1954 Jeep Willys Cj3 on 2040-cars

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Auto Mergers and Acquisitions: Suicide or salvation?

We love the Moses figure. A savior riding in from stage right with the ideas, the smarts, and the scrappiness to put things right. Alan Mullaly. Carroll Shelby. Lee Iacocca. Andrew Carnegie. Steve Jobs. Elon Musk. Bart Simpson. Sergio Marchionne does not likely view himself with Moses-like optics, but the CEO of Fiat Chrysler Automobiles recently gave a remarkable, perhaps prophetic interview with Automotive News about his interest and the inevitability of merging with a potential automotive partner like General Motors. Marchionne has been overtly public about his notion that GM must merge with FCA. For a bit of context, GM sold 9.9 million vehicles in 2014, posting $2.8 billion in net income, while FCA sold 4.75 million units and earned $2.4 billion in net income, painting a very rosy FCA earnings-to-sales picture. But that's not the entire picture. Most people in the auto industry still remember the trainwreck that was the DaimlerChrysler "merger" written in what turned out to be sand in 1998. It proved to be a master class in how not to fuse two companies, two cultures, two continents, and two management teams. Oh, it worked for the two individuals at both helms pre-merger. They got silly rich. And the industry itself was in a misty romance at the time with mergers and acquisitions. BMW bought Rolls-Royce. Volkswagen Group bought Bentley, Bugatti, and Lamborghini, putting all three brands into their rightful place in both products and positioning. No marriages there, so no false pretense. Finally, Nissan and Renault got married in 1999. A successful marriage requires several rare elements in this atmosphere of gas fumes and power lust. But a successful marriage requires several rare elements in this atmosphere of gas fumes and power lust, the principle part being honesty. Daimler and Chrysler lied to each other. The heads of each unit, the product planners, and finance all presented their then-current and long-range forecasts to each other with less-than-forthright accuracy. Daimler was the far greater equal and no one from the Chrysler side enjoyed that. The cultures were entirely different, too, and little was done to bridge that gap. Which brings me back to the present overtures by Marchionne to GM. "There are varying degrees of hugs," Marchionne stated in the Automotive News piece. "I can hug you nicely, I can hug you tightly, I can hug you like a bear, I can really hug you." Seriously?

Jeep still working to improve Cherokee's 9-speed auto

Fiat Chrysler is hoping an upcoming software update will stem the tide of consumer complaints surrounding its nine-speed automatic transmission. Owners of the 2014 Jeep Cherokee have reported a number of problems on the National Highway Traffic Safety Administration's SaferCar.gov website, since the new model and its troubled gearbox arrived way back in October 2013. The software update is "intended to keep the vehicle performing as intended, and to prevent durability issues from occurring in the future," an FCA spokesperson told Automotive News, and will be available to owners of both the 2014 to 2015 Jeep Cherokee and the 2015 Chrysler 200, which also uses the 9AT. While FCA will be notifying consumers of the update, owners can also request the software reflash if they happen into their dealer before then. Despite the widely documented problems with the transmission, the only complaints on NHTSA's website relate to the 2014 Cherokee – neither the 2015 Jeep nor the 200 have received any complaints. That bodes well as FCA prepares to begin deliveries of the 2015 Jeep Renegade and launch the Fiat 500X, both of which pair the 9AT with the 2.4-liter Tigershark four-cylinder. "We have had to do an inordinate amount of intervention on that transmission, surely beyond what any of us had forecast," FCA CEO Sergio Marchionne told Automotive News. "There are things that we have done – that we continue to do. Our proactive customer care intervention has actually increased in intensity on these vehicles in 2014, especially in the second half." What's fascinating about the 9AT's problems are that they haven't been the fault of manufacturer ZF, but have related to software that wasn't "mature" and had "teething problems," Marchionne has said previously, AN reports. With the lack of criticism for the 9AT in 2015 models and this pending software update, though, here's hoping that FCA has finally figured out its fuel-sipping gearbox. Related Video:

2018 L.A. Auto Show: 5-plus takeaways on Jeep, Honda, Porsche and more

The 2018 L.A. Auto Show is making a strong case that auto shows aren't dead. Carmakers are ladling out sports cars and SUVs featuring serious style and performance in Los Angeles, and it's a feast for the senses. We're talking the new Porsche 911, the long-awaited Jeep Gladiator and the stylish Mazda3. It's the best car show with the most important reveals since the 2018 Detroit Auto Show kicked off the year. Here are some quick reactions: The 2019 Jeep Gladiator is a rock star When the story went live on Autoblog, our traffic went straight up. I've literally never seen the graph go straight up. So yeah, you guys seem to like it. I do, too. It's everything I want in a vehicle, including enough of a retro feel that it satisfies my cravings for an old Cherokee XJ. It's more capable and likely more expensive than I originally anticipated, but Jeep is going to have to expand its Toledo factory to keep up with demand. Don't be fooled by whatever the politicians say when that happens. It's because people like Jeeps and pickups, and this is the hero sandwich of all of that. I'd likely go with the 3.6-liter and a manual transmission if I were buying a Gladiator, but the diesel is compelling, too. Gladiator is a great name, drenched in history. I like it better than Scrambler, which never felt right to me. Only issue: It's a little over-the-top. Imagine this conversation: "So, ready to go to Panera?" "Sure, let's take the Gladiator." I mean, it's a bit much to refer to your personal vehicle as the Gladiator. Unless Russell Crowe is driving it. Then it's fine. The 2020 Porsche 911 is conservatively brilliant Every time I drive a 718 Cayman, Jaguar F-Type or another 911 challenger, I wonder if the 911 may be over the hill. It's not. And it likely never will be. This latest generation, dubbed 992 in Porsche-speak, stayed the course. The back takes some Mission E stylings that give the 911 a more modern feel. The flat six gets a little more power. The digital-heavy interior looks futuristic and slick. But overall, it's a blocking-and-tackling update that should satisfy the purists and maybe draw in a few new Porsche fans. It's the right time for the 2019 Honda Passport This slots between the Honda CR-V and the Honda Pilot. That's serious segmentation, but it's another crossover, and it's undoubtedly what the people want.