CARACAS (Reuters) – Ford Motor Co (F.N) is offering buy-outs to staff at its moribund plant in Venezuela to reduce its payroll, two union leaders said, as the U.S. automaker seeks to streamline its money-losing South America operations. FILE PHOTO: The corporate logo of Ford is seen on a billboard at the facilities of the… Continue reading Ford’s Venezuela unit offers buyouts as output dwindles -sources
Tag: GM
Google’s robotic spinoff launches ride-hailing service
Google’s robotic spinoff launches ride-hailing serviceSan Francisco – Google’s self-driving car spinoff is finally ready to try to profit from its nearly decade-old technology.
Waymo is introducing a small-scale ride-hailing service in the Phoenix area that will include a human behind the wheel in case the robotic vehicles malfunction.
The service debuting Wednesday marks a significant milestone for Waymo, a company that began as a secretive project within Google in 2009. Since then, its cars have robotically logged more 10 million miles on public roads in 25 cities in California, Arizona, Washington, Michigan and Georgia while getting into only a few accidents – mostly fender benders.
The company is initially operating the new service cautiously, underscoring the challenges still facing its autonomous vehicles as they navigate around vehicles with human drivers that don’t always follow the same rules as robots.
The service, dubbed Waymo One, at first will only be available to a couple hundred riders, all of whom had already been participating in a free pilot program that began in April 2017. It will be confined to a roughly 100-square-mile area in and around Phoenix, including the neighboring cities of Chandler, Tempe, Mesa, and Gilbert.
Although Waymo has been driving passengers without any humans behind the wheel in its free pilot program, it decided to be less daring with the new commercial service.
“Self-driving technology is new to many, so we’re proceeding carefully with the comfort and convenience of our riders in mind,” Waymo CEO John Krafcik wrote in Wednesday blog post heralding the arrival of the new service.
The ride-hailing service is launching in the same area where a car using robotic technology from ride-hailing service Uber hit and killed a pedestrian crossing a darkened street in Tempe, Arizona seven months ago. That fatal collision attracted worldwide attention that cast a pall over the entire self-driving car industry as more people began to publicly question the safety of the vehicles.
“I suspect the Uber fatality has caused Waymo to slow down its pace a bit” and use human safety drivers in its ride-hailing service,” said Navigant Research analyst Sam Abuelsamid. “If people keep dying, there will be a bigger backlash against these vehicles.”
The Uber robotic car had a human safety driver behind the wheel, but that wasn’t enough to prevent its lethal accident in March.
Waymo’s self-driving vehicles are still susceptible to glitches, as an Associated Press reporter experienced during a mid-October ride in an autonomous minivan alongside Krafcik near company’s Mountain View, California, headquarters.
The minivan performed smoothly, even stopping for a jaywalker, before abruptly pulling to the right side of the road. Ahead was a left-turning FedEx delivery truck. In a digital message to the two human backup drivers, the van said it “detected an issue” and it would connect to a rider support agent. Rider support didn’t respond, so they switched to manual mode and returned to Waymo headquarters.
At that time, Krafcik conceded to the AP that Waymo’s self-driving vehicles were still encountering occasional problems negotiating left-hand turns at complicated intersections.
“I think the things that humans have challenges with, we’re challenged with as well,” Krafcik said. “So sometimes unprotected lefts are super challenging for a human, sometimes they’re super challenging for us.”
Waymo eventually plans to open its new ride-hailing app to all comers in the Phoenix area, although it won’t say when. It also wants to expand its service to other cities, but isn’t saying where. When that happens, it could pose a threat to Uber and the second most popular U.S. ride-hailing service, Lyft, especially since it should be able charge lower prices without the need to share revenue with a human driver in control at all times.
General Motors also is gearing up to begin offering a ride-hailing service through its Cruise subsidiary under the management of a new CEO, Dan Ammann, who has been the Detroit automaker’s No. 2 executive. Cruise plans to start its ride-hailing service at some point next year in at least one U.S. city. Another self-driving car company, Drive.ai, has been giving short-distance rides to all comers within Frisco, Texas and Arlington, Texas since the summer.
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AP Auto Writer Tom Krisher in Detroit contributed to this story.
Read or Share this story: https://www.detroitnews.com/story/business/autos/mobility/2018/12/05/google-robotic-spinoff-launches/38676567/
Waymo starts commercial ride-share service
Geoff Robins | AFP | Getty Images
John Krafcik, CEO of Waymo speaks at a press conference at the 2017 North American International Auto Show in Detroit, Michigan, January 8, 2017.
After months of testing and millions of miles developing self-driving vehicle technology, Waymo has officially launched the country's first commercial autonomous ride-share service.
The company's Waymo One program will give customers rides in self-driving vehicles 24 hours a day. Initially, the service will be limited to cities surrounding Phoenix, including Tempe, Mesa and Chandler.
While there may be many potential customers who want to ride in an autonomous vehicle, the Waymo One service will initially be offered to a limited number of people. Those customers will include hundreds of people in the Phoenix area who were test users of the Waymo self-driving vehicle fleet that has been in development since April 2017.
“Self-driving technology is new to many, so we're proceeding carefully with the comfort and convenience of our riders in mind,” said Waymo CEO John Krafcik. One example of Waymo taking a cautious approach rolling out its ride-share service is the company's use of safety drivers to supervise the rides, at least initially. In addition, the company's app and consoles in the Waymo One vehicles will allow riders to instantly connect with support agents who can assist riders with questions.
Alphabet's Waymo One marks the start of the race by automakers, tech companies and other firms to launch autonomous ride-share services. General Motors subsidiary Cruise plans to launch a similar service using self-driving vehicles next year.
What's driving the competition? The pursuit of greater profits. Studies of have shown the biggest cost for ride-share operations is the expense of paying a driver. General Motors estimates it costs ride -share companies more than $3 per mile in San Francisco. However, GM believes that cost could drop to roughly $1 per mile by 2025 with driverless vehicles in ride-share fleets.
Waymo has said it expects the cost to consumers for using Waymo One to be competitive with Uber, Lyft and other ride-hailing services.
What will happen to GM’s Voltec system now that the Chevy Volt has been discontinued?
2019 Chevrolet Volt
GM's discontinuation of the Chevy Volt plug-in hybrid—sorry, extended-range electric vehicle—technology last month came as a blow to many plug-in car fans.
The car could allow 90 percent of Americans, according to federal Bureau of Labor Statistics data, to drive to work and back every day without using a drop of gas.
For all intents and purposes it was an electric car that generated no range anxiety. If you went beyond its 53-mile electric range, you could just keep driving as far as you wanted on gas.
DON'T MISS: GM to kill Chevy Volt production in 2019 (Updated)
GM announced on Nov. 19 that it would discontinue building the car in a wave of layoffs and plant closings that saw both the Volt's factory and that of the Chevy Cruze that underpinned it cut off. As a fuel-efficient small hatchback, the Volt was no longer meeting sales targets.
That has left a lot of fans of its complex-but-ingenious Voltec gas-electric powertrain wondering whether they've missed the opportunity to own one (or another one), or whether GM or someone else might build another car along the same lines.
So our Twitter poll question for this week is: “What will happen to GM's Voltec system now that the Chevy Volt has been discontinued?”
Among the possibilities that occurred to us are that: It may just die. This is the scenario that most worries Volt fans.
GM will build an SUV with the Voltec battery-electric hybrid system, perhaps with a bigger battery, or slightly less range than the Volt with the same battery. (This seems the most likely scenario to us.)
CHECK OUT: Commentary: How the media may have punctured plug-in hybrids' balloon
GM could sell the Voltec technology to another automaker. In 2016, the company said it was looking for other companies to license the technology, but never found any takers.
Taken to the extreme (and to Volt fans' delight) our fourth answer considers that systems operating like Voltec could become the new normal, sort of a minimum barrier to entry for hybrid vehicles.
Whether you're an optimist or a pessimist about the Volt's technology, remember that our Twitter polls are unscientific because of a low response rate and because our respondents are self-selected. We can't wait to hear what you think!
Here’s the buyout GM offered before announcing 14,000 job cuts
John Gress | Reuters
Trucks come off the assembly line at GM's Chevrolet Silverado and GMC Sierra pickup truck plant in Fort Wayne, Indiana, July 25, 2018.
General Motors executives painted a bleak outlook of the global economy in offering buyouts to 17,700 employees last month.
“We must take significant action and now while our company and the economy are strong,” they said in talking points given to managers in October to discuss the severance plan with staff. CNBC obtained the “leader talking points,” and GM verified their authenticity.
An “intensely competitive” industry combined with pressure from rising commodities prices, interest rates and a difficult trade environment created a sense of urgency. “We need … to make the right pre-emptive moves so that we come out of this tough time ahead,” they said in the talking points.
Larry Summers says GM shouldn't hide from cost-cutting measures
12:39 PM ET Wed, 28 Nov 2018 | 05:50
The Detroit automaker on Monday announced plans to halt production at five factories in North America and cut about 14,000 jobs in the company's most significant restructuring since its bankruptcy in 2009. The news falls on the heels of an otherwise strong quarter. Its third-quarter earnings released Oct. 31 — the same day GM started soliciting the buyouts — showed its first year-over-year earnings growth since the first quarter of 2017 and sent the stock soaring 9 percent.
'Not an option'
But executives saw stiff competition and a tough economy ahead. The cuts are designed to free up some cash and position its workforce of 180,000 for the future of autonomous vehicles and electric cars.
“We cannot afford to wait and see what happens in the industry, or with China, or in international trade or currency, to then react,” the severance document said. “Even if macro-economic factors are partially to blame, continuing to lower guidance to Wall Street is not an option.”
GM offered voluntary buyouts to roughly 17,700 eligible employees in North America with at least 12 years of service, according to the document. The company was aiming for 8,000 voluntary buyouts among its salaried workers as part of a total headcount reduction of 14,000, spokesman Pat Morrissey confirmed. He said about 2,250 workers accepted severance agreements by the Nov. 19 deadline.
The carmaker previously said that involuntary layoffs would follow if there were not enough takers. Roughly 5,750 salaried workers and 6,000 hourly employees will be laid off, he confirmed. Half of the hourly workers are in Canada with the other half in the U.S., where the company will work with union officials to try to move to other plants, Morrissey said.
Salary and benefits
GM is allowing some employees who took the buyouts to leave as early as this coming Saturday with an official last day of Jan. 31 and salary and benefits continuing for six months after that. Executives could also leave in December with an effective last day of Feb. 28 and a full year of salary and benefits, according to the severance materials.
GM CEO Mary Barra is accountable to her shareholders, not politicians, says Jeff Sonnenfeld
12:05 PM ET Wed, 28 Nov 2018 | 07:01
GM warned this summer that the trade war instigated by President Donald Trump could force job cuts in the United States. Trump was irate with GM's announcement this week, tweeting on Tuesday that he was “very disappointed” with the company and CEO Mary Barra for idling plants in Ohio, Michigan and Maryland.
“Nothing being closed in Mexico & China. The U.S. saved General Motors, and this is the THANKS we get,” Trump tweeted. He also threatened to cut all of the company's federal subsidies, following up on Wednesday with the announcement that the administration was studying all tariffs on cars imported to the U.S. because of the “G.M. event.”
GM says the move would help to save $6 billion a year. Shares of the company jumped 4.8 percent on the announcement Monday, but Trump's tweets drove the stock down Tuesday and Wednesday. Its shares have fallen by almost 20 percent during the last year.
“A strong cash position is the only way the company can deal with these factors and also continue to invest in growth opportunities and to set ourselves up for the future,” the talking points said.
“The leadership team is very focused on improving our cash generation and profit performance on each of our vehicles.”
— CNBC's
Robert Ferris
contributed to this article.
The future of the auto industry lies in car sharing, Chinese executives say
Dave Zhong/Getty Images for CNBC International
Freeman H. Shen, Founder, Chairman & CEO of WM Motor, speaks during Fireside Chat on Day 2 of CNBC East Tech West at LN Garden Hotel Nansha Guangzhou on November 28, 2018 in Nansha, Guangzhou, China.
Several Chinese auto and transportation industry leaders are preparing for a future in which people share cars, rather than own them individually.
“(The new generation), they're not interested in the ownership. They're probably more interested in accessibility,” Freeman Shen, founder and CEO of Chinese electric car company WM Motor, said last week at CNBC's East Tech West conference in the Nansha district of Guangzhou, China.
Technological advances in the last several years have aided the rise of multibillion-dollar ride-hailing giants such as Uber and Didi. They, in turn, have challenged the traditional taxi driver system and cultivated a habit of on-demand car services for tens of millions of users globally despite ongoing safety concerns. Traditional automakers, many already trying to navigate rising interest in the electric vehicle market, are paying close attention to the ride sharing trend. Notably, General Motors is testing the waters with its own rental program.
In China, Feng Xing Ya, general manager of Guangzhou-based automaker GAC, also said the future of the auto industry lies in car sharing.
“(It's) a challenge for the auto industry because people may buy fewer cars,” Feng said in Mandarin, according to a CNBC translation, during a Nov. 27 conference session.
Without giving much detail on a plan, Feng said he favored a strategy of entering — rather than avoiding — the car sharing economy, which he said can still generate a lot of income for a company.
However, such a rapid change in consumer tastes could give start-ups an advantage.
Shen, formerly a director at Fiat Chrysler and Chinese automaker Geely, said traditional automakers are too focused on selling cars rather than improving user experiences. He said his company's focus on software and newness to the market means he has everything to gain and little to lose from a shift to ride sharing.
Shen founded WM Motor — which stands for “world champion” in German — in 2015 and the company has received more than $1 billion in funding, according to Crunchbase.
The rise of car sharing may also lead to new kinds of living environments in China as Beijing tries to encourage technological and urban developments through “smart cities.”
“If we can allocate the seats instead of vehicles … then we can use the transportation system more efficiently,” Henry Liu, vice president, chief scientist of smart transportation at Didi, said during a conference session.
“If you think about the future city, I think the future city will have much less in terms of parking spaces, road spaces, because we don't really need that much of spaces for vehicles,” Liu said. “At that moment, I think we have an autonomous vehicle fleet. And they can serve the transportation demand.”
Tesla (again) says buyers must order today for full tax credit
Tesla Model 3 all-wheel drive Performance rolls off a new assembly line in a temporary structure
If you want to buy a Tesla and get the full tax credit, today is your last day to order for Tesla to guarantee delivery by December 31.
With the tick-over of the new year, the federal tax credits on Teslas will be reduced from $7,500 to $3,750.
That could raise base price of a Tesla from $39,700 after the tax credit to $43,450 (including delivery fee).
DON'T MISS: Tesla sells 200,000th car, starting phaseout of federal tax credits
The order deadline to receive the full tax credit applies to any Tesla model, the Model S, Model X, or Model 3.
The federal tax credits were structured so that after any automaker sells 200,000 plug-in cars, the credits start a wind-down period. At that point, buyers can continue to claim the credit for the remainder of that quarter and for the full quarter following. After that, the credits are cut in half for six months, in half again for another six months, and get eliminated completely after that.
Tesla crossed the threshold last July, and the end of this year marks the last of its full credits.
CHECK OUT: Tesla sets Monday deadline for full tax credit
The company has joined forces with GM, Nissan, and other automakers, along with other electric-car advocates to lobby for the credits to be extended and restructured so they expire simultaneously for all automakers. That lobbying effort has just begun.
This is the second time Tesla has repeated the message that buyers have to order now to be guaranteed the full credit. On October 12, the company claimed they wouldn't guarantee that orders placed after October 15 would receive the credit.
Refuting that warning, the company sent out a notice just last week, setting today (Friday) as the new date, which the company confirmed today.
READ THIS: EV Drive coalition begins lobbying effort to save tax credit
The good news for Tesla and its fans is that this indicates the company has been able to produce cars more quickly than it anticipated in early October.
Many buyers have been able to buy Teslas directly from the company's inventory and take delivery in a matter of hours or days in the past several months. If you want the full tax credit, that option is likely to continue until near the end of the year. As long as buyers take delivery of their car by Dec. 31, the full tax credit applies. Pictures of lots overflowing with inventory around the country have become a fixture of Twitter and forums for weeks. Even so, based on deliveries, the Tesla Model 3 became the fifth bestselling sedan in the country in the third quarter.
Those who want to make custom selections from the options or color menu, however, need to do so today, the company says, or they could lose the full tax credit.
Truly, at some point, Tesla won't be able to fulfill a new order before Dec. 31. This might be that point, though it's hard to say for sure.
GM's secret plan to shut plants, cut jobs likely signals more to come
Original Article
Car manufacturer: VW HR Board: The savings program will not continue
Volkswagen Not only in Zwickau, but also in Hanover and Emden, the auto company wants to build e-cars in the future. (Photo: AP) WolfsburgBei Volkswagen According to Human Resources Director Gunnar Kilian, it will not continue the “Future Pact” called austerity program give. “But even after completing this program, we must continue to work intensively… Continue reading Car manufacturer: VW HR Board: The savings program will not continue
Top Automotive Industry News for Week of October 15 – October 21, 2018
Here is the most important news associated with the automotive industry
identified by the AEA for the week October 15, 2018 – October 21, 2018.
We hope it helps you stay up to speed on the key developments in our
industry:
-AEA Membership News-
AEA Reception is tonight in Las Vegas. See you there!
-Automotive Manufacturing News-
Audi slapped with a $930 million fine by German prosecutor for its
diesel cheating scandal
(CNBC)
Daimler Cuts Earnings Estimates as Outlook Gets Tougher
(The Detroit Bureau)
Ford's new 'Proud' ad campaign features Bryan Cranston from
'Breaking Bad
(USA Today)
Ford and Volkswagen flirting with relationship possibilities and
joint projects
(USA Today)
Ford boosts production of its $400,000 GT supercar as demand
outpaces supply six-to-one
(CNBC)
Ford seeks to allay dealers’ worries with ‘comeback story’
(The Detroit News)
Frustrated GM investors ask what more CEO Barra can do
(Reuters)
GM Offers Extended Warranties As Reliability Ratings Improve And
Scammers Surge
(Forbes)
Hyundai's Nexo Stands Out As The First Truly Complete Fuel Cell
Electric Vehicle
(Forbes)
Judge approves Elon Musk settlement with SEC
(The Detroit News)
New Chips Improve Tesla Autopilot “500% to 2000%,” Musk Says
(The Detroit Bureau)
Porsche denies speculation that it's planning to go public
(CNBC)
Tesla buys new plot for China factory for $140 million
(CNBC)
Tesla, GM in line for EV boost under U.S. Senate bill
(Automotive News)
VW's Porsche expects to repeat record vehicle sales this year
(Reuters)
-Automotive Evolution News-
Clutch Looks To Increase the Number of OEMs, Dealers on Its
Subscription Platform by Year’s End
(Auto Finance News)
Future of electric-car tax credit up in the air
(The Detroit News)
Google’s Waze expands carpooling tool throughout U.S.
(The Detroit News)
How car subscription app Fair wants to disrupt the market for car loans
using subscriptions
(CNBC)
Kids' Ride Service Race Heats Up As Zūm Expands To Take On Kango,
HopSkipDrive
(Forbes)
Not everyone is ready to ride as autonomous vehicles take to the
road in ever-increasing numbers
(CNBC)
The Computer Chauffeur Is Creeping Closer
(The New York Times)
Waymo details how emergency services should deal with self-driving
incidents
(autoblog)
-Automotive Retail News-
Assurant Launches Mechanic 2.0
(Auto Dealer Monthly)
Best budget-friendly small cars include Kia, Honda, Hyundai and
Mazda sedans
(USA Today)
Black Book Valuation Data Now Integrated With CDK’s Lightspeed EVO
(Auto Dealer Monthly)
CarMax pinpoints where its sales of manual transmissions are
rarest, most common
(Auto Remarketing)
Change Is Coming to Automobile Dealerships
(Forbes)
Equifax: Vehicle Sales Down, Borrowing Up
(Auto Dealer Monthly)
GM Rolls Out Optional Extended Warranty
(Auto Dealer Monthly)
-Automotive Wholesale News-
5 trends surface as wholesale-price softening accelerates
(Auto Remarketing)
Weekly Vehicle Values Fall Precipitously
(Vehicle Remarketing)
-Automotive Enthusiast News-
These Are the Most Valuable Cars Jerry Seinfeld Has Featured on
Comedians in Cars Getting Coffee
(Car and Driver)
-Automotive Servicing News-
Goodyear offers replacement tires at consumers' homes
(Automotive News)
Safety administration investigates Ford pickup tailgates opening
unexpectedly
(Detroit Free Press)
-General Business & Executive News-
Auto Classified Industry Veterans Skip Dowd and Ernie Blood Launch
MautoSearch
(Medium)
Car-shopping company Shift seeks to follow Carvana with 2020 IPO
(Automotive News)
Cox to shed staff as it restructures
(Automotive News)
Dealer Inspire Expands in Canada Offering New Digital Marketing Options
for Automotive Dealers
(Cars.com)
Google Adds EV Charging Stations to Google Maps
(Cars.com)
Report: Uber, Lyft each looking to go public in 2019 as rivalry
heads to Wall Street
(USA
Today)
Walmart to team with Advance Auto Parts for online store, lowers FY
2019 earnings forecast
(USA Today)
U.S. retail sales increase modestly; consumer spending strong
(Reuters)
-AEA Reminder-
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