2022 Ram 1500 Big Horn 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?

Chrysler recalling 382k Ram HD diesel pickups, 184k SUVs

Between GM's ignition switches and Takata's airbags, it's been a big year for recalls, but they keep rolling in. The latest comes from Chrysler, which has announced a pair of recalls for certain heavy-duty pickups and SUVs.
The first issue revolves around the 6.7-liter Cummins diesel engine available in the 2010-2014 Ram HD trucks, including 2500 and 3500 series pickups as well as 4500 and 5500 series chassis cabs. In the affected units, "a terminal connector near the fuel heater may be subject to friction-induced corrosion," according to the first of the two announcements from Chrysler below.
The problem could result in overheating and fuel leakage. Chrysler launched its investigation following cases of overheating, none of which actually started a fire, much less an injury or accident. As a precautionary measure, however, Chrysler is instructing service technicians to replace the terminals on an estimated 381,876 Ram units around the world - the vast majority of those (314,704) registered in the US, another 59,432 in Canada, 1,803 in Mexico and 5,937 abroad.

Chrysler recalling nearly 141k vehicles over electrical woes

Software glitches that randomly illuminate warning lights and cause instrument cluster blackouts are forcing Chrysler to recall 140,800 vehicles, The Detroit News reports. The automaker is recalling 132,000 2014 Jeep Grand Cherokees, 91,559 of which are in the US. In addition to the Jeep recalls, Chrysler is adding 10,800 2014 Ram 1500, 2500 and 3500 trucks to the list for similar problems.
Chrysler reportedly says, "Both events occurred infrequently and appeared to resolve themselves by tuning the vehicle's ignition off and then on."
Engineers discovered a problem with the anti-lock-braking system software that causes the instrument cluster display of the Grand Cherokee to illuminate warning lights and black out - even its ABS and electronic stability control systems are affected. To fix the Jeeps, Chrysler will update the vehicle's software.