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Weekly Recap: Marchionne's Manifesto again calls for industry consolidation

Sergio Marchionne isn't taking no for an answer. Despite public rebuffs from General Motors and Ford, the leader of Fiat Chrysler Automobiles continues to push for consolidation within the auto industry. His latest assertion came Wednesday when he said a combination of FCA with another automaker could net savings of $5 billion or more annually. No, this isn't about selling his company, he claimed, it's about cutting costs. Put simply, the auto industry wastes money, Marchionne said during FCA's earnings conference call. Companies invest billions to develop basic components that all cars use, but many consumers don't care how they work or recognize the differences. "About half of this is really relevant in terms of positioning the car in the marketplace," he said. "The other half, in our view, is stuff which is neither visible to the consumer nor is it relevant to the consumer." In 2014, top automakers spent more than $100 million on product development, FCA estimated. Marchionne said consolidation could save up to $1 billion on powertrains alone, noting that almost every automaker offers four- and six-cylinder engines. Not everyone has to make their own, he contended. "The consumer could not give a flying leap whose engines we are using because they are irrelevant to the buying decision." That's pretty provocative for enthusiasts, but less so for average consumers. Still, there are major differences in power and efficiency ratings, even among similar engines. Skeptics could argue consolidation would also weaken competition and reduce choices for car buyers. Marchionne stressed his presentation, curiously entitled Confessions of a Capital Junkie, wouldn't require closing factories or dealerships. It's not his final "big deal" as CEO, intent to sell FCA, or a way to elevate his company up the automotive food chain. He claims he wants to fundamentally change the industry and its habit for burning cash. "The horrible part about this, and the thing that I find most offensive, is that the capital consumption rate is duplicative," he said. "It doesn't deliver real value to the consumer and it is in its purest form, economic waste." Other News & Notes Ford Profits dip in first quarter Ford profits fell $65 million to $924 million in the first quarter, hampered by slight dips in revenue and sales.

Aston Martin Vanquish Carbon Edition is back in black [w/video]

Earlier this year, I spent the weekend with an Aston Martin Vanquish Volante in a particularly interesting shade of green – the same car you see photographed here, for our First Drive. When it was dropped off, I remember just staring at it, taking in all of its lines, the curves, its pronounced hips – all the details. To say the Vanquish is a gorgeous car is a vast understatement. And here at the Paris Motor Show, the already classy range-topping Aston coupe dons an even more gorgeous appearance in the form of the Carbon Edition. Aston Martin has already given similar treatments to its Vantage, DB9 and DBS (the Vanquish's predecessor), and the svelte look can be had on either the coupe or convertible models, available in black or white. The car gets black window surrounds, darker headlight trim, gloss black alloy wheels and a stylish herringbone carbon fiber trim in the cabin to go with the quilted leather upholstery. One thing that's left unchanged with the Carbon Edition is the massive, old-school powerplant underhood: Aston's 6.0-liter naturally aspirated V12 with 568 horsepower and 465 pound-feet of torque. Hitting 60 miles per hour takes just 3.6 seconds, on its way to a top speed of just over 200 mph. Have a look at the Carbon Aston in our live gallery above, and click below for a short video showing the sleek new Vanquish.

Mercedes increases stake in Aston Martin

As part of an increasingly close partnership, Mercedes-Benz parent company Daimler is reportedly preparing to increase its stake in Aston Martin by another one percent, bringing the German automaker's shares in the British company up to five percent.
The rapprochement between the two has been in the works for years now, and is finally beginning to take form. Mercedes-AMG is in the midst of developing a new engine with and for Aston Martin in an apparently similar arrangement to that which it has with Pagani. But that's not the extent of it.
Daimler will also furnish Aston Martin with electrical systems and other components, said to lead up to the eventual sharing of platforms: one to underpin future GTs and another to serve as the basis for a long-mooted Aston Martin crossover, now said to be back on the table and slated to launch in 2017. The prospect of using the partnership to reinvigorate both the Lagonda and Maybach luxury brands, however, has since been taken off the table, with both parties continuing those projects independently.