BMW & Fiat talking over MINI / Alfa Romeo cooperation

[KokkenTor]

From Automotive News Europe:

"Fiat, BMW plan small-car alliance
AUTOMOTIVE NEWS EUROPE
July 8 12:09 CET | UPDATED: 07/08/08 12:30 CET

BALOCCO, Milan -- Fiat and BMW will cooperate to develop a new platform for small cars, supplier sources said.

The platform will underpin the next Fiat Grande Punto and BMW's third-generation Mini. Both cars are due early in the next decade.

The two companies are also considering developing a new family of gasoline and diesel engines, sources told Automotive News Europe.

Fiat Group CEO Sergio Marchionne said today that the carmaker will announce a cooperation agreement with another automaker tomorrow.

"Most likely it will be in the car business," Marchionne said on the sidelines of the press introduction of the 500 Abarth model here.

Marchionne did not give any more details on the cooperation.

But supplier sources familiar with the matter told ANE that Fiat and BMW will cooperate on a new small-car platform.

Fiat already has industrial alliances with other carmakers including PSA/Peugeot-Citroen, Suzuki and Tata.

BMW cooperates in Europe with PSA on engine production and the company has a joint venture in China with Brilliance.

Automakers increasingly are cooperating with competitors to reduce investments costs for new models."

Automotive News Europe -- In-depth coverage of the European automotive industry with special features for subscribers

 

[Centurion]

Re: Breakning News: BMW and Fiat in small-car alliance!

...........and in an office some where in Stuttgart Mercedes executives are leaning back relieved that they parted with Chrylser and are now hoping that BMW will inherit some of Fiat's horrific quality and reliability. .

 

[Tarek]

Re: Breakning News: BMW and Fiat in small-car alliance!

^ Lol

 

[rev]

Re: Breakning News: BMW and Fiat in small-car alliance!

...........and in an office some where in Stuttgart Mercedes executives are leaning back relieved that they parted with Chrylser and are now hoping that BMW will inherit some of Fiat's horrific quality and reliability. .

LOL! To be honest, I'm really concerned about this upcoming partnership. I've got the feeling that it's going to affect BMW's quality and reliability in a bad way.

 

[speed_kills]

Re: Breakning News: BMW and Fiat in small-car alliance!

They should buy Lancia or Alfa romeo and make them their "poor people" brand, a less expensive bmw with different clothes

 

[EnI]

Re: Breakning News: BMW and Fiat in small-car alliance!

"BMW and Fiat in small-car alliance!"


Never stand still?


OK, seriously ... I have no idea & info BMW & Fiat have even been in talks. So, are we sure it isn't all about Fiat & Daimler alliance, not BMW & Fiat. Since Fiat & Daimler have been in talks about small-platform cooperation.

Also: regarding engines - yes, BMW / PSA alliance on I4 engines is seeking new partners. Perhaps Fiat will join.

It will be revealed tomorrow on a press conference. No word from BMW. Yet.

 

[KokkenTor]

Re: Breakning News: BMW and Fiat in small-car alliance!

Press realise from BMW (translated by Babelfish):

BMW Group and Fiat Group of automobile sign declaration of intent
08.07.2008

+++ co-operation with platforms and components examined +++ employment in the marks MINI and Alfa Romeo intended +++


Munich/Turin. BMW Group and the Fiats Group of automobile (FGA) examine a co-operation within the ranges platforms and components for the respective company marks MINI and Alfa Romeo. An appropriate declaration of intent (memorandum OF Understanding) became of Friedrich Eichiner, executive committee BMW AG for company and Mark development, and Alfredo Alta mansion, senior Vice President Business development of the Fiats Group of automobile, and CEO von Fiat Powertrain Technologies signs.

“We examine at present with the Fiat Group possibilities for a common use of components and systems with the marks MINI and Alfa Romeo, over in the context of our strategy NUMBER ONE of scale effects and thus reductions of costs of reaching”, said Eichiner in Munich.

“Planned co-operation with BMW Group is a large milestone in the course of our cooperative strategy. We are pleased much, with a so estimated and respected partner in the automobile industry to co-operate with the clear goal of improving the competition position of both enterprises further”, explained Sergio Marchionne, CEO of the Fiats Group and Fiats of automobile.

The two partners agreed upon silence regarding details of possible co-operation. Results of the cooperative discussions might be present up to the end of the yearly.


In German language:
Press Information

 

[jack]

Re: Breakning News: BMW and Fiat in small-car alliance!

i'm not afraid of this partnership
the first mini inherited parts of the rover 25, and it was still a great car
fiat has increased extremely in terms of quality

looking forward to the results of this partnership

 

[EnI]

Re: Breakning News: BMW and Fiat in small-car alliance!

So, actually they plan a cooperation between MINI & Alfa Romeo.


Sounds good.

 

[jack]

Re: Breakning News: BMW and Fiat in small-car alliance!

in this cooperation the real winner is alfa(fiat)
the MiTo simply isn't as sporty as they wanted it to be, so this is definitly going to help them
but it seems that cost reduction bmws new credo - next to efficient dynamics

 

[EnI]

Re: Breakning News: BMW and Fiat in small-car alliance!

in this cooperation the real winner is alfa(fiat)
the MiTo simply isn't as sporty as they wanted it to be, so this is definitly going to help them
but it seems that cost reduction bmws new credo - next to efficient dynamics

Just like Peugeot / Citroen is a winner - getting advanced BMW-developed Prince engines. But on contrary the production is cheaper, and BMW gets more profit per MINI vehicle. Win - win.



*****


BMW in talks with Fiat over MINI / Alfa Romeo cooperation

Tue Jul 8, 2008 10:11am EDT

FRANKFURT (Reuters) - BMW (BMWG.DE: Quote, Profile, Research, Stock Buzz), the world's biggest premium carmaker, is in talks with Italy's Fiat (FIA.MI: Quote, Profile, Research, Stock Buzz) over a possible cooperation between their Mini and Alfa Romeo brands, the two said in a joint statement BMW sent on Tuesday.

"We are currently examining with the Fiat Group possibilities for the joint use of components and systems in Mini and Alfa Romeo vehicles in order to achieve economies of scale," BMW management board member Friedrich Eichiner said in a statement.

The results of the cooperation discussions will probably be achieved by the end of the year, they said.

While the two have agreed not to divulge any details of the possible collaboration, an industry source told Reuters it could involve Alfa's planned MiTo subcompact.

A cooperation with Alfa in the field of engines was unlikely, the person added. BMW already uses petrol engines for the Mini that it jointly developed with French partner PSA (PEUP.PA: Quote, Profile, Research, Stock Buzz), which uses them in its Peugeot 207 subcompact.

"The proposed cooperation with BMW is a significant cornerstone of our strategy of alliances," Fiat Chief Executive Sergio Marchionne was quoted as saying in the statement.

 

[Zafiro]

Re: Breakning News: BMW and Fiat in small-car alliance!

LOL! To be honest, I'm really concerned about this upcoming partnership. I've got the feeling that it's going to affect BMW's quality and reliability in a bad way.

Dream on, this wont affect a single thing for BMW cars. BMW are the boss here, not Fiat.

 

[EnI]

Re: Breakning News: BMW and Fiat in small-car alliance!

Dream on, this wont affect a single thing for BMW cars. BMW are the boss here, not Fiat.

It has nothing to do with BMW cars at all. It's only about MINI (and Alfa Romeo). BMW cars are not affected by this cooperation!

 

[Deleted member 25]

Re: Breakning News: BMW and Fiat in small-car alliance!

I am amazed how low you rate Fiat.

 

[SCOTT27]

Re: Breaking News: BMW and Fiat in small-car alliance!

You would be surprised how Fiat have turned around it's ailing operations and that is one reason that BMW were attracted to - how problems were solved by focusing on the product.
Why not Smart? BMW are not willing to again align themselves with a

This arrangement is especially good for MINI because currently projections with the addition of the upcoming SAV MINI sales will reach around 340,000 units by 2015 MINI brand hopes to sell over 500,000 MINI branded vehicles.

The exciting part means that the MINI brand is now all open to ideas such as a MINI based Compact Speedster and a smaller Fiat based MINI-issimo small city car it also means the additional sharing of smaller engines between Fiat Group and MINI.

 

[Foxfire]

Re: Breakning News: BMW and Fiat in small-car alliance!

in this cooperation the real winner is alfa(fiat)
the MiTo simply isn't as sporty as they wanted it to be, so this is definitly going to help them
but it seems that cost reduction bmws new credo - next to efficient dynamics

The sportiness of MiTo compared to MINI is yet to be determined by a proper comparison test. The first drives seem promising. Keep in mind that most who reported on this cooperation have said that it is MINI who will be using the successor Fiat Grande Punto platform, not the other way around. So if BMW deems Fiats upcoming platform is sporty enough for its next MINI, I think BMW got the good deal here and Fiat should be given credit. Fiat seems to be on a good track and I only hope Alfa Romeo will benefit. It's kind of boring having just the usual 3 german suspects to choose from in the luxury/sport department

 

[EnI]

Fiat PR disclosed another interesting asspect of the potential cooperation. :

In Milan, Fiat said in a statement the talks will include co-operation on how BMW can support the reintroduction of Fiat's Alfa Romeo brand in North America.
In US market the two companies are looking at BMW providing access to its commercial network for Alfa, they said.
BMW's U.S. sales operation includes a dedicated Mini network, they said, adding Alfa could use the common back office.

Alfa Romeo may use MINI dealer network in US market ... Hm ...



Quite some move from BMW to help Fiat re-launching Alfa Romeo brand in US.



Is this the first step for BMW to acquire AR brand from Fiat. Looks like a serious option now.

 

[Tarek]

Is this the first step for BMW to acquire AR brand from Fiat. Looks like a serious option now.

As long as they don't interfere with AR's style then i'm happy

 

[Foxfire]

That would be ... interesting. Alfa has most in common in ideology with BMW of the German 3. Sporty driving/passion without doing away with luxury. But 159 competes with BMW 3 series, the future 169 would be a 5 series fighter, while 149 would go against 1 series hatchback. How would BMW reposition Alfa?

 

[Tarek]

One of the good things i wish for if that happens is switching to RWD sedans,AR cars already handles really good for FWD so RWD ones are gonna be a thrill