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Will more efficient tech mean higher prices for Subaru?

If the latest ruling by the California Air Resources Board holds, then Subaru at least must build a plug-in hybrid in the coming years to comply with the Golden State's regulations. Fuel economy looks to improve across the board for the brand, though, thanks to $780 million going into the development of cleaner powertrains for this fiscal year alone. However, buyers might have to pay more for a Subie in the future after this boost in green spending. "Related costs are going up more than expected, bringing the profit margin downward," Fuji Heavy Industries President Yasuyuki Yoshinaga said to the Nihon Keizai newspaper in Japan, according to Automotive News. "We are a small company. We do not benefit as much from economy of scale as bigger companies, so we will have to make up for the increased costs by raising our brand value." At the moment, Subaru's electrified lineup in the US comprises just the XV Crosstrek Hybrid, but the company is reportedly planning to add more. Plus, Subie also wants to make its internal combustion engines more efficient. According to Automotive News, all of the brand's mills are getting direct injection by 2016, and cylinder deactivation and lean combustion cycles are on track for 2020. Earlier rumors also suggested that the automaker might bring the turbocharged four-cylinder boxer to more products, as well. While these more efficient models might cost more, Subaru must carefully maintain the balancing act of introducing the technology and keeping sales growing. As of May 2015, the brand had 42 straight months of year-over-year growth in the US and had record sales in the country last year. The company has already decided to significantly boost production capacity at its Indiana factory in hopes of keeping the good times rolling.

BTW: Subaru's SHARC won the 2012 Design Challenge

Part of the festivities that encompass the LA Auto Show is the annual LA Design Challenge. This year's winner was the Subaru Highway Automated Response Concept, or SHARC. It envisioned automated, zero-emission highway patrolling.
The 2012 edition of the challenge was to envision the future of highway patrol in the year 2025. The goal was to conceptualize a vehicle that would account for the needs of "dynamic urban environments." In addition to Subaru's participation in the contest BMW, General Motors, Honda and Mercedes-Benz, all took part in the challenge.
The SHARC is essentially a law enforcement land-drone. It is entirely automated and runs on renewable energy. Subaru envisioned a future where the Hawaiian Islands are connected to each other by a large highway system. Such an expansive area would require considerable manpower to patrol. The concept of an autonomous patrol vehicle would eliminate the need for a good number of full-time personnel.

Subaru prices 2015 XV Crosstrek from $21,595*

Less than a month ago, Subaru announced a series of minor revisions for its ruggedized Impreza, the XV Crosstrek. And now it's revealed US pricing for that updated model. For 2015, Subaru has introduced a new entry-level model, the XV Crosstrek 2.0i, that starts at $21,595 (*plus an $850 destination charge). That's $400 less than it used to charge for what was the base 2.0i Premium, which has grown $300 more expensive but includes a new multimedia system. (The destination charge has also increased by $25.) Go for the CVT instead of the five-speed manual that comes standard and you'll be looking at $23,295 for the Premium model, and step up to the top-of-the-line Limited trim (which comes with the CVT) and you'll shell out $24,795 – again, those prices not including delivery. The hybrid version holds the same pricing as the previous model year at $25,995 or $29,295, depending on trim (plus the new $850 destination charge). The EyeSight system that earned its place on our Technology of the Year shortlist, bundled with the multimedia system, adds another $1,295, the moonroof another $1,000, but if you tick all the options (moonroof, nav, keyless entry, push-button start and EyeSight) it all comes bundled at $2,795. Certain trim levels encompass some of those options though, so prospective buyers will want to thumb through the full press release below. SUBARU ANNOUNCES PRICING ON 2015 XV CROSSTREK® MODELS - Well- equipped XV Crosstrek begins at $21,595 - Subaru-developed driver assist technology, EyeSight® now available - XV Crosstrek Hybrid pricing holds the line at $25,995 - New multimedia systems with rear vision camera standard Cherry Hill, N.J. - Subaru of America, Inc., which has posted record-breaking sales every year for the past six years, today announced pricing on the enhanced 2015 XV Crosstrek models. The 2015 XV Crosstrek models will arrive into retailers in December. Pricing on the newly added XV Crosstrek 2.0i begins at $21,595. With just a $300 increase over previous year, the new Premium and Limited trim levels feature the updated Subaru STARLINK Multimedia system. The XV Crosstrek Hybrid pricing remains at $25,995. The versatile, fun-to-drive XV Crosstrek combines bold five-door design, a highly capable chassis, best-in-class fuel economy and updated multimedia features. Standard Symmetrical All-Wheel Drive, 8.7-inches of ground clearance, 17-inch alloy wheels and ample room make Subaru XV Crosstrek a high-capability crossover.