline for Alfa Romeo is holding firm. The Italian brand is now hard at work on its crossover, which arrives after the Giulia sedan. Everything is on schedule for a mid-2016 debut too, according to Automotive News, and US sales would reportedly come late that year or in early 2017. Codenamed Project 949, Alfa's crossover shares its underpinnings with the Giulia and is sized to take on premium entries in the segment, like the BMW X3, Automotive News reports. The model is the Italian brand's first production CUV. The plan for a crossover has been percolating for years, as evidenced by the 12--year-old Kamal concept (pictured above). The Giulia and CUV are two of the eight new models Alfa wants to launch by 2018. In the five-year plan, Alfa execs also discussed two compacts, another crossover, a second midsize sedan, a fullsize sedan, and a specialty product. While not all of these might come to the US, the brand has set a goal to see a dramatic global sales jump to 400,000 units. "We are taking a very hard look at the sequencing of the products that we are launching to make sure that we get the biggest bang for the buck from the utilization of the architecture in terms of volumes," FCA boss Sergio Marchionne said, according to Automotive News. Related Video:

Listen to the 2019 Alfa Romeo Giulia Quadrifoglio's howling Ferrari V6

There's a lot that makes the 2019 Alfa Romeo Giulia Quadrifoglio special, from its name to its handling. But arguably its biggest claim to fame is the twin-turbo 2.9-liter V6 under the hood that was derived from a Ferrari engine. It makes 505 horsepower and 443 pound-feet of torque, and all that grunt goes through an eight-speed automatic transmission on its way to the rear wheels. Being a Ferrari-related engine, it has a suitably impressive exhaust note. Pop it into "Dynamic" mode, and the exhaust opens up. It's plenty loud with higher revs, but quiets down on the highway, avoiding much drone. The note is unique, with a deeper tone than you might expect from the Prancing Horse brand. It also has rippling crackles that occur more naturally than some of its consistently popping competitors from Germany. Take a listen for yourself with the video above.