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Dealers mobilize to protect their margins from automaker subscription services

Six individual auto brands — Lincoln, Cadillac, Porsche, Mercedes, BMW and Volvo — have established or are trialing a vehicle subscription service in the U.S. Three third-party companies — Flexdrive, Clutch and Carma — run brand-agnostic subscription services. And three automakers — Mercedes-Benz, BMW, and General Motors — have also launched short-term rental services. Dealers, afraid of how these trends might affect their margins, are building political and lawmaking campaigns to protect their revenue streams. So far, three states are investigating automaker subscriptions, and Indiana has banned any such service until next year. It's certain that those three states are the first fronts in a long political and legal battle. Powerful dealer franchise laws mandate the existence of dealers and restrict how automakers are allowed to interact with customers to sell a vehicle. On top of that, Bob Reisner, CEO of Nassau Business Funding & Services, said, "Dealers and their associations are among the strongest political operators in many states. They as a group are difficult for state politicians to vote against." In California earlier this year, the state Assembly debated a bill with wide-ranging provisions to protect against what the California New Car Dealers Association called "inappropriate treatment of dealers by manufacturers." One of those provisions stipulated that subscription services need to go through dealers, but that item got stripped out when dealers and manufacturers agreed to discuss the matter further. In Indiana, Gov. Eric Holcomb signed a moratorium on all subscription programs by dealers or manufacturers until May 1, 2019, to give legislators more time to investigate. Dealers in New Jersey have taken their campaign to the state capitol, asking that the cars in subscription programs get a different classification for registration purposes. Automakers run the current subscription services and own the vehicles. Sign-ups and financial transactions happen online or through apps, leaving dealers to do little more than act as fulfillment centers to various degrees, with little legal recourse as to compensation amounts when they're called on to deliver or service a car. That's a bad base to build on for business owners who've sunk millions of dollars into their operations.

Vision Mercedes-Maybach 6 Cabriolet is last year's concept with a soft top

Last year, Mercedes brought an absurd, excessive two-seat coupe to Pebble Beach called the Vision Mercedes-Maybach 6. We say absurd and excessive because it was a roughly 19-foot long coupe for just two people. It also packed a 750-horsepower electric powertrain. This year, Mercedes brought pretty much the same car, but now with a soft top and the suffix "Cabriolet." Because the Vision Mercedes-Maybach 6 Cabriolet is basically the same car as the coupe, it's also dripping with unashamed excess. It's still 19 feet long, it still carries only two people, and it still has 750 horsepower from electric motors. Mercedes claims that power will propel the car to 60 mph in under 4 seconds. Also like the coupe, it has a range of 200 miles on a charge, and with the right charger, can supposedly regain about 60 miles in 5 minutes. There are changes to the car, though. For one, it's painted a different color. Instead of the vibrant red of the coupe, the roadster is a navy blue that Mercedes says helps evoke the feeling of a yacht — more so than the size already did. It also has new wheels with a more conventional multi-spoke look. They're also have rose gold-painted accents. The change to a convertible body style alters the appearance of the Mercedes-Maybach 6 more than you'd expect, too. Now that a significant portion of the vehicle is finished in a contrasting color, the car looks a bit shorter, in a good way. It doesn't look cumbersome. The lack of a fastback also helps keep the tail from looking like it's sagging, as it does on the coupe. The interior of the Vision Mercedes-Maybach 6 Cabriolet is mostly the same as the coupe, too. It features the same white leather seats that blend into the doors and dashboard. It also has the wild wraparound display and clear center tunnel with light tubes that show the flow of electricity to the motors. Metal highlights are finished in rose gold hue, as is the stitching. The differences include more prominent shapes that imply air vents, as well as a wood floor with aluminum strips to complete the yacht feeling. Also, the buttons that dot the seats have Mercedes logos on them, and they're backlit. We also get a peak under the hood of the Mercedes-Maybach 6 Cabriolet. It opens up like pre-war cars with two panels connected by a center hinge. Because it uses compact electric motors and underfloor batteries, there's storage space under the hood.

Red Bull may seek engines from Ferrari after Mercedes snub

Red Bull and Renault's fractured relationship is pushing the Austrian F1 team to find a new engine provider. But after a trip across the German border to chat with Mercedes-Benz proved fruitless, the team is apparently set to head across its home country's southern border, and into Italy. Yep, Red Bull Ferrari could be a thing next season. According to RBR boss Christian Horner, the company is just doing "necessary due diligence" in contacting other engine suppliers, although he's willfully admitted to Germany's Bild newspaper that the "idea of Mercedes is finished," BBC Sport reports. It wasn't so much that Mercedes and Red Bull couldn't come to financial agreement – Red Bull owner Dietrich Mateschitz views throwing money into F1 in much the same way you or I toss pennies into the mall fountain – but rather that the Germans had no interest in supplying the best engines on the grid to the factory team's perennial rival. BBC Sport seems to think that fact, along with what the outlet calls Red Bull's "antagonistic" relationship with engine suppliers, killed the Mercedes deal. Honda and RBR aren't likely to happen either, thanks to McLaren (not that we think Red Bull would approach the Japanese, which have struggled mightily all season long). By process of elimination, that just leaves Ferrari. Scuderia Ferrari Team Principal Maurizio Arrivabene confirmed that his team can accommodate Red Bull's engine needs, and that he wasn't concerned with the idea of a Ferrari engine in an Adrian Newey-designed body. "In theory they have big names, with Newey as chief designer and it is easy to think that if you give them the engine they will build a scary chassis, which means they will be really competitive," Arrivabene told BBC Sport. "Concerning my team, my engineers and aerodynamicists know their own jobs. For that reason I don't have a problem, and competition is nice when you have a stronger competitor." "This doesn't mean tomorrow morning we will give our engines to Red Bull or Toro Rosso," Arrivabene added. And it's that statement we'd suggest remembering. There are, after all, still seven races left in the 2015 season, which is quite a lot of time for new and different developments within the sport's notoriously gruesome political process. In other words, don't count on an announcement from any team or manufacturer for at least a few more races. Related Video: