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Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.

Cadillac ELR next EV to get Plugless Power wireless charging tech

Evatran has been testing its Plugless Power wireless charging systems for electric vehicles in the Chevy Volt and Nissan Leaf for years now and made the tech commercially available early this year. With the growth of the EV market, Evatran is getting ready to expand as well. The company announced today that it will add three premium EVs to the Plugless Power system by the end of the year, with the first (and so far only) named model being the Cadillac ELR. We expect it was not difficult for Evatran to adapt the Plugless Power system to the ELR, since the vehicle's powertrain is so similar to the one in the Volt. The main problem we see is that Cadillac has only sold 390 ELRs (as of the end of June), so this first Plugless Power expansion isn't exactly going to ignite sales, even if every ELR owner opts for the cool tech. If one of the next two announcement is for the Tesla Model S, though, then you're talking numbers. Speaking of the future, what models do you think will be next? The Plugless Power L2 wireless systems were recently declared safe by the Intertek and start at $2,470, not including installation or government incentives. All the online/smartphone connectivity features that work with the car when it's got a cord stuck in it work with the L2 system, Evatran says. Orders start today, and the ELR package will be available September 1. There's more, including a local news report on the technology, below. WSLS 10 NBC in Roanoke/Lynchburg Va Wireless Vehicle Charging available to Cadillac ELR owners starting September 1st The Cadillac ELR Joins the Growing List of Compatible Electric Vehicle ("EV") Models from Evatran, the World Leader in High-Power Wireless Charging RICHMOND, VA July 28, 2014 – In an exciting statement today, Evatran Group, Inc. ("Evatran"), announced that its PLUGLESS wireless charging technology would soon be available on the Cadillac ELR. Evatran, the first Company in the world to make wireless charging available to individual EV drivers, currently has systems that are compatible with the Nissan LEAF and Chevrolet Volt. The Cadillac ELR is the first model to be announced in what is intended to be three new premium model announcements by the end of 2014. Evatran will begin accepting advanced orders today for deliveries as soon as September 1st. "The launch of the Cadillac ELR system is an important milestone for us," commented Rebecca Hough, Evatran CEO and Co-Founder.

Infiniti Q50 Red Sport 400 priced at $48,855, AWD at $50,855

Infiniti's most powerful production model, the new Q50 Red Sport 400, now has a starting price. You'll need at least $48,855 for the rear-drive model or $50,855 for all-wheel drive. (Both figures include the $905 destination charge.) A fully loaded, rear-drive Q50 RS400 with Direct Adaptive Steering, navigation, adaptive cruise control, a heated steering wheel, and Infiniti's entire alphabet soup of safety equipment, tops out at $57,045. (Again, add $2,000 for AWD). When it comes to rear-drive competition, the closest base price to the Q50 is the 320-hp BMW 340i. This German undercuts the Infiniti by two grand, $46,795 to $48,855. But the BMW outprices the Q50 as soon as you start selecting options. A 340i with similar equipment to a loaded Q50 Red Sport 400 costs just under $60,000. All-wheel-drive German competitors also lose out in the price war. Like with the rear-drive models, the BMW 340i xDrive undercuts the Q50 RS400 by around $2,000. Add the options, and the Infiniti becomes a better value. The other two big German rivals, the Audi S4 and Mercedes-Benz C450 AMG start at a higher price and only get more expensive. Technically the S4 starts cheaper than the Q50, but only with the standard manual transmission. Selecting the S-Tronic dual-clutch model kicks the price from $50,125 to $51,125, and going for the top-end Prestige trim will bump potential Audi owners up to $57,025. Throw on must-have S4 options, including adaptive cruise control, adaptive dampers, and a sport differential and you'll be shell out $64,425 for the Audi. The Mercedes-Benz C450 AMG is the priciest choice in this group, starting at $51,725, or roughly $900 more than a base Q50 RS400 with AWD. Options, again, are the downfall here. Building a C450 to match a loaded Infiniti will drive the Mercedes' price up to $64,315. While it occupies something of a weird space relative to these vehicles, it's also worth mentioning the Cadillac CTS VSport. It's the only car in this impromptu pricing comparo that can outgun the Q50, with its 3.6-liter, twin-turbo V6 good for 420 hp and 430 lb-ft of torque. It also starts at $60,950, although that includes plenty of standard equipment. All this means that the Q50 Red Sport 400 represents a relative value. It packs more power than the Germans – 80 more than the 340i, 67 more than the S4, and 38 more than the C450 – and a more comprehensive list of options, too.