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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.

BMW reveals full details on M235i Racing

We were suitably excited when BMW first announced the imminent arrival of the M235i Racing. After all, what's not to like about a factory-prepared racecar with 333 horsepower you can pick up for just eighty grand? Now BMW has released the full details on the latest addition to its racing portfolio, where it joins the M3 DTM, M3 GT4, Z4 GTE/GT3 and 320 TC in a growing family of competition machinery prepared by BMW Motorsport.
Based on the new 2 Series coupe, the M235i Racing is the first M Performance model for the track, and boasts the line's most powerful engine: the 3.0-liter twin-turbo straight six has been optimized to 333 horsepower and 332 pound-feet of torque. A mechanical limited-slip differential helps transfer the power to the track surface, along with race-tuned ABS, DSC and traction control.
Four-pot calipers up front and two-pot calipers in the rear shave off speed for the corner and are packed inside the 18-inch alloys, with KW dampers and H&R suspension components. Inside there's a six-point racing harness and Recaro bucket surrounded by an FIA-certified roll cage, and customers can even have an extra seat installed to take passengers for ride-alongs. All of which can be yours for €59,500.00 - equivalent to $82k at today's rates, before taxes.

BMW M135i vs. Mercedes A45 AMG in Euro small-lux throwdown

BMW and Mercedes-Benz - please, please, please bring the M135i and A45 AMG hatchbacks to North America. For as long as we can remember, buyers in the New World have been forced to look longingly at Europe and Great Britain and the excellent super hatches that are so routinely offered there. And while we're quite content with the Ford Focus ST and Volkswagen GTI, having a 360-horse five-door with a premium, content-rich interior sounds quite nice.
Our envy for Europe has grown after watching the latest video from Drive, which stars Chris Harris, the Mercedes-Benz A45 AMG and the BMW M135i. This latest battle between MB and BMW takes place on both road and track, with Harris providing a running commentary. If you're interested in the upcoming Mercedes CLA45 AMG, you should pay special attention to the section on the A45, as the two are essentially fraternal twins. While the video is a bit on the long side, it provides a comprehensive rundown of both cars, giving those of us in North America just a small taste of what we're missing. Check it out by scrolling below.