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BMW partnering with Hyundai on engine cost-sharing?

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Old 05-06-12, 06:22 PM
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Question BMW partnering with Hyundai on engine cost-sharing?

http://www.autoblog.com/2012/05/04/b...-cost-sharing/


Automotive News reports BMW and Hyundai are currently engaged in talks that may lead to the two companies partnering on engine development. A German industry newsletter reported that Hyundai Chairman Chung Mong-koo's son, Chugn Eui-sun, recently met with a small group of BMW executives in Munich, and that the move would likely help the two manufacturers offset the heavy costs of engineering a new engine group. That cost can be as much as $1.3 to $2.6 billion.

Not surprisingly, BMW refused to comment on the rumored deal, though the company has been quick to dismiss any notion of expanding its corporate partners beyond the current group. Right now, BMW works with PSA/Peugeot-Citroen, Toyota and Daimler, though the manufacturer is also currently in talks with General Motors. Even so, BMW has made no secret of the fact that it is currently hard at work on a new engine architecture, and a corporate partner would be a smart way to spread development costs.
 
Old 05-06-12, 07:43 PM
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mmarshall
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I suspect that BMW may (?) be already have been working wth Hyundai on more than just engines. If you guys remember my Genesis Coupe 3.8 Track review a few years ago, I remarked on how well that car duplicated the chassis-dynamics, steering-response/feel, transmisson-response, and overall driving-competence of a non-M BMW 3-series, differing only in a slightly firmer ride for the Hyundai. It was, I still feel, the closest thing I've seen to driving a Bimmer without actually having a blue-and-white propeller on the hood.
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Old 05-06-12, 08:53 PM
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They all work together behind closed doors, its only unti an article like this comes out that the average individual develops a thought process outside of what they think is normal
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Old 05-06-12, 08:54 PM
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Just more evidence that partnering and sharing is here to stay. It's nothing new really and it happens all the time. It was recently reported that Toyota will benefit from diesels supplied by BMW. These things wouldn't happen if it weren't mutually beneficial for both parties.
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Old 05-06-12, 09:04 PM
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Originally Posted by speedflex
Just more evidence that partnering and sharing is here to stay. It's nothing new really and it happens all the time. It was recently reported that Toyota will benefit from diesels supplied by BMW. These things wouldn't happen if it weren't mutually beneficial for both parties.
Not everyone is doing it and some brands are doing it far more than others. How could BMW taut being German and "we make BMWs" if they have Hyundai engines? Infiniti tries to taut being the "Japanese" brand and they are French owned, with a HQ in China, already using Renault engines in Europe and the next gen cars will be part German. We see the Chrysler/Fiat jokes and disses all the time.

Sure its future but I am curious how will it effect marketing. It also will truly show the gap between car people and people that buy based on badges with no idea what the vehicle actually is a product of. It reminds me of one of my non car guys who was stunned to know his Accord was made in Ohio. The look on his face was priceless.

It is the future though, no doubt about it.
 
Old 05-06-12, 09:37 PM
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Originally Posted by 1SICKLEX
Not everyone is doing it and some brands are doing it far more than others. How could BMW taut being German and "we make BMWs" if they have Hyundai engines? Infiniti tries to taut being the "Japanese" brand and they are French owned, with a HQ in China, already using Renault engines in Europe and the next gen cars will be part German. We see the Chrysler/Fiat jokes and disses all the time.

Sure its future but I am curious how will it effect marketing. It also will truly show the gap between car people and people that buy based on badges with no idea what the vehicle actually is a product of. It reminds me of one of my non car guys who was stunned to know his Accord was made in Ohio. The look on his face was priceless.

It is the future though, no doubt about it.
I'm not so sure a national brand has much value in a a global economy. Everything is being hybridized. It's like American companies being built with parts and components primarily manufactured overseas, particularly Asia. How much north American content in is the average HP, Dell, or Apple Computer? Many of the major components come from you know where.

Bottom line is people don't care as long as the product is good or great because they've never really known (or cared to know) who actually builds the stuff they buy.

Being German is not a literal message of BMW, MB, or Audi for that matter. Infiniti has never really made a major point of being Japanese and really, neither has Lexus or Acura. Marketing has tended to dilute these matters because in many ways such messages polarize the audience.

Last edited by speedflex; 05-06-12 at 09:43 PM.
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