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Ford's Mulally makes shortlist for Microsoft CEO

Ford CEO Alan Mulally has made the short list to take over tech giant Microsoft, lending further credence to rumors that the 68-year-old former Boeing exec would ditch Dearborn and move to Redmond.
The report comes from Reuters, which claims that alongside Mulally, former Nokia CEO Stephen Elop and three candidates from within Microsoft are on the short list to succeed Steve Ballmer at the company's helm, although previous reports claim the Ford exec is the number one candidate. Mulally is currently working without a contract, although Bill Ford seems to believe that he isn't likely to depart. Despite this belief, Ford was quoted just last month talking about the depth of talent on the Blue Oval's executive team.
"There is no change from what we announced last November. Alan remains fully focused on continuing to make progress on our One Ford plan. We do not engage in speculation," said Ford spokesman Jay Cooney.

2014 Ford Fiesta 1.0L EcoBoost to hit 45 mpg for $16,445*

When Ford first announced its plan to put the 1.0-liter EcoBoost three-cylinder engine under the hood of the 2014 Fiesta, it promised hybrid-like fuel economy without a hybrid-like premium. We're still waiting for official specs on this engine, but thanks to the EPA's fueleconomy.gov website and Ford's retail site, we now know what customers can expect in terms of both fuel economy and price.
All along, Ford has said that it expects the 1.0-liter EcoBoost to get more than 40 miles per gallon on the highway, and now the EPA backs this up with official ratings of 32 mpg in the city and 45 mpg on the highway. These numbers are an increase of two mpg city and four mpg hwy compared to the current fuel-sipping Fiesta (the 1.6 SFE), and it also beats other three-cylinder cars for highway mileage like the 2014 Mitsubishi Mirage (44 mpg highway) and 2014 Smart Fortwo (38 mpg highway); the Fiesta 1.0 EcoBoost is lower than both three-pot rivals, though, in city fuel economy with the Mitsubishi getting 37 mpg city and the Smart rated at 34 mpg city. This model handily beats high-volume small cars like the Honda Fit, Toyota Yaris and Chevy Spark in both city and highway numbers.
As for pricing, the 1.0-liter EcoBoost is offered on both the sedan and hatchback as a $995 option called the SE Manual EcoBoost package, which is aptly named since it's only offered on SE trim-level Fiestas equipped with a manual transmission. Along with the engine, the package also comes with 15-inch steel wheels, regenerative brakes and a decklid spoiler on the sedan. This means the four-door Fiesta 1.0 EcoBoost will start at $16,445*, or $17,045* for the hatchback (*not including $795 for destination).

These horribly misguided front-drive design studies nearly became the Mustang

As we eagerly await the unveiling of the all-new sixth-generation Mustang, Ford has been giving us some great information over the past few months showing what has gone into shaping its venerable pony car. As many changes as the Mustang has gone through in its 50 years, though, it appears the fourth-gen model played a decisive and pivotal role in the car's future.
As is part of Mustang lore, the front-wheel drive Ford Probe was originally developed as a next-generation Mustang in the Eighties before cooler heads prevailed. The Blue Oval has just released a handful of images showing how bad things could have been - including a full-scale clay model of a front-wheel-drive Mustang (shown above). Fortunately, the FWD Mustang plan was scrapped and Ford went to work designing a rear-wheel-drive replacement for the Fox Body Mustang, with three design studies making it far enough to become full-scale models. These include the soft "Bruce Jenner" Mustang, the over-the-top "Rambo" Mustang and the middle-ground "Arnold Schwarzenegger" Mustang, which finally became the basis for the 1994 'Stang.
By early 1991, the design language of the fourth-generation Mustang had been worked out, and the rest, they say, is history. Scroll down for the fascinating press release telling the story of the fourth-gen Mustang, and be sure to check out the gallery of horribly misguided sketches and various design studies that were all on the table in the late 1980s.