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Japan could consolidate to three automakers by 2020

Sergio Marchionne might see his dream of big mergers in the auto industry become a reality, and an analyst thinks Japan is a likely place for consolidation to happen. Takaki Nakanishi from Jefferies Group LLC tells Bloomberg the country's car market could combine to just three or fewer major players by 2020, from seven today. "To have one or two carmakers in a country is not only natural, but also helpful to their competitiveness," Nakanishi told Bloomberg. "Japan has just too many and the resources have been too spread out. It's a natural trend to consolidate and reduce some of the wasted resources." Nakanishi's argument echoes Marchionne's reasons to push for a merger between FCA and General Motors. Automakers spend billions on research and development, but their competitors also invest money to create the same solutions. Consolidating could conceivably put that R&D money into new avenues. "In today's global marketplace, it is increasingly difficult for automakers to compete in lower volume segments like sports cars, hydrogen fuel cells, or electrified vehicles on their own," Ed Kim, vice president of Industry Analysis at AutoPacific, told Autoblog. Even without mergers, these are the areas where Japanese automakers already have partners for development. Kim cited examples like Toyota and Subaru's work on the BRZ and FR-S and its collaboration with BMW on a forthcoming sports car. Honda and GM have also reportedly deepened their cooperation on green car tech. After Toyota's recent buyout of previous partner Daihatsu, Nakanishi agrees with rumors that the automotive giant could next pursue Suzuki. He sees them like a courting couple. "For Suzuki, it's like they're just starting to exchange diaries and have yet to hold hands. When Toyota's starts to hold 5 percent of Suzuki's shares, this will be like finally touching fingertips," Nakanishi told Bloomberg. "I absolutely do believe that we are not finished seeing consolidation in Japan," Kim told Autoblog. Rising development costs to meet tougher emissions regulations make it hard for minor players in the market to remain competitive. "The smaller automakers like Suzuki, Mazda, and Mitsubishi are challenged to make it on their own in the global marketplace. Consolidation for them may be inevitable." Related Video:

This is what a 1,200-hp twin-turbo 4-rotor looks like in a Miata

We've seen the diminutive Mazda MX-5 Miata swallow plenty of big engines, but New Zealand drifting ace "Mad Mike" Whiddett is roaring into where-no-man-has-gone-before territory. Wanting to replace his 515-horsepower "MADBUL" RX-7 and its twin-turbocharged, three-rotor 20B engine, his new ride is an NC-series Miata with four rotors and twin Garrett turbochargers courtesy of Pulse Performance Race Engineering. It is called "RADBUL," and expected power at standard boost is 1,200 hp, but the builders at Pulse Performance think it will get up to 1,500 hp at full boost. And yes, that exhaust exits through the hood. Four-rotor engines are actually popular - builds are detailed on forums like this one from 2007 and this one from 2008, this UK company or this Canadian company will sell you one complete - but they're usually being prepped for an RX-7. Mad Mike's choice of a Miata for this enterprise makes this about as extreme as you can get, short of throwing it into a Mazda R360. You can watch Mad Mike tell the story of the build in the video, and check out the first and second installments about the build on the Red Bull site.

Mazda poaches designer Kevin Rice back from BMW

Kevin Rice left Mazda a baker's dozen years ago, but now he's back.
A graduate of the Transportation Design program at Coventry University (just across town from Jaguar headquarters), Rice worked his way up in the industry working for the likes of Opel and Italdesign Giugiaro before landing a job at Mazda. Between 1995 and 2000, he collaborated on such projects as the RX-8 and the 1999 Neospace concept that previewed the Mazda2 before moving on to BMW, where the new 3 Series and 4 Series were among the last projects he worked on during his 13-year tenure in Munich.
Now back at Mazda, Rice has been named the Japanese automaker's new creative director, charged with further honing the brand's KODO design language from its European headquarters in Oberursel, Germany. We're looking forward to seeing what he and his design team come up with in the coming years.