GM - Chrysler merger. Why?

Focused on saving jobs?

For a while analysts speculated that GM was interested in Chrysler because Chrysler had about $11 billion in cash that GM very much needed. However, since it will take about $10 billion of tax payer money to merge Chrysler into GM, where's the gain? Why not just give them the money to work through the credit crisis independently?

None of the Big 3 have demonstrated that they are yet ready to compete in the new automotive world. The Chevy Volt is the only thing for the Big 3 to hang their hat on, but the Volt still has not been proven in the real world , and it won't be for more than 2 years. Moreover, GM's new small car hope, the Chevy Cruze, is probably going to be delayed.

Thus, how does a merger with Chrysler make GM more competitive? How does it make GM's products more competitive? While this merger might help save US auto jobs - a noble goal - will it make the US auto industry any more successful? And, is trying to save jobs on the back of a yet unproven business model wise?

Tax credits for plug-in's a done deal

Will a Prius plug-in qualify?

Tax credits for plug-ins are now a done deal, as the President has promised to pass the bailout bill that Congress has now approved. Plug-ins with at least a four-kilowatt battery pack will qualify for a credit ranging from $4,168 to $7,500 depending on the number of kWh's in the battery pack.

It is know that the Chevy Volt will qualify for the entire $7,500.

Originally, Toyota was against this bill, but the company seemed to change its tune when the kWh battery requirement was reduced. So, it appears plug-in hybrids, such as the Toyota Prius, will also qualify for this credit.

Volt EV Range: Is 40 enough?

Would 80 be better?

Ever wonder why GM picked 40 miles of electric range for the Chevy Volt? Do you think 40 is enough? Too much?

GM thinks its just right. Not just for the first generation, but for all generations. Know why?

Here's my answer: Why
40 is the Chevy Volt's magic number

No dual mode hybrid cars for GM?

Never a dual mode Malibu, or other car?

I'm not a fan of big SUVs, but my test drives of the Chevy Tahoe hybrid have left me quite impressed. While I don't advocate big SUVs, the technology powering GM's dual mode hybrid vehicles is quite remarkable. I just wish it was in pickup trucks and cars, rather than large SUVs that most consumers really don't need.

Fortunately, GM will put this hybrid technology in trucks soon, a very smart hybrid application. Unfortunately, this technology will probably not ever find its way into GM's cars or sedans. Yesterday's AutomotiveNews claimed that, currently, GM has no plans to make such hybrid vehicles. And, even if they did, it would take at least two years to roll out.

The future of hybrid cars, as far as GM is concerned, is either E Flex, such as in the Chevy Volt, or a lithium-powered BAS, or mild hybrid system.

GM to sell E Flex hybrids in Europe in 3 years

Opel Flextreme: Europe's Chevy Volt?

Reuters is reporting that GM's Europe chief Carl-Peter Forster told reporters there that GM plans to offer E Flex vehicles in Europe in 3 years. The E Flex Drive is the same powertrain that will power the Chevy Volt, as the Volt is the first, but not the only, E Flex vehicle.

"We are investing an enormous amount. We will launch these cars in Europe, both as Opel and as Chevrolet, in around three years," Forster told an auto conference in Berlin.

I say this is more evidence that the new design of the Volt is not the failure many think. The Volt, in my opinion, is much more about the E Flex Drive than it is the Chevy Volt. And, if you like this Flextreme design better than the Volt, GM has already debuted a similar Saturn Flextreme concept as well.

Chevy Volt production model revealed

The real deal

No more fiber glass replicas. This is the real Chevy Volt, which I think looks far better than the original concept. I'm sure some will be disappointed that it no longer looks like an electric sports car, but I think GM nailed this vehicle.

EPA should change testing for the Volt?

Being treated unfairly?

According to MotorTrend, the EPA and GM are having a problem agreeing how to define the Chevy Volt. For those driving less than 40 miles per day and that recharge every day, the Volt acts basically like an electric car. For those that drive longer distances, or don't recharge every day, then the Volt acts more like a hybrid. Unfortunately, EPA testing is not designed for such duality in capabilities and performance. Thus, the difference, as far as the EPA is concerned, is a 45 mpg EPA sticker, or a 100 mpg EPA sticker.

Should the EPA create a new classification for plug-in hybrids? If the Volt lives up to the hype, will the EPA sticker even matter?

GM to "officially" show production-ready Volt this month

Will the real Chevy Volt please stand up

Finally, the real Chevy Volt is ready to be shown as part of GM's 100th Anniversary on September 16th according to sources in GM. No more fiberglass replicas sneaking out of the Tranformer's movie set. This is the real deal.

While many still don't buy into the Volt believing its all just hype, all just a distraction from today's harsh sale's reality and from an over-abundance of gas-guzzlers, I believe the Volt will be a game changer.

No, the Volt alone can't save GM. Yes, the hype goes a little over board, but that's OK. The more hype GM builds around the Volt, the more their survival depends on the Volt. And that's a good thing because America, the world, needs the Volt.