Volvo to BMW rumor pops up yet again

Jeremy Korzeniewski — Mon, 27 Oct 2008 08:01:00 EST

Filed under: Hirings/Firings/Layoffs, BMW, Volvo, Rumormill

Another day, another rumor of the sale of Volvo's automobile operations. Of course, Ford is the current owner of the Swedish maker of shapely bricks, and the Blue Oval could definitely use the money as it tries to regains its shaky footing in its home market. A sale of Volvo has been spoken of for the last few years, and industry talk has seemed to pick up steam as Ford unloaded the other automakers that used to make up its now defunct Premium Auto Group. BMW has been mentioned as a possible suitor for Volvo in the past and its name has popped up yet again. At some point, we have to wonder if there's some truth to these rumors, despite the fact the both automakers have continued to deny the possible sale. Still, it wouldn't seem to be the ideal fit, as Volvo's reputation of building safe but somewhat dowdy vehicles clashes with BMW's sporty intentions.

[Source: Times Online]

Volvo to BMW rumor pops up yet again originally appeared on Autoblog on Mon, 27 Oct 2008 08:01:00 EST. Please see our terms for use of feeds.

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Volvo still wants to compete with the Germans, despite rumors of sale

Dan Roth — Mon, 07 Jul 2008 11:33:00 EST

Filed under: Trends, Etc., Volvo

Ford says Volvo's not for sale, and the Blue Oval would be smart to hold on to its remaining vestige of the Premier Auto Group as long as it can, especially since engineering and platforms have become so entwined with Dearborn's product line. For its part, Volvo is angling to take on the high end Germans. Volvos have long been premium products, having built a reputation on exceptional durability, meticulous engineering, and of course, safety. Try as it might, however, Volvo has a hard time competing head on with BMW, Audi and Mercedes. The cachet of the Swedish automaker is diminished compared to the Germans, and dynamically, Volvos tend to get schooled hard despite being good, capable drivers when taken alone.

Operations chief Steven Armstrong tells Automotive News that Volvo is looking to be mentioned in the same breath as its intended targets, even as losses mount and layoffs ensue. Volvos already occupy the same pricing arena as the premium Germans, but that's partly due to a weak dollar and transport costs. The possibility of building its cars in the United States might bring prices down and allow better developed performance versions, versus the outclassed R models of the past. Also hurtful is the model range's appetite for fuel -- we've gotten mileage in the teens from some Volvos in the Autoblog Garage. Armstrong says that the fuel economy issue will be addressed soon as technologies like start-stop, energy recovery from braking, and further down the road, hybrid powertrains are brought to market. Green is a good way for Volvo to go, given the Scandinavian proclivity for low-impact, gentler consumption. What it all means is that soon, we may see a kinder, gentler, meaner, faster Volvo product lineup -- possibly managed by Russian, Chinese, or Swedish owners.

[Source: Automotive News - sub req.]

Volvo still wants to compete with the Germans, despite rumors of sale originally appeared on Autoblog on Mon, 07 Jul 2008 11:33:00 EST. Please see our terms for use of feeds.

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