Fiat Chrysler, Peugeot Owner PSA in Talks to Combine

[313WX]

If combined, the company would be larger than both Ford & GM in terms of sales volume.

https://www.wsj.com/articles/fiat-ch...=djemalertNEWS

[Metro25]

FCA seems absolutely determined to merge with somebody. What is the benefit of this?

[ndavies]

FCA seems absolutely determined to merge with somebody. What is the benefit of this?

Lowered development costs. It spreads the costs of developing Electric and automated vehicles across more car lines. It lowers the cost of R&D needed to carry a vehicle line forward.

[401don]

Lowered development costs. It spreads the costs of developing Electric and automated vehicles across more car lines. It lowers the cost of R&D needed to carry a vehicle line forward.

Also, if ride sharing, etc. means less individual ownership in the future more consolidation will be necessary. With the high development costs there simply won't be enough revenue for everybody.

[LongGone06]

FCA seems absolutely determined to merge with somebody. What is the benefit of this?

FCA's former CEO, Sergio Marchionne, strongly believed that substantial money and resources were being wasted in product development by the sheer number of independent manufactures. He argued that consolidation was necessary for the industry to flourish, and for these companies to remain profitable. At one point, he tried to woo General Motors.

[p1acebo]

FCA's former CEO, Sergio Marchionne, strongly believed that substantial money and resources were being wasted in product development by the sheer number of independent manufactures. He argued that consolidation was necessary for the industry to flourish, and for these companies to remain profitable. At one point, he tried to woo General Motors.

From a business prospective I get it, but with all of these mergers won't cars look and feel all the same? I mean I feel like vehicles in general look so similar as is, it would just get worse.

[401don]

From a business prospective I get it, but with all of these mergers won't cars look and feel all the same? I mean I feel like vehicles in general look so similar as is, it would just get worse.

I think that ship has sailed. That's why I made the comment about 5 vehicle segments. When Chrysler merged with Fiat it looked like it was giving Chrysler access to small cars [[which, granted, nobody wanted) and Fiat to trucks. Peugeot used to have some great looking sedans but I took a look at their line-up and was surprised it's almost all suv's/crossovers as well.

[Danny]

FCA will become PFCA... What's next. GMPFCA-Ford!!

[313WX]

Lowered development costs. It spreads the costs of developing Electric and automated vehicles across more car lines. It lowers the cost of R&D needed to carry a vehicle line forward.

It also helps them to enter into other vehicle segments and regions, gaining market share.

[401don]

It also helps them to enter into other vehicle segments and regions, gaining market share.

Pretty soon there will only be 5 segments left - small, medium & large suv's, big trucks and really big trucks.

[313WX]

It's happening.

Fiat Chrysler and Peugeot reportedly reach deal to merge

https://www.cnbc.com/2019/10/30/anot...s-rewards.html

[Johnnny5]

We're already facing headwinds in the auto industry, and combining with France based Peugeot will likely push the balance of power at FCA further towards Europe.

They may be trying to sell this as a merger of equals, but the stock prices of the two this morning say otherwise. If this happens, Metro Detroit is likely to end up with the short end of the stick.

[1953]

On account of its accumulation of brands, and GM's divestment of brands during bankruptcy, I think Chrysler should now be called General Motors and GM should be called, by extension, Specific Motors.

[Metro25]

Does it benefit us? Does it not? Does it make them more competitive in self-driving or electric vehicles? Does it not?

Just seems like a whole lot of nothing. How lame.