It’s Friday once again, which means it’s time for another round of my Five For Friday: Five Thoughts about the Auto Industry for December 30, 2011. The potential sale of Lotus, Mitsubishi's electric car gamble, Ford's Lane Keeping System, the Alfa Romeo 4C and Fiat's 500 sales disappointment - let’s look at my take on the most noteworthy and interesting automotive stories from the past week.
01. Potential Lotus Sale Trumpeted By Investment CommunityDespite a confused but seemingly earnest effort to expand its lineup beyond a pair of track-focused sports cars, profitability continues to elude Lotus. The British automaker, owned by Malaysian conglomerate Proton, has in fact not been in the black for 15 years, prompting many investment experts to predict an impending sale of the car company. According to Bloomberg, Proton may have several Chinese and European suitors for the brand, which is appealing to efficiency-conscious competitors due to its expertise in producing lightweight yet strong platforms.
It was not that long ago that Lotus made the brazen announcement that it would be building a number of brand new models that strayed away from the light-and-fun philosophy that has guided the company since its inception. Unfortunately, with the exception of the recent Lotus Evora coupe none of these vehicles have made it past the drawing board stage of development. With Proton itself potentially on the auction block, Lotus' future ownership situation is cloudy at best.
02. Mitsubishi To Expand Electric Vehicle StrategyMitsubishi's American lineup is in the middle of a dramatic shrinking that will see its U.S. offerings dwindle down to just a few models over the course of the next year. The plan is for Mitsubishi to reposition itself as the purveyor of affordable electric automobiles, starting with the i-MiEV in 2012.
The Automotive News is now reporting that Mitsubishi will also be looking to build an electric truck in order to capture some of the market share enjoyed by vehicles such as Ford's battery-powered version of the Transit Connect, as well as a plug-in hybrid version of the Mitsubishi Outlander crossover. Although the company has not yet announced which of its upcoming electric vehicles will be available for sale in the United States, the plan is for the new models to become available between 2012 and 2016.
03. Ford To Deploy New Lane Keeping System Safety TechnologyLane departure warning systems are nothing new for buyers of premium automobiles, but the option is significantly less common in more affordable vehicles. Ford will be changing that with the 2013 Ford Fusion and 2013 Ford Explorer, each of which will receive its new Lane Keeping System as optional equipment.
The Ford Lane Keeping System makes use of a forward-looking camera that keeps an eye on lane markings, with the feature shaking the steering wheel should the vehicle step over the line without a turn signal being used. Motor Trend reports that the system can even intervene and self-steer back into the center of the current lane should the driver not respond to the feature's prompts. Ford claims that at no point will those behind the wheel be unable to override the Lane Keeping System, as simply steering in the desired direction will function normally regardless of whether a turn signal is activated or not. The feature is also capable of analyzing steering behavior and alerting drivers that they may be experiencing fatigue that is affecting their personal safety.
04. Alfa Romeo 4C Given U.S. Launch DateFiat has announced that the very first vehicle to wear the Alfa Romeo logo as the brand returns to the U.S. market after a lengthy hiatus will be the Alfa Romeo 4C. According to Inside Line, the 4C is a mid-engine sports car that will be positioned as a halo model to attract as much attention to Alfa Romeo as possible. The 4C is predicted to go on sale in 2013 and will retail for less than $50,000.
The Alfa Romeo 4C will be motivated by a turbocharged, four-cylinder engine that offers up roughly 230 horsepower, enough to launch the low-mass coupe to 60 mph in just 4.5 seconds. The 4C will be held to a weight limit of under 2,000 lbs, which will place it in rare company amongst American performance cars.
05. Fiat 500 Fails To Meet Lofty 2011 Sales GoalsMuch was expected of the FIAT 500 when it went on sale in the United States at the beginning of 2011 as a 2012 model - perhaps a little too much. Fiat made the subcompact the centerpiece of its pitch to U.S. vehicle shoppers looking for something stylish, efficient and affordable to park in their driveways, and the Italian brand trumpeted 50,000 units as its sales goal for the year.
Fast-forward to December and Inside Line is claiming that fewer than 20,000 Fiat 500's will have found new homes in 2011. There are several factors that have worked against the diminutive hatchback taking the market by storm. The first is a resurgence in the availability of cheap, high quality fuel-sipping subcompacts, with everyone from Hyundai to Chevrolet now building serious contenders for the entry-level crown. Next up is the reluctance of some American drivers to embrace a new vehicle from a European automaker with a shaky reputation for reliability this side of the Atlantic. Finally, the Fiat 500 has also underperformed in NHTSA safety testing, a serious misstep for such a small automobile in a land where full-size SUVs and pickups prowl the highways and byways.