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Economy-car buyers increasingly get the best deal on technology

One of the great things about technology is – with the exception of Apple products – consumers get more for their money every year. For example, the first 1GB USB drive I bought in 2005 cost me $30. Today you can get 10 for that price, delivered to your door thanks to Amazon. The same goes for car tech. Features such as navigation and Bluetooth started out on high-end vehicles before trickling down to entry-level cars. Same with driver assist features ranging from rearview cameras to forward collision warning with automatic emergency braking — so now it's not only rich people who are protected in car crashes. I've found that this democratization of tech has reached a point where amenities on low-cost cars can be as good — and sometimes even better — than those on vehicles costing tens of thousands of dollars more. While attending a media event for the launch of the all-new 2019 Toyota Corolla Hatchback, I was impressed by the car's cool styling and go-kart performance. Equally noteworthy is the amount of standard tech on the low-cost hot hatch. (Pricing will be announced later this month, but expect it to come in a bit higher that the current Corolla iM's roughly $19,000 base.) Even the base SE CVT trim of the 2019 Corolla Hatchback comes with an 8-inch touchscreen and Toyota's Entune 3.0 infotainment system. Among other features, Entune 3.0 provides Wi-Fi capability, Amazon Alexa connectivity, the Entune App Suite for integration of smartphone apps such as Pandora and Yelp and, for the first time in a Toyota, Apple CarPlay (but no Android Auto). The 2019 Corolla Hatchback is also the first North American vehicle to get the second-generation Toyota Safety Sense (TSS) suite of driver assists that's also standard on the base model. TSS 2.0 includes Toyota's Pre-Collision System (forward collision warning with automatic emergency braking) with new daytime and low-light pedestrian detection and daytime cyclist detection features, lane keeping and lane departure alert with steering assist, auto high beams, adaptive cruise control, and road sign detection. While the 2019 Corolla Hatchback sets a new benchmark in standard tech on a budget-mobile, competing cars aren't far behind. The 2018 Honda Fit LX, for example, includes forward collision warning with automatic emergency braking, lane departure warning and assist and adaptive cruise, while the automaker's Lane Departure Mitigation and Lane Watch camera system is added the two top trims.

Cadillac exec realizes ELR pricing was stupid high

At least one Cadillac exec has finally started to come to terms with something we knew all along: the initial $75,000 price for the ELR plug-in hybrid was way too high. The bad decision in part led to the model selling just over 1,000 units last year. Company marketing boss Uwe Ellinghaus recently gave an interview to Bloomberg where he discussed what went wrong. "The MSRP was, indeed, a mouthful," Ellinghaus said to Bloomberg. "We overestimated that customers would realize our competitors were naked at that price." People balked at the ELR's price from the very start, and dealers were receiving $5,000 at one point just for getting customers to test drive the PHEV. Later, some incentives for buyers were as high as $14,000. Cadillac planners saw a conundrum when it came to the ELR's price. Too low of a figure was thought to bring the model close to the Chevrolet Volt, and $75,000 was also believed to signal Caddy's PHEV as something special. "We just wanted to make this a statement for the brand of how progressive we are," Ellinghaus said to Bloomberg. Cadillac is now working to rehabilitate the ELR's reputation with a host of updates for 2016. Buyers get a 25-percent boost in powertrain output, additional standard features, and the whole package comes with a $9,000 drop in price. The tweaks should help the luxurious PHEV make a better second impression. Related Video:

GM laying off 510 amidst slow Cadillac, small car sales

General Motors is laying off about 510 workers from two factories beginning in January, and it could be months before the automaker needs some of that latent capacity to come back on line. A combination of poor sales and high dealer inventories are prompting the cutbacks, according to Automotive News.
The largest changes come at GM's Lansing Grand River plant, where the Cadillac ATS and CTS are made. An entire shift of about 350 workers is being laid off, but the automaker hopes to find positions for some of them at other nearby factories. The decision leaves just a single shift building vehicles there. According to Automotive News, the move is partially spurred by Johan de Nysschen's plan to make Cadillac a more exclusive brand.
The lost shift will likely return for production of the next-generation Chevrolet Camaro at the plant, according to the report, but GM isn't saying when that will be. A previous announcement from the Canadian Auto Workers union indicated that the Oshawa, Ontario, factory would lose the coupe in late 2015 or early 2016.