Hyundai, Powered By BMW?
BMW turns more and more into the world’s purveyor of engines. If recent talks are successful, BMW motors could power Hyundai cars. This according to a report in Germany’s industry publication Automobil Produktion.
The magazine reports that Chung Eui-Sun, Vice-Chairman of Hyundai Motor Company and only son of und Hyundai CEO Chung Mong-Koo, has been in Munich to start the talks.
BMW needs to put its engines into more than its own 1.7 million cars which BMW sold in 2011. The development of a new engine family costs between one and two billion Euro ($1.3 to 2.6 billion.) The 5.7 million units sold by Hyundai/Kia could deliver the desired scale effects.
BMW has engine alliances with PSA and Toyota. A cooperation with GM could be in the works. With so many partners, there also are ten times as many toes to step on. Both BMW and Hyundai officially deny any talks.
“Further co-operation partners are currently not foreseen,” BMW CEO Norbert Reithofer told Reuters. A Hyundai spokesman called speculations about meetings between senior company officials ” groundless.” Nevertheless, a source inside of BMW confirmed to Reuters that there are talks “in the early stages.”
Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.
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The new GM 3.6 makes 323HP, weighs 355 lbs, and gets 31mpg in a 3800 lb Camero. I don't think any other v6 can match that, at any (absurd BMW)price. I wouldn't buy GM because of the bailout, but give credit where it is due.
An Asian spoiled rich kid with a crush on BMW? How novel! BMW does seem to be the company putting the most sophisticated ICEs into production. That new M5 with twin turbos, an 8000+rpm ceiling and a valvetronic valve train is one snazzy piece of kit.
Although there is potential for market volume to BMW, I can only see Hyundai wanting a BMW engine to add it to their Genesis(Toyota/Lexus as originally planned) line up differentiating/upgrading Hyundai over Kia. Kia, a separate corporate identity, has chewed up the home market becoming Hyundai's direct competitor. I read in a narrative that East Asian companies have a firm belief, that they must be dominant in their home market to be successful elsewhere. But Sean Connery in Rising Sun has more knowledge in Korean culture than me and whoever wrote that book, so this is just an opinion.
Hey, stands to reason: Motorenwerke.