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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.

FCA recalls Fiat 500e to fix cruise control

Fiat is recalling almost 4,000 of its 500e electric vehicles because of a malfunction related to the model's cruise-control feature. The glitch causes the car's powertrain to be put into neutral under certain situations. It's the second recall on the 500e this year. Specifically, Chrysler-Fiat is recalling 3,975 cars. The issue is that the car's system can misread the motor's torque figures in cruise control, causing the sprightly EV to mistakenly shift into neutral in what was designed as a safety-precaution measure. The good news is that restarting the vehicle gets the car back to normal, but being dropped into neutral in highway mode is certainly no fun. Chrysler-Fiat said in a statement this week that it was "unaware" of injuries, accidents, or customer complaints caused by the issue. In April, the 500e was subject to a recall that impacted about 5,600 vehicles and stemmed from a March 2015 update. The update allowed the car to go into so-called "Limp Home Mode" to better extend range. The problem is that it inadvertently caused the car to stall. Range anxiety, indeed. Take a look at Chrysler-Fiat's press release on the most recent recall below. Related Video: Statement: Software Upgrade June 9, 2015 , Auburn Hills, Mich. - FCA US LLC is voluntarily recalling an estimated 3,975 cars to upgrade cruise-control software. A review of warranty data led to an investigation by FCA US LLC engineers. The investigation discovered certain Fiat 500e hatchbacks were inadvertently equipped with software that may misread torque levels generated by their motors, causing them to shift into neutral – a prescribed failsafe mode. This condition may occur only while cruise-control is engaged and the driver attempts to override the feature with accelerator-pedal applications or rapid tapping of the accelerate/decelerate buttons. Restarting the vehicle restores normal function. The campaign is limited to certain model-year 2013-2015 vehicles. The Company is unaware of any related injuries, accidents or customer complaints. New software will be available when affected customers are advised of this action by FCA US. Service instructions are being sent to FCA US dealers today. Customers with questions may call the FCA US Customer Information Center at 1-800-853-1403.

Labor Day: A look back at the largest UAW strikes in history

American made is almost an anachronism now, but good manufacturing jobs drove America's post-war economic golden age. Fifty years ago, if you held a job on a line, you were most likely a member of a union. And no union was more powerful than the United Auto Workers. Before the slow decline in membership started in the 1970s, the UAW had over 1.5 million members and represented workers from the insurance industry to aerospace and defense. The UAW isn't the powerhouse it once was. Today, just fewer than 400,000 workers hold membership in the UAW. Unions are sometimes blamed for the decline of American manufacturing, as companies have spent the last 30 years outsourcing their needs to countries with cheap labor and fewer requirements for the health and safety of their workers. Unions formed out of a desire to protect workers from dangerous conditions and abject poverty once their physical abilities were used up on the line; woes that manufacturers now outsource to poorer countries, along with the jobs. Striking was the workers' way of demanding humane treatment and a seat at the table with management. Most strikes are and were local affairs, affecting one or two plants and lasting a few days. But some strikes took thousands of workers off the line for months. Some were large enough to change the landscape of America. 1. 1936-1937 Flint Sit-Down Strike In 1936, just a year after the UAW formed and the same year they held their first convention, the union moved to organize workers within a major manufacturer. For extra oomph, they went after the largest in the world – General Motors. UAW Local 174 president Walter Reuther focused on two huge production facilities – one in Flint and one in Cleveland, where GM made all the parts for Buick, Pontiac, Oldsmobile and Chevrolet. Conditions in these plants were hellish. Workers weren't allowed bathroom breaks and often soiled themselves while standing at their stations. Workers were pushed to the limit on 12-14 hour shifts, six days a week. The production speed was nearly impossibly fast and debilitating injuries were common. In July 1936, temperatures inside the Flint plants reached over 100 degrees, yet managers refused to slow the line. Heat exhaustion killed hundreds of workers. Their families could expect no compensation for their deaths. When two brothers were fired in Cleveland when management discovered they were part of the union, a wildcat strike broke out.