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Hyundai and Kia settle lawsuit over hybrid technology

Hyundai and Kia will end Paice's patent infringement lawsuit by signing a licensing agreement to use the firm's hybrid technology for their vehicles, according to Bloomberg. A statement by Paice says that this new contract ends any legal disputes between the companies, but doesn't disclose the cost of the settlement. A Hyundai spokesperson declined to comment about the case's resolution to Autoblog. Paice and the Abell Foundation, an investor, brought the case against Hyundai and Kia in 2012 over the tech in the Sonata and Optima Hybrids, and the court sided in the patent holder's favor in October 2015. The jury ordered the automakers to pay at least $28.9 million, but the judge could have tripled that amount because the infringement was allegedly intentional. Hyundai pledged to appeal the ruling. Paice's patents come from the work of Alex Severinsky and cover ways to make engines and electric motors work together. The company has a history of defending its tech, including settlements with Toyota and Ford. It also filed another case against the Blue Oval in 2014 over the hybrid or plug-in systems in the C-Max, Fusion, and Lincoln MKZ. Hyundai and Kia sign licensing agreement with Paice Paice, a pioneer in hybrid electric vehicle technology, has reached an agreement to license all of its hybrid vehicle technology to Hyundai Motor Co. and Kia Motors Corp. Paice has now licensed all or part of its hybrid vehicle technology portfolio to Toyota, Hyundai/Kia, and Ford – three of the world's six largest automakers. These three companies currently account for 90% of all hybrid vehicle sales in the United States. "We are gratified to reach a licensing agreement with Hyundai and Kia, who are among the undisputed leaders in the hybrid industry. This agreement further validates the importance of our technology, and we hope to reach additional agreements with other major automakers," said Frances Keenan, chairman of the Paice Board of Directors. The confidential licensing agreement with Hyundai and Kia brings an end to all litigation between the companies. Paice and the Abell Foundation, a Baltimore-based non-profit organization that invested in Paice, filed a patent infringement lawsuit against Hyundai and Kia in U.S. District Court in 2012. After an eight-day jury trial earlier this year, the jury sided with Paice and Abell, awarding $28,915,600. Hyundai and Kia currently rank third in U.S. hybrid car sales.

Frankfurt Motor Show Notes: Why Jaguar decided to build an SUV

It was inevitable. Jaguar had to make an SUV, and that notion became reality this week with the debut of the F-Pace, an all-wheel-drive five-seater that will launch in the United States next spring. Some purists may cringe. But in an era when Porsche, Bentley, Lamborghini, Rolls-Royce, Aston Martin, and other traditional luxury brands are all building or (planning to build) SUVs, Jaguar had to evolve. While it seems like a leap for Jaguar to make an SUV, longtime design director Ian Callum said it's been in the works for years. "The first time I was asked the question was when I arrived 16 years ago," he said. So in 1999 (and probably well before that), Jaguar was already thinking SUV. What took so long? "It wasn't a priority," Callum said. Jaguar was concentrating on fixing its existing lineup, which was pockmarked with holes and poorly selling products, like the X-Type. Along the way, Jaguar and sister brand Land Rover were sold by Ford to Indian conglomerate Tata Motors. Flash forward several years, and Jaguar and Land Rover are both experiencing a resurgence in the United States and around the world. Jaguar's lineup is flush with the E-Type's modern successor, the F-Type, plus a new version of the XF. The XJ received a 2016 freshening, and the smaller XE sedan is on the way. Jaguar put its house in order as other factors conspired to make a crossover timely. Fuel prices stayed relatively low, and consumers in the US and China remained steadfast in their love for utility vehicles of all stripes. Making a Jaguar SUV became a priority. "The world was telling us in no uncertain terms this is what they wanted," Callum said. "Not to be in the sector would be a little naive for the sake of purity." Jaguar proved its intent two years ago when it revealed the C-X17 crossover concept at Frankfurt, and the final production model is close to the prototype's striking looks. "I thought we managed to maintain that spirit," Callum said. It's a true Jaguar, with cues from the F-Type, 1968 XJ, and other famous models. Who would have thought Jaguar would make an SUV? "I certainly didn't," Callum admitted. But the F-Pace is here. If Callum is okay with it, purists can be, too. Quick Hits Opel retrenches for 2016 and beyond Opel used the Frankfurt show to display its new generation of the Astra, a critical vehicle line for the German division of General Motors.

Hyundai, Kia ratchet up fleet sales as retail transactions slide

Automotive News reports both Hyundai and Kia have stepped up fleet sales in an attempt to offset disappointing first quarter results. The Korean automakers saw their sales decline by nine percent compared to last year, while all major competitors managed to increase their sales. That situation marks an inversion of two years ago, when both gained ground after Japanese rivals suffered production and inventory shortages after the country's earthquake and tsunami tragedies.
Now, Hyundai can't come up with enough volume models in popular trim configurations to satisfy buyers, and lower-volume models are also in a snag. At the moment, Hyundai can only build 20-30 percent of Veloster hatchbacks with turbocharged engines while the US market would apparently support closer to 70 percent.
In order to reverse the sales slide, Hyundai and Kia have stepped up fleet sales of the vehicles they do have by some 50 percent, ringing up a total of 42,400 units in the first quarter. By contrast, Automotive News reports the seven largest automakers increased retail volume by seven percent and fleet sales by four percent as a group.