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GM program sees dealers taking on way more loaner cars

Given the volume of vehicles we're talking about, this is a significant development for GM's bottom line. Bring your car into the dealership for service, and you may need a loaner car in exchange. And with so many recalls being carried out, that means a lot of loaners – especially at General Motors dealerships. That could be one of the reasons why GM is massively expanding its loaner fleet program. While many Chevrolet and Buick-GMC dealerships have an on-site rental car location operated by a third party like Enterprise (which may or may not provide a GM vehicle), others manage their own loaner fleets. But while the range of dealerships operating such fleets was once small, reports Automotive News, the number has been growing rapidly: from the locations responsible for only 20 percent of those brands' sales two years ago to about 90 percent today. The impetus for that growth comes down to a massive expansion of GM's Courtesy Transportation Program. The initiative encourages dealers to ramp up their loaner fleet to a maximum size determined by GM, with a mix determined by the dealer itself, so that a showroom in Texas can be bolstered with a fleet of pickup trucks and a dealer in California can employ more Volt and Camaro Convertible loaners. The dealership gets a $500 credit for each vehicle its puts in its fleet, and can use those vehicles as loaners for service customers, as multi-day test drivers or to rent out separately. The vehicles remain in the dealer's fleet for 90 days or 7,500 miles, then they can be sold as used, but with new-car incentives. The dealer gets a fleet of loaners, customers get to use the loaners, try out a new car overnight or buy a barely used car with attractive incentives, and GM gets to clock more sales. But therein lies the kicker: the automaker counts the dispatch of the loaner new vehicle to the dealership as a new-car sale, which could end up distorting its sales figures. Counting loaner vehicles as sold vehicles is something of an industry-standard practice, but given the volume of vehicles we're talking about, this is a significant development for GM's bottom line. One dealership - Paddock Chevrolet in Kenmore, NY, for example - had no loaner fleet two years ago, but now runs a fleet of 50 vehicles. Multiply that by the 4,000 or so dealers GM has across America and you're talking about the potential for hundreds of thousands of these sorts of sales.

GM recalls 330,000 fullsize trucks for airbag replacement

General Motors has announced a recall of 330,198 fullsize pickups in the US in the aftermath of the announcement made on May 19 that doubled the number of vehicles being called in to replace Takata's defective airbag inflators. That announcement expanded the nationwide recall to an estimated 33.8 million vehicles in the US. Heavy Duty versions of the 2007 and 2008 Chevrolet Silverado and GMC Sierra are included in GM's move, for the purpose of replacing the passenger airbag inflators. The announcement made by the National Highway Traffic Safety Association cited long-term exposure to moisture as a possible cause of the inflator issues. GM says it isn't aware of any problems with the recalled pickups due to moisture, nor has it had any reports of crashes, injuries, or fatalities, and has not received any complaints. GM will notify owners, who can then take their trucks to the dealers to have them repaired free of charge. You'll find a statement from GM and the recall notice from NHTSA below. Related Video: General Motors Statement General Motors is recalling 330,198 2007 and 2008 model year full-size Chevrolet Silverado heavy duty and GMC Sierra heavy duty pickup trucks in the U.S. to replace the passenger air bag inflators manufactured by TK Holdings Inc. (Takata). This recall implements Takata's air bag inflator equipment recall announced on May 19, 2015 (NHTSA recall number 15E-041). GM is not aware of any humidity-related ruptures in Takata air bag inflators in any GM-badged vehicles in the field and knows of no crashes, injuries, fatalities or complaints regarding air bag performance in these vehicles. Including Canada and exports, the total number of vehicles being recalled is 374,715. Population breakdown: United States 330,198 Canada 39,630 Exports 4,887 Total 374,715NHTSA RECALL NOTICE: Report Receipt Date: MAY 28, 2015 NHTSA Campaign Number: 15V324000 Component(s): AIR BAGS Potential Number of Units Affected: 330,198 Manufacturer: General Motors LLCSUMMARY: General Motors LLC (GM) is recalling certain model year 2007-2008 Chevrolet Silverado 2500HD and 3500HD trucks manufactured November 28, 2006, to August 29, 2008, and 2007-2008 GMC Sierra 2500HD and 3500HD trucks manufactured November 27, 2006, to August 29, 2008.

GM to make most cars LTE hotspots for 2015

General Motors isn't the first automaker to deliver in-car Internet access, but a proposed plan announced today could make the technology more widespread than any of its competitors have offered. By the 2015 model year, most Chevrolet, Buick, Cadillac and GMC products in the US and Canada will offer 4G LTE mobile broadband access. Initially, GM will just be pairing with AT&T to deliver this service, but additional carriers will be revealed in the future.
Current in-car Wi-Fi hot spots are limited to 3G, but GM says that 4G LTE is 10 times faster than 3G service and will allow for full Internet access, including streaming video for entertainment as well as services like real-time traffic updates and navigation driving directions. There is also no need for a paired smartphone with this new system, which should make it easier to use, and GM and AT&T will also be working together to develop new apps for customers.
Buyers can expect to start seeing 4G LTE in their cars starting next year, and GM is already planning to expand the service to other global markets as well. All of the information from GM's announcement is posted in a press release below.