1988 Cadillac Seville on 2040-cars

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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.

What will the next Presidential limo look like?

With recent news that the Secret Service has begun soliciting proposals for a new armored limousine, we've been wondering what the next presidential limo might look like. The current machine, nicknamed "The Beast", has a design based on a car that's no longer sold: the Cadillac DTS. If General Motors gets the job again, which wouldn't be a surprise considering the government still owns a chunk of the company, the next limo's shape would likely resemble the new XTS (below, left). But Cadillac hasn't always been the go-to car company for presidential whips.
Lincoln has actually provided far more presidential limousines throughout history than Cadillac. In fact, the first car modified for Commander-in-Chief-carrying duty was a 1939 Lincoln K-Series called "Sunshine Special" used by Franklin D. Roosevelt, and the last Lincoln used by a president was a 1989 Town Car ordered for George H.W. Bush. If President Obama wanted a Lincoln today, it would likely be an amalgam of the MKS sedan and MKT crossover, as illustrated above.
And what about Chrysler? The only record we could find of a President favoring the Pentastar is Nixon, who reportedly ordered two limos from the company during his administration in the '70s, and then another one, known today as the "K-Car limo," in the '80s after he left office. Obama, however, has a personal - if modest - connection to Chryslers, having owned a 300 himself before he took office. A 300-based Beast (above, right) would certainly earn the U.S. some style points.

GM extending warranties on Cadillac CTS-V and Chevy Camaro ZL1 for supercharger issue

Okay General Motors, we've sat by and watched you recall the compact cars, crossovers and pickup trucks, and aside from reporting on it, we've been fairly quiet. This, though, this will not do. We can almost tolerate the recalls on the bread-and-butter cars, but leave the performance vehicles alone.
According to a report from The Car Connection, GM has discovered a problem with the superchargers of the 6.2-liter V8s found in the Chevrolet Camaro ZL1 and the Cadillac CTS-V. Apparently, the issue rests around the internal bearing shaft grease, which can become contaminated (we aren't sure with what). If left unchecked, it'll first lead to a rattle at idle, which goes away under slight throttle. The real warning stage is when a high-pitched squeal develops, signaling that the bearing shaft has failed. Naturally, severe engine damage is the next step (although it's possible that the engine will also just refuse to turnover, although neither case is desirable).
According to TCC, GM will replace the superchargers on vehicles that have exhibited symptoms of bearing shaft failure free of charge. It will also, allegedly, be extending the warranty on all supercharged ZL1s and CTS-Vs to 10 years or 120,000 miles (whichever comes first), from the date of purchase. Officially, only 2009 to 2013 CTS-Vs and 2012 to 2013 ZL1s are suffering from this issue.