+++ BMW ’s M performance car division will give the 7th generation M5 a new hybrid drivetrain that is set to boost its reserves to “over 700 hp” and offer “limited electric drive compatibility”, a source close to the German car maker has confirmed. Due on sale in 2024, the new super-saloon is among a series of M models that will switch from a conventional petrol engine to plug-in hybrid power in a move that will provide it with a hike in power and performance. Details remain scarce just under 2 years out from the new M5’s launch, but Autointernationaal.nl has received information that suggests it will adopt a rear-mounted electric motor among a raft of major engineering changes. The in-house-produced synchronous unit is claimed to operate in combination with a further-developed version of BMW’s twin-turbocharged 4.4-litre V8 engine used by today’s 6th-generation M5 and codenamed the S63. The adoption of the electric motor is set to increase the M5’s reserves by more than 200 hp and up to 300 Nm to somewhere in the region of 800 hp and over 1.000 Nm of torque. As with today’s BMW M5, drive will be channelled through an 8-speed torque-converter automatic gearbox with steering-wheel-mounted shift paddles, while a fully variable xDrive 4-wheeldrive system will bring a distinctive rear-biased apportioning of power in the car’s more performance-focused driving modes. Early installations of the drivetrain in prototype versions of the new M car are said to use a lithium ion battery similar in capacity to the 12.0kWh unit found in the BMW 545e xDrive. Mounted low beneath the rear seat, it operates at 354 Volt and can be charged at up to 11 kW. Whether it will be used for production versions of the next M5 remains to be seen, although suggestions are that BMW M is developing its own performance battery with ultra-rapid discharge properties. The decision to provide the M5 with hybrid power comes after rival Mercedes-AMG launched the GT 63 E-Performance 4Matic+. It uses a twin-turbocharged 4.0-litre V8 engine in combination with a rear-mounted electric motor, developing a combined total of 843 hp and 1.400 Nm. Recent media reports suggested BMW M was planning to equip the next M5 with a pure-electric drivetain. Although this has been ruled out, Autointernationaal.nl can confirm that BMW M is planning its own version of the upcoming i5 EV saloon, which is likely to be called i5 M60. +++
+++ JAGUAR LAND ROVER (JLR) will remain in Tesla’s manufacturer pool for European Union CO2 emissions for 2022, a move that’s likely designed to help the firm avoid paying fines for missing its targets. Under EU rules, car firms are required to achieve increasingly tough average CO2 emissions targets for their car fleets. Any that misses its target faces a heavy fine of €95 per vehicle per g/km. However, the EU does allow car firms to combine their fleets into pools, which it then counts as a single entity when determining average CO2 emissions. That has led to a number of deals with firms set to miss their fleet targets paying manufacturers with low emissions to join a pool. Last year, JLR joined Honda in a pool formed by Tesla, and will again stay part of it this year; a move confirmed on the European Commission website, having been initially reported by industry analyst Matthias Schmidt. With Tesla’s fleet entirely electric and therefore emissions-free, the move will likely help JLR to avoid potential fines for missing its targets. The financial terms of the deal are also unknown. Schmidt reported that JLR’s only pure-electric vehicle, the Jaguar I-Pace, is struggling to meet its derogated target of 131.8 g/km. Land Rover’s first EV will launch in 2024. It is possible that the impact of the global semiconductor shortage on JLR’s production and sales mix could have impacted any aim to hit targets. JLR wouldn’t be the first firm to pay substantial sums of money to Tesla for help in hitting emissions targets. As well as Honda, Fiat Chrysler Automobiles was part of Tesla’s EU pool until the first half of 2021, while the EV firm has done similar deals with firms in the US. In 2018, Tesla made €180 million by selling such credits to rivals. Other car firms have also benefitted from similar deals. Ford had to forge a deal with Volvo in 2020 to create a pool to avoid EU fines after delays in production of the Kuga PHEV, while last year’s Volkswagen Group’s pool includes MG and its Chinese parent firm SAIC. +++
+++ JEEP is planning on using technology from parent group Stellantis to fast-track its electrification process. The Compass is just one of its current cars that will make use of a new all-electric platform, with it becoming the next car to join Jeep’s EV lineup. The line-up in question will be 4-strong by 2025 as Jeep has previously claimed. The new Avenger will be the smallest offering, utilising the STLA Small architecture. Above that we will see the Recon: a hardcore off-roader, inspired by the Wrangler, featuring a removable screen, roof and doors. The flagship EV for Jeep in Europe will be the Wagoneer S, with luxury levels beyond those of the current Grand Cherokee and, of course, EV refinement. I expect the Compass to be the 4th model, given that the STLA Small, the platform earmarked for the next Renegade, is scheduled to be the last of the set-ups to arrive, in 2026; beyond the date by when the 4-car line-up should be in place. The Compass will use Medium, which is expected to become available by the end of 2023, with ranges of up to 640 km. All of the STLA underpinnings will be able to offer 4-wheeldrive (a key selling point for Jeep) and will be able to tap into a range of electric-motor specs with total outputs ranging from 170 hp to 245 hp. Senior Jeep sources have suggested that the Avenger’s arrival will allow both the Renegade and Compass to grow in size. The Compass should continue to offer a more contemporary, restrained look compared to the boxy, retro shape of the Renegade. The growth will be particularly significant for the Compass, which will assume the full-size family SUV role within Jeep’s electric plan. Both the Renegade and Compass will continue to be sold globally, unlike the Avenger, which won’t be offered in many regions outside of Europe, and is not planned for the United States. +++
+++ The new Mercedes EQS SUV might be one of the most premium electric cars you can buy (or it will be once it goes on sale in November), but MAYBACH is aiming to take things to the next level. The Mercedes-Maybach department is working on its take of the EQS SUV: Mercedes’ flagship electric SUV. Last year’s concept previewed plenty of design details that could make their way over to the production model and now we have a better idea what to expect having seen it in the metal. Just like the upcoming facelifted model of the Mercedes-Maybach GLS (the EQS SUV’s internal-combustion-engined alternative), I don’t expect to see any major changes to the body. The test car I spied looks almost production-ready, undergoing towing capacity tests in the Alps. Judging by the front of this test car, we can expect to see a new grille shape and front bumper, with a revised headlight design with large lower air intakes. The concept featured a Mercedes bonnet emblem, rather than Maybach’s logo, plus it didn’t had the large 3-pointed star at the front. This new design choice has already been seen on the current Maybach S-Class. The wheels of this development car are modest given Maybach’s history. The concept featured 24 inch rims and, given the standard EQS SUV has 21 inch wheels, there’s scope for the Maybach to have even larger versions. Mercedes says the side steps actually help with aerodynamic efficiency, so they’ll likely feature on the finished product. The metalwork at the rear is almost entirely covered. Even so, you can expect to see a Maybach logo on the rear pillar and for the car to get prettier rear lights. The test car features a panoramic roof, which isn’t a surprise given Maybach tends to throw every Mercedes option available at its cars. Underneath the Maybach will be the EVA II architecture that underpins all EQE and EQS models. It gets a 107.8 kWh battery (for a range of around 600 km) and 2 electric motors producing 545 hp and 858 Nm of torque. That’s enough to get it from 0-100 kph in 4.5 seconds. The EQS SUV goes on sale in November 2022, while the posh Maybach variant will likely follow a few months later. Mercedes debuted its Maybach concept at the Munich Motor Show in 2021. The Concept Mercedes-Maybach EQS was meant to showcase the EQS SUV’s design, along with the extra-luxurious and sustainable treatments that will feature on its Maybach derivative. The exterior features an enormous flush front grille, ultra-slim headlights and a specific Maybach two-tone colour scheme in black and red metallic paints.Other bespoke features for the luxury sub-brand include chrome pin-striping, vast 24-inch alloy wheels and detailing on the running boards at the base of the sills, along with sensors in the driver’s door that will open it automatically as the driver approaches. The rear doors can also be opened remotely. It’s not known if these feature will reach the production car. Inside, the concept offered several features taken from the latest S-Class, including a pair of ‘first-class suite’ seats in the rear, along with a high-end entertainment system and a ‘vase insert’ in the central tunnel. The layout incorporates a storage area that can accommodate folding tables, a box of champagne glasses or a refrigeration unit. Mercedes says that the extra seat height permitted by the SUV body allows larger calf rests on the seats than on the conventional limousine. Up front, there’s an enormous MBUX Hyperscreen, complete with Maybach-specific graphics, that extends almost the entire width of the dashboard. It incorporates a 12.3-inch OLED screen for the front passenger, giving them their own display and control area. The system uses eye tracking technology to comply with rules on screen use; if it detects the driver is looking at the passenger’s display, it dims certain types of content that would be prohibited. +++
+++ MERCEDES-BENZ has become the latest carmaker to exit the Russian market following Moscow’s invasion of Ukraine in February. The firm stopped building cars in Russia in March, and it announced plans to sell its remaining Russian assets to a local investor. “Mercedes-Benz intends to withdraw from the Russian market and to sell the shares in its subsidiaries to a local investor. The completion of the transaction is subject to all relevant authorities’ approvals. Mercedes-Benz has already suspended the export of passenger cars and vans to Russia as well as the local manufacturing in Russia at the beginning of the year”, a company spokesperson told. Russian dealer chain Avtodom will purchase Mercedes-Benz’s shares in local subsidiaries. The group plans to find partners to keep production facilities in the Esipovo industrial plant on the outskirts of Moscow running. “The main priorities in agreeing to the terms of the transaction were to maximize the fulfillment of obligations to clients from Russia, both in terms of after-sales services and financial services, as well as preserving the jobs of employees at the Russian divisions of the company”, explained Natalia Koroleva, the CEO of Mercedes-Benz’s Russian operation, in a statement. Speaking during a conference call, Mercedes-Benz board member Harald Wilhelm said the move wouldn’t hurt the firm’s profitability. Financial details about the deal haven’t been released. Earlier in 2022, the Stuttgart-based company announced it had around $2.2 billion in assets that could be threatened if Russian authorities nationalized property owned by foreign firms that choose to leave the country. Several carmakers shuttered or suspended their Russian operations due to the ongoing war in Ukraine. Toyota closed a plant that had been idle for months in September 2022. Paris-based Renault sold its Russian business to former partner Avtovaz for one rouble, and Nissan sold its Russian operations to a state-owned firm for one euro. Both deals included a 6-year buyback clause. As of writing, it’s unclear whether Mercedes-Benz’s sale included a buyback clause that would allow it to step back into the Russian market when the situation improves. Ford joined the list of companies leaving Russia when it sold its 49% stake in the Ford-Sollers joint-venture for a “nominal” sum in October. However, like Renault and Nissan it included a buyback clause in the deal: it can repurchase its stake within the next 5 years. Faced with a costly, unprecedented, and alarming exodus, Russian president Vladimir Putin asked his government to find ways to support the nation’s faltering automotive industry. Car production resumed in June 2022, when Lada started building a stripped-down sedan. +++
+++ Elon MUSK ’s lawyers said Tesla’s decision to give him a pay package worth over $50 billion is because no one else could have made the electric-car maker’s value soar the way that Musk has. The billionaire CEO is set to go to court on November 14 over a lawsuit from Tesla investor Richard Tornetta that argues Musk and the automaker breached their fiduciary duties by awarding Musk a pay package that was “beyond the bounds of reasonable judgment”. The lawsuit was filed in June 2018 and was sent to trial earlier this year. “The 2018 Plan was designed with Musk in mind”, Musk’s lawyers said in a pretrial brief filed Tuesday. “The Plan designed and approved by the Board was not a typical pay package intended to compensate the ordinary executive for overseeing the day-to-day operations of a mature company. That is because Musk is not the typical CEO”. In the 92-page document, Musk’s lawyers argue that the Tesla CEO’s pay package was required to secure his focus on Tesla and “closely resembles a high-reward venture capital investment in Musk as an asset to Tesla” during a time when the carmaker’s “survival was uncertain”. In the initial complaint, Tornetta argued that it was a conflict-of-interest that Musk was able to design his own pay package. Musk’s lawyers said the billionaire has distinguished himself as Tesla’s CEO and has been “intimately involved in all aspects of Tesla’s operations, from its strategic direction to its product design”. “He has been instrumental in transforming Tesla from a high-end electric sports car manufacturer to far more than just a car company”, the filing said. “The Board understood that an investment in Musk could reap massive rewards for Tesla’s stockholders”. Musk does not receive a salary from Tesla and his pay package centers on a series of goalposts around the carmaker’s financial growth which was set in place about 4 years ago. Specifically, the plan involves a 10-year grant of 12 tranches of stock options, which are vested when Tesla hits certain targets. When each milestone is passed, Musk gets stock equal to 1% of outstanding shares at the time of the grant. The company has since surpassed the metrics as its market value surged from $53 billion to over $690 billion, Musk’s lawyers said in the court filing. Ultimately, Musk’s lawyers argued that Tornetta’s shares in Tesla have soared over 1,000% to date since the billionaire’s compensation plan was established in 2018. Lawyers for Tornetta also filed a pretrial brief under seal, a version of which will be made public on November 1, they said. Tornetta’s lawyer declined to comment, saying he would let the brief “speak for itself”. The 5-day trial will take place with Delaware Chancery Court Judge Kathaleen St.J. McCormick presiding over the case; the same judge that has overseen Musk’s court battle with Twitter. Musk (the richest man in the world) is currently worth about $211 billion. The majority of his wealth is tied up in Tesla equity. +++
+++ VOLKSWAGEN plans to expand its cooperation with Intel’s Mobileye to include its automated driving program after Wednesday’s decision to no longer invest in self-driving startup Argo AI, 2 sources familiar with the plan told on Thursday. Mobileye, which develops autonomous driving technologies, already cooperates with VW’s software unit Cariad. “If you have obtained good results with one partner, it makes sense to work with them in other fields as well”, said one of the sources. Volkswagen’s and Ford’s exit from Argo came after 3 years of joint efforts on the development of automated driving systems and investments of more than $3 billion, highlighting the cost pressure automakers face in that field. While Ford took a $2.7 billion non-cash pre-tax impairment on Argo, VW might have to write down more than one billion euros ($1.00 billion), a source familiar with the company said. Israel-based Mobileye went public this week, being valued at more than $20 billion. Chief communications officer Dan Galves said earlier this week that based on its design wins with automakers, the company’s assisted driving systems would be deployed in 270 million cars by 2030. +++
+++ VOLVO has pulled the S60 from its line-up in the United Kingdom, citing a temporary decision as it re-evaluates its range. 1 of only 2 saloons the Swedish brand offered, the BMW 3 Series rival was available with either a 250 hp mild-hybrid petrol engine or a 455 hp petrol-electric plug-in hybrid powertrain (in S60 Recharge form). With Volvo aiming to transition to an all-electric brand by 2030, this decision calls into question the future of the executive saloon, especially as it doesn’t have a fully electric variant. However, the V60, which shares the same platform and powertrain options, remains on sale, as do the larger S90 and V90. Regarding the S60, a Volvo spokesperson said: “No decision has yet been made about future model plans. We will communicate any updates as appropriate. We’re continually re-evaluating our product portfolio and as part of this process have temporarily removed the S60 from sale in the UK”. Another reason for the decision could be the S60’s sales. Figures released by Jato Dynamics (which combines S60 and V60 sales) show that the cars have suffered a 51% drop in registrations in Europe so far this year (to 16.797) compared with 2021; the biggest fall in the Volvo line-up. I assume that the S60 is mostly to blame for this fall, given that the V60 remains on sale. The temporary pulling of the S60 might also be a move by Volvo to allow itself to focus on converting its factory in South Carolina, the US, to EV production. From 2024, the flagship EX90 electric SUV will be built there (first models will be produced in China ahead of its 2023 arrival). +++