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Daimler and Volvo could jointly develop internal combustion engines

BERLIN — Luxury German carmaker Daimler and Volvo, owned by China's Geely, are considering cooperating to cut the costs of developing combustion engines, a magazine reported on Sunday, citing unnamed company sources. The Automobilwoche weekly cited a Volvo manager as saying there were initial talks with Daimler, but no concrete plans, while a company spokesman said it was too early to talk about firm projects, although it was not excluding anybody. A Daimler spokesman said the company's cooperation with Geely, which owns a 10% stake in the German carmaker, was developing in a positive way, but declined to comment further. Global tariffs, accelerated by a trade war between China and the United States, as well as higher investment requirements for electric and autonomous vehicles, are forcing carmakers to seek new ways to cut and share costs. In October, Volvo said it would merge its engine development and manufacturing assets with those of Geely, creating a division to supply in-house brands and also potentially others with next-generation combustion and hybrid engines. Automobilwoche said this new division would start operating by the end of March, which could be a possible starting point for cooperation with Daimler, while a further step could be a partnership to develop electric power trains. Geely and Daimler have said they plan to build the next generation of Smart electric cars in China through a joint venture and the two companies are also cooperating on a premium ride-hailing service in China. Geely bought Volvo Cars in 2010 from Ford, allowing the Swedish brand to operate on an arms-length basis. But in recent years, it has deepened cooperation between the two brands. Volvo already supplies engines to some Geely-branded vehicles, sharing technology through Geely's Lynk brand. Both companies share and develop common vehicle platforms. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Mercedes rules out hybrid supercar, promises SLS successor

The recent Geneva Motor Show was a festival of hypercars, with the presence of not one, but three over-the-top debuts: the Lamborghini Veneno, McLaren P1 and Ferrari LeFerrari. The latter two have hitched their carbon fiber bumpers to the electrification bandwagon by using hybrid-electric powertrains not entirely unlike the propulsion systems we've come to know in cars like the Toyota Prius and Chevrolet Volt. Does that mean the flow of electrons up the four-wheeled food chain will eventually consume our hallowed supercars? Not if AMG has anything to say about it.
AMG Director of Vehicle Development Tobias Moers recently confirmed that not only will there be a successor to the Mercedes-Benz performance division's SLS AMG, he notes that its internal combustion engine will most definitely not be sharing living quarters with an electric drivetrain. Instead, AMG plans to focus on further pushing the power and efficiency envelope of the internal combustion engine and advancing the use of lightweight materials to achieve their goals. The first example of this effort can be seen in the new SLS AMG Black Series that incorporates many weight-saving techniques to shed some 154 pounds from the SLS AMG GT (above), which itself is lighter than the standard SLS AMG.
Furthermore, Moers remarks that his company is happy to leave the hypercar segment to companies like Ferrari and McLaren. He admits that, "Ferrari in the hyper-car segment is still a different brand than AMG. We have to be honest..." So rather than taking the SLS further upmarket to do battle with bulls and stallions, Moers hinted that the next-generation SLS may be joined by another performance model that fits neatly between itself and the C63 AMG.

Mercedes chief invites Audi, BMW to compete in F1

Mercedes-Benz didn't just win the Formula One World Championship in 2014 – it positively dominated it. The team won all but three of the grands prix this season, scoring a one-two finish at more than half of them and landing at least one car on the podium at every race without exception. It goes without saying, then, that the German automaker thrives on competition, but now it's welcoming even more. Speaking with Germany's Sport Bild at its homecoming celebration in Stuttgart, Daimler chief Dieter Zetsche welcomed Mercedes' biggest rivals Audi and BMW to join it on the F1 grid. Noting that the three German brands share some 80 percent of the market for luxury automobiles, Zetsche said that F1 would make a natural arena of competition for Mercedes, Audi and BMW to fight for top bragging rights. The three currently compete against each other in front of home audiences in the DTM touring car series – effectively Germany's equivalent to NASCAR – but of the ten races held this year, the majority were in Germany itself, and all of them took place in Europe. BMW last competed in F1 when it bought the Sauber team in 2006, but withdrew from the series in 2009. Despite its progenitor Auto Union having fielded the famous Silver Arrows in pre-war grand prix racing, Audi has never been a player in modern F1 racing, though recent rumors have linked it to a potential foray – spurred by the arrival of sister-company Porsche on its home turf at Le Mans, the departure of several of its key endurance drivers and the hiring of former Scuderia Ferrari chief Stefano Domenicali. Porsche had similarly considered an F1 program before getting the go-ahead to compete with Audi at Le Mans. As for the prospect of Mercedes competing in other international racing series, Zetsche added that year-long preparations for 24 hours of racing at Le Mans didn't present a good cost-benefit ratio in his estimation, but that Formula E (where Audi currently supports a quasi-works entry) would be worth a closer look.