Tag Archives: John McElroy

The Transformation at ZF

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By Gary S. Vasilash

One of the aspects of the industry’s transition to electric vehicles that doesn’t get a whole lot of attention is that suppliers are responsible for large portions of a vehicle, so as there is the move from internal combustion engines to electric motors, as there is an increase in the importance of software, suppliers need to undergo a transition. . .or they will find themselves under water in short order.

However, making the switch isn’t like throwing a switch.

There are existing competencies within an organization—the things that allowed it to be selected as a supplier in the first place.

But now those competencies, while not completely irrelevant—let’s not lose sight of the fact that internal combustion engines aren’t going away for several more years—are less important within a supplier’s portfolio.

And there is the abiding issue of having the financial wherewithal to make the change, both from the standpoints of people and installed base of capital equipment.

Regardless of what list of the top suppliers you consult, you’ll find ZF right up there.

(Image: ZF)

Going Mobility

Martin Fischer heads up ZF’s operations in North America.

He describes what ZF is now as “a technology supplier to the mobility industry.”

Were you to ask someone in the industry about what ZF is just a few years ago, they’d probably answer, “The company that makes those impressive eight-speed automatic transmissions.”

While the company continues to produce those eight-speeds, Fischer says on this edition of “Autoline After Hours” that they’re not going to be making more investments in eight-speeds.

There are other things on the agenda.

Fischer says the focus today is on technologies related to autonomous driving, electric drive systems and components, and integrated safety, technologies that are both physical and digital.

To help the company move to new places, Fischer says they first started out with small teams that developed products, then integrated those people into the larger company so that everyone becomes involved.

The classic portfolio that ZF has had is undergoing a significant change, with everything from controllers that it is collaborating with NVIDIA on to electric motors to steer-by-wire systems and more. Not the sort of things that one might imagine a “classic” supplier would have the wherewithal to do–at automotive scale and quality.

What ZF is doing is essentially a masterclass in maintaining relevance in a changing industry.

Talking to Fischer are “Autoline’s” John McElroy, Lindsay Brooke of Automotive Engineering, and me.

You can see the show here.

How To Achieve a Smooth Ride

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By Gary S. Vasilash

Noise-canceling headphones work not by adding something like the hissing of white noise to take the place of the annoying sound that you’re trying to minimize, but by, well, canceling the noise.

That is, sound takes the form of waves. The headphones determine that nature of those waves then generate a counterwave which has the effect of canceling the original wave.

Automotive OEMs have been using tech of this sort to make the cabins of cars quieter. Again it is a matter of detecting the noise that is to be eliminated, creating a counter wave, then playing it through the speakers of the audio system.

So sound is waves, or vibrations.

There is something else that vehicles encounter that create vibrations: road surfaces. Because they are not absolutely smooth, there are some vibrations. Because most ordinary roads are far from being absolutely smooth, there are lots of vibrations.

What about detecting those vibrations and then setting up counter vibrations in the suspension system?

That is, simplistically put, what Massachusetts-based ClearMotion is doing with a system that is one part software and one part mechatronics. The software portion takes care of determining what the vibrations are that need to be countered; the mechatronics portion produces the motion that is necessary to perform the task. There are four Activalve units for a given vehicle, one on each corner.

Christian Steinmann, ClearMotion CEO, says that not only does the setup provide a smoother ride—something that will be increasingly important as there are increased levels of autonomy, which means that people will be able to do things like read or watch videos rather than keeping their eyes on the road—but it enhances the overall handling of the vehicle.

Steinmann talks about the system on this edition of “Autoline After Hours.” Joining “Autoline’s” John McElroy and me is freelance auto journalist Jack Nerad.

And you can see the show here.

By the way: the analogy to noise-cancelling headphones isn’t a fanciful one: ClearMotion acquired the Bose Ride business, Project Sound active suspension and software to develop into its system.

Bob Purcell: from the EV1 to the VIA Skateboard Chassis

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By Gary S. Vasilash

Bob Purcell has been in the EV space for a number of years. In the early 1990s when General Motors was developing the EV1 Purcell was involved. He was to become the head of the then-newly formed Advanced Technology Vehicles Division at the company. After nearly 17 years at GM Purcell left the corporation and worked at companies involved in batteries and electric propulsion systems.

Purcell is now the CEO of VIA Motors, which is a producer of an electric skateboard chassis for application in Class 2 through Class 5 cargo vans, trucks and buses.

The skateboard chassis allows an array of upfitting opportunities. (Image: VIA Motors)

Although he had his start with a passenger car (the EV1), Purcell is convinced that commercial vehicles are the ideal place for electric propulsion.

As he explains on this edition of “Autoline After Hours” this is because the total cost of ownership of an electric truck is less than that of one with a thermal engine, thanks to things like reduced maintenance requirements. In addition to which, he says there is a 4:1 per mile cost benefit (electricity vs. liquid fuel). All things that add up to improvements to the bottom line of commercial carriers.

(While personal vehicle owners can also experience the same advantages, it isn’t often—if ever—that you hear the buyer of a new EV say, “I got this because the life-cycle costs are a distinct advantage.”)

Purcell talks with “Autoline’s” John McElroy, Sam Abuelsamid of Guidehouse Insights, and me on the show.

Beyond his discussion of what they’re doing at VIA, Purcell shares plenty of insights on both his career as well as the overall EV landscape. The man is clearly an EV proponent, but unlike many boosters of the tech, Purcell has a deep base of knowledge in the space, which makes him far more credible than the average EV enthusiast.

And you can see the show here.

Toyota, GM, Ford; EVs, AVs and ADAS

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By Gary S. Vasilash

Last week Norihiko Shirouzu of Reuters reported “Toyota is considering a reboot of its electric-car strategy to better compete in a booming market it has been slow to enter.”

Toyota’s Prius is synonymous with “hybrid.” The company has pretty much hybridized everything. It argues—or maybe that would be “argued”—that it is better to build a whole bunch of affordable hybrids than a comparatively few electric vehicles that are comparatively more expensive: according to Kelley Blue Book, the average price of an electric vehicle in the U.S. in September was $65,291. The average transaction price for vehicles overall, KBB calculated, was $48,094. Which is roughly a 27% delta, which is certainly non-trivial.

Yes, this is a Prius. (Image: Toyota)

Be that as it may, Shirouzu’s sources indicated that “Toyota’s planning had assumed demand for EVs would not take off for several decades.” Which is decidedly not the case.

So is Toyota making a pivot? That is one of the subjects discussed on this edition of “Autoline After Hours.” Joining “Autoline’s” John McElroy and me are automotive consultant/analyst Jack Keebler and long-time auto journalist, currently freelancing at Autoweek, Todd Lassa.

Other topics discussed are the Q3 earnings of both General Motors and Ford, as well as those companies positions on autonomous driving: GM continues to be bullish on the prospects for Cruise, still anticipating revenue of $1-billion from the operation by 2025; Ford is far more conservative, as it announced that Argo AI, the AV company that was owned primarily by it and Volkswagen (each had 39%), was closing. Ford going forward would focus more on Level 2+ and Level 3 ADAS. (Ford CEO Jim Farley: “It’s mission-critical for Ford to develop great and differentiated L2+ and L3 applications that at the same time make transportation even safer.”)

The conversation is wide ranging and lively. And you can see it here.

Saving Cadillac

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By Gary S. Vasilash

John F. Smith worked at General Motors at the same time that John F. Smith worked at General Motors.* The latter was to become GM CEO. The former was appointed by the latter to a number of executive positions within GM.

Perhaps the most notable was in 1997, when he was named head of Cadillac.

Things weren’t great at that brand back then. Hard to believe, but there was something that is now intrinsic to Cadillac that was absent: the Escalade, the massive truck-cum-SUV that has had visual presence on the road for a little more than two decades now.

The original Escalade. (Image: GM)

The Escalade was to come to be under John Smith’s period at Cadillac, helped into existence by the other John Smith, who was known as Jack.

John Smith talks about his career at Cadillac in this edition of “Autoline After Hours,” as well as a book he has recently had published about some of his adventures in the auto industry, Fin Tails: Saving Cadillac, America’s Luxury Icon (see how important Escalade was/is?).

Also on Smith’s resume are positions including vice president of Planning at General Motors International Operations in Zurich as well as president of Allison Transmission. Which is to say that he has a broad perspective on the auto industry, one broader than just Cadillac.

On this edition of “Autoline After Hours” Smith spends the hour talking with “Autoline’s” John McElroy, Doron Levin, who, among other things, writes about the auto industry at Saving Alpha and me.

And you can see it here.

*Given that “Smith” is the most common surname in the U.S., and “John” has been in the top 10 until 1987, this isn’t exactly surprising.

The Tricky Challenge of Meeting the EV Future in the (Mainly) ICE Present

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By Gary S. Vasilash

One of the things that isn’t often considered when OEMs announce still another new electric vehicle is that just as is the case with their vehicles with internal combustion engines, suppliers make a considerable number of the parts and systems that go into those vehicles.

This puts suppliers in something of a tricky situation because chances are they have the capacity to produce parts for ICE vehicles and now, assuming that they want to continue to have business, they have to acquire or develop the wherewithal to make the EV componentry.

And let’s face it: this EV transition isn’t going to happen overnight, so there is still the need to supply the things for the ICE vehicles.

Consider the situation at GM, an example that is simply representative of the industry as a whole.

Buick has four vehicles in its lineup and zero EVs. Cadillac has seven and one EV. Chevy has 18 vehicles and one (or two if you could the Bolt EV and Bolt EUV as two, but they count it as one). And there is GMC with eight vehicles and one EV.

It should be noted that there were 22,830 EVs delivered in the U.S. by GM through Q3—out of a total 1,650,827 vehicles.

Still, suppliers see the proverbial writing on the wall and as such they are looking to what they can do to make the transition to electric.

One of the top global auto suppliers is Schaeffler. And on this edition of “Autoline After Hours” we talk to Jeff Hemphill, chief technology officer of Schaeffler Americas.

Hemphill explains how the company is making the transition to electrification, providing everything from motors that are used in hybrid systems to complete e-axles for battery electric vehicles. The company is both responding to what OEMs want and working to develop the tech that is expected to be needed.

(Remember: EVs are still pretty much a nascent technology for most OEMs–and suppliers–even though it seems fait accompli.)

Hemphill talks with “Autoline’s” John McElroy, Mike Austin of Guidehouse and me about how the company is working to provide OEMs with what they need now—and will need tomorrow.

And you can see it all here.

Dodge CEO Tim Kuniskis on the Transition to Electric

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By Gary S. Vasilash

Perhaps more controversial than Dylan going electric in 1965. . .

If you think about “Dodge,” you have a pretty good idea of what it is: A lineup of muscle cars. It is a brand that has pared itself down to an essence, as things like the Journey and Caravan have gone away, leaving the bulk of the brand on the shoulders of two vehicles, the Charger and the Challenger. (The Durango is still in the showroom.)

The positioning of the brand is unapologetically the “Brotherhood of Muscle,” although all genders are encompassed within the club.

Dodge Charger Daytona SRT Concept: Dodge goes electric. (Image: Dodge)

One might think that this whole muscle car thing is an anachronism. HEMI engines don’t seem to a thing that would resonate in the age of Greta Thunberg.

However, in the first half of 2022, Dodge outsold Chrysler, Fiat and Alfa Romeo combined: 84,761 to 73,010.

There is a defined niche of buyers for whom muscle cars matter. And they buy them.

Although the platform underpinning the Charger and Challenger is, by contemporary standards, vintage, the people at Dodge have kept things going by introducing special editions and packages for the cars (e.g., the SCAT Pack Swinger, a tribute to the late ‘60s and early ‘70s).

Tim Kuniskis is the CEO of Dodge. And on this edition of “Autoline After Hours” he explains how Dodge will keep being propelled forward with cars even though he admits “cars are dead”—albeit dead for those who don’t necessarily consider their vehicles to be a representative of who they are. The Brotherhood of Muscle knows what matters to them and prove it every day.

Still, Kuniskis and his team are fully aware that the market is changing, moving away from HEMIs to electric propulsion.

So rather than pretending that it is otherwise, they have rolled out with “Last Call” editions of the Charger and Challenger and revealed the bad-ass battery electric Charger Daytona SRT Concept.

They are putting the proverbial pedal to the metal as they drive toward an electric future.

As Kuniskis points out in the show, people who drive muscle cars think somewhat differently than ordinary car consumers.

For example, do you think someone with a supercharged 6.2-liter HEMI Hellcat high-output V8 under the hood—a 797 hp or 807-hp engine, depending on package—is at all concerned with the fact that they may get a combined mpg of 15? Given that, what is the likelihood that someone getting an electric muscle car is going to be concerned whether the range is 300+ miles or a fraction of that—as long as the car moves like a bat-out-of-hell (which explains why the propulsion system in the concept is named “Banshee”)?

Ordinary EV buyers are largely concerned about range. Dodge EV buyers will focus on performance. (OK: some of them will be concerned with range, but they’re going to want to make sure that their cars seem to be hellacious performers.)

Kuniskis talks about the present and the future of Dodge with “Autoline’s” John McElroy, Chris Paukert of Edmunds, Mike Musto of Hemmings and me.

Even if you aren’t particularly interested in muscle cars per se it is a fascinating look at how a brand that is as intensely focused on one segment as Dodge can make a transition to a different technology model without disaffecting its customer base.

One can imagine that the Dodge switch to an electric future will become a business school case study, which you can learn about now, for free, here.

On the 2023 NACTOY Semifinalists

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Since 1994 the North American Car, Truck and Utility Vehicle of the Year (NACTOY) Awards have been presented by a group of journalists, all of whom work for a variety of outlets, print, digital, television, audio. They determine what are the most important vehicles introduced during a given year, vehicles that are deemed to be ones that consumers ought to pay attention to when they are in the market.

Last week at the North American International Detroit Auto Show the semifinalists for the 2023 awards were announced.

They are:

Car:

  • Acura Integra
  • BMW i4 eDrive40: Sedan
  • Genesis G80 EV
  • Genesis G90
  • Mercedes-Benz C Class
  • Mercedes-Benz EQE
  • Nissan Z
  • Subaru WRX
  • Toyota Crown
  • Toyota GR Corolla

Truck:

  • Chevrolet Silverado ZR2
  • Ford F-150 Lightning
  • Lordstown Endurance

Utility vehicle:

  • Audi Q4 e-tron
  • BMW iX xDrive50
  • Cadillac Lyriq
  • Genesis GV60
  • Honda CR-V
  • Honda HR-V
  • Kia EV6
  • Kia Sportage
  • Lexus RX
  • Mazda CX-50
  • Nissan Ariya
  • Rivian R1S
  • Volvo C40 Recharge

On this edition of “Autoline After Hours” “Autoline’s” John McElroy, Jill Ciminillo of “Pickup Truck + SUV Talk,” Bengt Halvorson of Green Car Reports and I—all NACTOY jurors—talk about the nominees, most of which all or some of us have had first-hand experience with. (The others we will when we drive them next month during a comparison drive.)

And you can see it all here.

Mike Ramsey on Autonomy and Electrification

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By Gary S. Vasilash

Mike Ramsey, as a vp and analyst for Gartner on the topics of Automotive and Smart Mobility, spends his time researching and thinking about those two topics and consulting with a wide array of people in the auto industry on the subjects. And on this edition of “Autoline After Hours” Ramsey talks to “Autoline’s” John McElroy and me about, primarily the subjects of autonomous vehicles (AVs) and electric vehicles (EVs).

Although AVs are getting far less attention than EVs, Ramsey suggests that work continues apace on the development of the technology. One of the factors that is going to play a big difference for the greater availability of AVs, Ramsey says, is a decrease in the cost of sensor technology (e.g., lidar). This will help make the calculations for the function more in line with what are automotive economics.

Ramsey suggests that with the amount of data that Tesla is collecting from its vehicles it may be in a prime position to make the move to actual full self-driving capability—but Ramsey underscores that it is probably not going to be with the present setup of sensors that are currently used for the various Tesla models.

EVs are going to be more widely accepted, Ramsey says—but this will require that the price points of the vehicles have to go down in order for people to be able to get into the vehicles, with most of the models out there being in the luxury pricing strata.

Another thing that needs to be addressed vis-à-vis EVs is the charging infrastructure, which many consumers have found to be quite disappointing. Ramsey thinks that automotive OEMs are going to have to think long(er) and hard(er) about what their role in charging needs to be because no matter how good the product is, if the charging experience is a negative one (a recent J.D. Power study on charging found that people are not exactly pleased with their experiences), then that will reflect poorly on the whole undertaking.

You can see the show here.

Sandy Munro on Tesla and Other Electric Vehicles

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By Gary S. Vasilash

Sandy Munro is a Tesla teardown artist.

“Teardown” as in Munro and his team at Munro & Associates taking apart Teslas—and other electric vehicles—and then carefully cataloging and assessing each element that goes into making an entire vehicle.

Munro brings to the activity a 30+ year understanding of what it takes to build a vehicle with best practices. And because he is deeply versed in things like design for manufacturing, he is able to identify where those best practices aren’t being performed.

While Munro had done extensive work on analyzing vehicles that have internal combustion engines, he says that that is behind him for the simple reason that he believes that electric vehicles are going to take a considerable portion of the new vehicle market.

He says that somewhat analogously to Moore’s Law in computing, there is Munro’s Law that has it that if 2022 has electric vehicles at 5% of the new car market, then it will be 10% in 2023, 20% in 2024, 40% in 2025, 80% in 2026.

Given the amount of money global OEMs are spending on developing battery production capacity, it seems that they don’t disagree with Munro.

One of the interesting things that has happened to Munro’s career is that whereas the suburban Detroit firm that he heads once performed its work in relative obscurity, some of the work that the company is doing—like his teardowns of the Model 3 and Model Y—have been put on a YouTube channel, which has led Munro to considerable fame or notoriety—depending on your point of view—particularly within the Tesla community.

On this edition of “Autoline After Hours” Munro talks with “Autoline’s” John McElroy and me on a variety of subjects, including his fame among nine-year-olds. Seriously. (Munro points out one reason why an increasing number of EVs will be sold is predicated on kids influencing their parents, and he thinks that OEMs who ignore the young do so at their peril.)

You can watch the entire show here.