+++ BMW will ramp up the inherently sporting qualities of the next 3 Series in a bid to extend the depth and overall reach of its best-selling range of cars. The first variant will be the rear-wheel-drive M340i M Performance which will feature a 360 hp version of BMW’s twin-scroll turbocharged 3.0-litre inline 6 cylinder petrol engine. It will be followed by a four-wheel-drive M340d xDrive M Performance, which is set to receive a 320 hp version of the company’s twin-turbocharged 3.0-litre inline 6 cylinder diesel engine. Key to the expansion plan for the 7th-generation 3 Series (set to arrive next year) is the addition of 2 new M Performance models powered by 6 cylinder engines. In a strategy mirroring that undertaken with the latest 5 Series, the new M Performance variants will go on sale shortly after more mainstream versions of the new 3 Series are launched in both sedan and Touring body styles. The new derivatives will be offered as either a petrol or a diesel and will bridge the gap in the line-up that presently exists between standard 6 cylinder models and BMW M’s range-topping M3. The new performance orientated 3 Series models will be targeted at the likes of the Audi S4 and Mercedes-AMG C 43. They will have individual styling touches, their own unique chassis tuning and relatively high equipment levels. They will also form the basis for the 2-door M440i M Performance Coupé and M440d M Performance Coupé models, which will arrive in showrooms in 2020. Significantly, the decision to launch the M340d xDrive M Performance model underpins plans by BMW to continue to equip the 3 Series with a full range of 3, 4 and 6 cylinder diesel engines, despite increasingly tight emissions legislation across Europe, including the spectre of regional bans on diesel cars from entering city centres. “The diesel is a critical component in our efforts to reach the 2020 climate targets”, said BMW chairman Harald Krüger. “It is very important in improving the overall efficiency of our future models”. +++
+++ Bob LUTZ , outspoken automotive industry veteran and former vice chairman of General Motors, claimed that Tesla would be going out of business last November. That stirred up some controversy. Now, Lutz has returned to the limelight by stating that collectors should purchase a Tesla Model S before the electric automaker goes bust. Lutz passed on a piece of advice to an audience full of vintage-car collectors in Scottsdale, Arizona: purchase a Model S “while they’re still available”. Lutz has never been one to hold back and usually tells it like it is, so you might want to heed his advice. Lutz apparently is a massive fan of the electric sedan. “A Model S, especially with the performance upgrades, is one of the fastest, best handling, best braking sedans that you could buy in the world today”, he said at a forum. “The acceleration times will beat any $350,000 European exotic”. When it comes to Elon Musk, however, Lutz believes that Tesla’s CEO “hasn’t figured out the revenues have to be greater than costs; when you are perennially running out of cash you are just not running a good automobile company”. Lutz does have a point there, as the EV company was reportedly going through roughly $480,000 every hour last November. Unfortunately, Lutz doesn’t see anything changing in Tesla’s future when it comes to fund, although he did say that he is “semi-serious” about suggesting collector’s purchasing a Model S. One way for Tesla to prove Lutz wrong is to make sure that the Model 3 is a hit, which would involve fixing the electric sedan’s issues and start rolling them out in serious numbers. +++
+++ The all-new MERCEDES A-Class Sedan is almost ready, and we expect to see it at an auto show in the coming months. Following its public debut, the brand’s rival to the BMW 1-Series Sedan and Audi A3 Sedan will arrive at dealers in select markets in August, and it will be followed in 2019 by the sleeker CLA. Previewed by the Concept A Sedan in 2016, the compact 4-door sports a toned-down styling. The 2019 Mercedes-Benz A-Class Sedan will be available with a multitude engines, just like its hatchback sibling, and other derivatives. The list is said to include the Renault-Daimler developed 1.3-liter mill. As for the oil burners, while the 5-door A-Class will likely use the 1.5-liter dCi diesel made by Renault, the Sedan is said to get only 2.0-liter four-cylinder units. The powertrain family might include a 48V PHEV model as well, pairing a petrolengine with a 9-speed automatic gearbox and offering a zero-emission range of 50 km. Mercedes-AMG will, at at some point, launch an AMG A45 Sedan variant that will challenge the likes of the 4-door Audi RS3, using the same 2.0-liter turbo engine of the next-generation A45 hot hatch. +++
+++ MINI believes its first series production electric model marks a pivotal point in its history because it directly links to the core values for which Mini was created. Brand boss Sebastian Mackensen said he believes the Mini Electric is the car that Alec Issigonis, who was responsible for the original Mini, would have created had he been alive today. “We always joke and say if Issigonis would invent the Mini today, it would definitely be an electric car”, said Mackensen. “It is the answer to current challenges, as the original Mini was in 1959”. Mackensen has confidently predicted that the EV Mini will actually handle more like the original Mini philosophy had intended due to its lower centre of gravity. “We always talk about go-kart feeling and probably the electric Mini will bring that to another level”, he said. “The torque and the responsiveness, combined with the low centre of weight; it will stick to the ground even more than the combustion-engined car”. Although the car’s range is not yet confirmed, the latest i3 of Mini parent BMW offers clues about what’s possible using the group’s electric technology. The i3 uses a synchronous electric motor delivering up to 184 hp and 280 Nm while offering up to 300 kilometers of range, according to NEDC tests. Mini is undecided whether other variants of the electric hatchback, which will be based on the 3-door body shape, will be launched in the first generation. Consistency across the brand’s line-up suggests a Cooper model could follow, but Mackensen said finding the balance between performance and range was the first priority. He suggested the design of the Mini Electric will be toned down from the concept because “Mini doesn’t need to make a big statement saying we want to be cool and electric any more”. Instead, the final production car’s design will mix the updated look of the 2018 Mini models with aerodynamic features of the concept. These include veins that channel air around the body and a grille-less nose, as well as an air extractor slot behind the front wheel; similar to the one featured on the BMW 8 Series concept. The electric Mini concept also has a more heavily sculpted bodyside and a neat intake with a tiny spoiler in front of the rear wheel. Mini exterior design boss Christopher Weil referred to this as the “efficiency layer” at the concept’s reveal last year. He said: “The way you manage airflow is specific for every individual car, but the main aerodynamic principles are the same. It’s very good for the drag coefficient when you have an opening behind the wheels so that the air can flow out, rather than just creating turbulence inside the wheel wells”. He admitted that the unusual asymmetric wheel design is heavily influenced by 1980s car design. Mackensen suggested several of these features could remain on the final car, but that “it will be a car that clearly shows it’s part of the latest Mini hatch family”. He described the finished product as a “fusion” that “will definitely be recognisable as being the electric Mini, but it will not be the concept entirely”. Mini Electric production will be handled at the brand’s Oxford plant in 2019, 11 years after the Mini E was launched. Although the first electric Mini was limited to 600 examples, the future model will be produced with no cap on total numbers. +++
+++ The next-generation NISSAN Juke set for 2018 launch with greener engines, a hybrid version, upgraded tech and an brand new platform. The original Nissan Juke has been a huge success story for the brand, and arguably started a niche that has evolved into recent flood of SUVs. The supermini-SUV class has come a long way since the trend began, but since then the Juke has under pressure from cars like the Peugeot 2008 and the Renault Captur, and even premium cars like the Audi Q2 have muscled in on the action. The next-generation Nissan Juke is set to arrive soon, improving on the current car’s formula in as many ways as possible, so that it can take the fight to the slew of new rivals that have sprung up lately. The biggest news comes from beneath the skin, as the new Juke will move to an all-new platform. Until now, it’s been using the aging B0 chassis derived from the Renault-Nissan Alliance; a chassis that can be traced right back to the 2002 Nissan Micra. That platform is thought to be both slow to produce and expensive compared with modern standards, hence the desire for change. The all-new Nissan Juke (set to be revealed in October 2018 at the Paris Autoshow) will switch to the Alliance’s Common Module Family CMF-B platform, like the all-new Nissan Micra. Well placed sources within Nissan point out that the car still sells over 100,000 examples a year globally. Nissan’s chief creative officer Shiro Nakamura has revealed the next generation will remain “edgy and less mainstream”, but acknowledged that it would still be recognisable as a Juke. That means the styling will retain key Juke cues, such as the high-mounted headlights and distinct wheelarch blisters. But it will also incorporate Nissan’s new ‘face’, as seen on the latest Qashqai. Plus, there’ll be a slightly longer wheelbase, as Nissan aims to address one of the main criticisms of the current car: rear legroom. The Juke’s cabin is set for a major overhaul, as Nissan looks to improve perceived quality with a range of soft-touch plastics and higher-grade fabrics and materials. The overall design is likely to take its lead from the next Micra, which will have a more comprehensive central infotainment display across the range, complete with smartphone connectivity supporting both Apple CarPlay and Android Auto. However, the Juke’s cabin will also get a wider range of personalisation options, including different colours and finishes on the facia highlights. The move to CMF-B will open the Juke up to a new range of engines, including 1.0-litre 3-cylinder and 1.3-litre 4-cylinder turbo petrols. A 1.5-litre diesel will continue to be offered. Nissan sources have also hinted that the next Juke could also get a hybrid variant, using a range-extender powertrain that debuted on the sporty Gripz concept at the 2016 September Frankfurt Motor Show. When asked if the next Juke would feature some form of electrification, Nakamura told us: “It is very tough to meet our emissions requirements without hybrid. It is almost mandatory”. European versions of the next Juke will continue to be built at Nissan’s plant in Sunderland. +++
+++ It is the Elon Musk of corporate pay deals, a cocksure, all-or-nothing moonshot into history. Little wonder, then, that it is for none other than Elon Musk. TESLA granted the billionaire founder a $2.6 billion award, the largest-ever of its kind, underscoring the company’s outsize ambitions and how intimately connected its future success is to Musk. If fully vested over a decade, stock options would net him as much as $55.8 billion. Along the way, nothing would be guaranteed; zero salary or cash bonuses. The audacious award outlines a plan for Tesla to become one of the world’s biggest companies, which would make Musk perhaps the richest man on the planet in the process, but without as detailed a road map to get there as was provided with his last award. This, too, is very Musk-like: set big-picture, moonshot end goals, particulars be damned. “It’s breathtaking both in size and in terms of performance required to earn it”, Steven Hall, managing director of compensation consulting firm Steven Hall & Partners, said of Musk’s grant. “Like everything Musk is involved in, whether it’s building a company from scratch or launching satellites into space, this is beyond expectation”. The award is a way for Tesla to put to rest questions about Musk’s long-term future with the company, since the award is contingent on him remaining chief executive officer, or executive chairman and chief product officer. The plan laid out in a statement Tuesday leaves open the possibility for the company to “bring in another CEO who would report to Elon”. Morgan Stanley analyst Adam Jonas wrote in a December report that investors widely expect Musk to devote more time to his rocket company Space Exploration Technologies Corp. and said this could lead to a merger with Tesla. Famed investor Jim Chanos, who’s been vocal about shorting Tesla since at least 2016, also said in an interview last month that he expects Musk will leave the company for SpaceX. Musk has also embarked on several other ventures including artificial intelligence researcher OpenAI, brain-machine interface developer Neuralink and tunnel digger Boring Co. While Musk’s 2012 grant was linked to development and production of electric cars, his new package of 20.3 million options is tied solely to financials, raising Tesla’s market value to $650 billion, roughly in line with Amazon.com, and boosting either revenue or adjusted earnings before interest, taxes, depreciation and amortization. The grant vests in 12 increments if both market value hurdles and either one of the financial goals are met. The grant will require shareholder approval at a meeting in March. While Tesla has struggled with manufacturing issues that have raised questions about its ability to mass-produce cars, the company has met the production target of 300,000 vehicles outlined in Musk’s 2012 grant. The one remaining milestone is a gross margin of 30 percent for four consecutive quarters. Tesla’s margin has averaged about 21 percent during the last 4 quarters, according to data compiled by Bloomberg. The opportunity to acquire more shares will also enable Musk to continue to use his Tesla holdings to back personal loans, which he’s done for several years. Musk had 11.5 million shares pledged as collateral as of April 20, a filing shows. Tesla valued the award at $2.6 billion, even after applying a discount to the value because Musk can’t sell any shares for at least 5 years after he exercises his options. The 10-figure award dwarfs other mega-grants offered in recent years, including the $376 million in stock Apple granted to CEO Tim Cook in 2011, and the more than $100 million packages Oracle awarded to three executives in September. If the award fully vests, Musk would own a 28 percent stake in the company worth about $184 billion, vaulting him to the top of the Bloomberg Billionaires Index. Amazon’s Jeff Bezos currently sits atop the index with a $111.5 billion net worth. Musk’s stake in SpaceX constitutes about half of his current net worth of $21.5 billion. “Musk’s goal is not to just electrify Silicon Valley, or CA, or the U.S. He wants to electrify the world”, James Albertine, a Consumer Edge Research analyst, wrote in a report to clients. He said Tesla’s proposed compensation package “goes a long way to accomplishing such a task”. +++
+++ The countdown to the WORLD CAR OF THE YEAR awards continues as the organization has revealed this year’s finalists. In the title category of World Car of the Year, the panel of 82 automotive journalists will choose from 6 crossovers and 4 cars. Candidates include the Alfa Romeo Giulia, BMW X3, Kia Stinger, Land Rover Discovery, Mazda CX-5, Nissan Leaf, Range Rover Velar, Toyota Camry, Volkswagen T-Roc, and Volvo XC60. Another closely watched category is the battle for the World Luxury Car title. This year’s competitors include the Audi A8, BMW 6-Series Gran Turismo, Lexus LS, Porsche Cayenne, and Porsche Panamera. Performance enthusiasts will definitely be interested in the outcome of the World Performance Car competition which pits the BMW M5 against models such as the Alfa Romeo Giulia Quadrifoglio, Audi RS 3 Sedan, Honda Civic Type R, and Lexus LC 500. Electrification has taken over the automotive industry and a number of companies want to take home the World Green Car award. Only 4 models are in contention at this stage and they include the BMW 530e iPerformance, Chevrolet Cruze Diesel, Chrysler Pacifica Hybrid, and the Nissan Leaf. The World Urban Car category isn’t the most exciting, or global really, but it will see the Ford Fiesta battle the Hyundai Kona, Nissan Micra, Suzuki Swift, and Volkswagen Polo. Lastly, the World Car Design of the Year award will go to 1 of 5 models that were selected by a panel of experts such as Gordon Murray. The vehicles include the Citroen C3 Aircross, Lexus LC 500, Range Rover Velar, Renault Alpine A110, and Volvo XC60. The field of finalists will be narrowed down even further at the Geneva Motor Show before the winners are announced at the New York Auto Show on March 28th. +++