Uber to sell software, starting with four-van transit service

Uber Technologies Inc. is getting into software. The company is making the technology that powers its ride-hailing business available to others, starting with public transit agencies.

California’s Marin County transportation providers are the first customers to buy access to Uber’s software in a deal the company announced Wednesday. The tie-up represents a potential new revenue stream for Uber at a time when the company could use it.

“This is not a one-off. This is a new product and a new business,” said David Reich, head of Uber Transit, adding that the company intends to partner with other transit agencies in the future. “Together we want to make car ownership a thing of the past.”

But the effort is starting small.

The program, called Marin Connect, will power logistics for just four wheelchair-accessible vans when it begins on July 1. Teaming up with Marin Transit and the Transportation Authority of Marin, it will also make public transit sched…

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VW ID4 EV breaks cover online

The first undisguised images of Volkswagen's upcoming ID4 battery electric crossover have leaked online, showing that it will hue closely to the styling of the German automaker's fossil fuel-powered lineup while maintaining elements that identify it as an EV.

Images of the Tiguan-size EV appeared on vwidtalk.com, a forum about VW's EV lineup.

Automotive News has confirmed the authenticity of the images.

VW declined to comment,

The ID4, which is set to go on sale in the U.S. at the end of 2020, is the VW brand's second EV produced on a new MEB global architecture. The first, a Golf-size hatchback called the ID3, has been delayed by software glitches and is expected to begin deliveries in Europe in September.

The smaller ID3 is not expected to be sold in the U.S.

VW planned to show the ID4 this summer after sales of the ID3 began.

Initially, the ID4 will be assembled in Germany, with output also planned in Tennessee.

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Unchanged Fed rate signals pessimism for 2020’s second half

The Federal Reserve stayed the course on the benchmark interest rate last week, highlighting expectations for a rough road ahead for the U.S. economy. Until the coronavirus crisis ends, the lending environment will likely remain under duress.

Opportunities remain in the new-car market — but one economist says inventory challenges, a tighter credit environment and high unemployment rates will hinder sales.

The benchmark rate, which directly impacts auto lending, is a litmus test for the health of the lending market. The nation's central bank cut rates to zero in mid-March to ease the flow of credit as the coronavirus ravaged key U.S. auto markets. Auto loan rates have largely benefited from the drop, though Cox Automotive's chief economist, Jonathan Smoke, noted in his blog that subprime buyers remain challenged in credit access.

"Lower rates are helping to drive down average loan payments, but the consumers getting those lower pay…

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As new-car demand returns, leasing levels refuse to rally

Leasing, which comprises nearly one-third of new-vehicle sales, dropped in April to the lowest levels since 2015 as the coronavirus pandemic collapsed the top two leasing markets in the country and automakers saturated the market with loan incentives. Rising customer demand prompted automakers to pull back on many of those programs, but leasing levels remain well below normal.

Leasing levels fell to 24 percent in April, Experian said, down from 30 percent in April 2019. The last time the levels were below 25 percent was in the fourth quarter 2014.

Discounting auto loans is cheaper for automakers than leasing, said Melinda Zabritski, Experian's senior director of automotive financial solutions, so pulling back on leasing for the near-term makes sense. She said it is "hard to tell" when normal levels will return. "I have a hard time speculating because this is so unprecedented," Zabritski said.

As leasing levels dropped, shares of …

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U.S.: Bid by men to avoid extradition over Ghosn escape ‘flawed’

BOSTON -- U.S. prosecutors on Tuesday said a former Green Beret and his son, wanted by Japan for helping former Nissan Motor Co. CEO Carlos Ghosn flee the country, were advancing a "flawed" interpretation of Japanese law to fight extradition.

Michael Taylor and his son, Peter Taylor, were arrested in Massachusetts last month at Japan's request for allegedly smuggling Ghosn out of the country on Dec. 29, 2019, in a box while he was out on bail awaiting trial on financial charges.

Ghosn fled to Lebanon, his childhood home, after being charged with engaging in financial wrongdoing, including by understating his compensation in Nissan's financial statements. He denies wrongdoing.

Lawyers for the Taylors in a motion last week asked a federal judge in Boston to quash the provisional warrants issued in May for their arrests, arguing that "bail jumping" is not a crime in Japan.

Defense lawyers argued that helping someone jump bail was also not a crime. Wh…

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Range Rover gets 50th-anniversary edition

The vehicle that started the luxury-SUV segment in 1970, the Range Rover, is getting a special 50th-anniversary edition this year.

Land Rover said Tuesday it will build just 1,970 Range Rover Fifty models for all of its global markets. Fewer than 400 are planned to be sold in North America. Land Rover has 188 U.S. dealers, so each dealer will have the opportunity to order at least one, possibly two vehicles.

The Range Rover Fifty will be available in standard or long wheelbase and with a 5.0-liter supercharged V-8 engine rated at 518 hp. It will be available in four colors, but the Land Rover Special Vehicle Operations division will offer small numbers of the vehicle painted in one of three additional heritage colors from the original 1970 Range Rover lineup: Tuscan Blue, Bahama Gold or Davos White. All versions have special 22-inch wheels and a "Fifty" script on the thresholds, seats, console and exterior designed by Land Rover's chief creat…

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Audi opens Calif. R&D office for automated-driving development

Audi says it has opened a new automated-driving development office in Silicon Valley to help the German premium brand develop advanced driver-assistance systems for North America.

The office, in San Jose, Calif., eventually will be home to more than 60 engineers to "develop new functionalities, catered specifically to North American Audi customer needs," according to Frank Grosshauser, senior director for ADAS for Audi of America. The office will focus on development of Level 2+ systems, Audi says.

The brand has outfitted a fleet of specially marked Q7 crossovers with roof-mounted sensor kits to collect data. The vehicles are wrapped with a QR code that allows those who come across the vehicles to access a webpage about Audi's work in the area.

Audi is working with other Volkswagen Group brands in an effort called the Car.Software organization, to develop automated-driving capabilities for its vehicles.

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Chrysler opens new Michigan proving ground

Chrysler Corp.'s new engineering center and proving ground on 3,800 acres in Chelsea, Mich., formally opens on June 16, 1954, with dedication ceremonies.

To mark the milestone, Jack McGarth set a world closed-track record of 179.386 mph and Betty Skelton established a women's land speed record of 143.44 mph, both behind the wheel of a Dodge Firearrow show car.

Chrysler also used the event to publicly demonstrate for the first time a turbine-powered car, the 1954 Plymouth sport coupe.

At the time, Chrysler said engineers and other drivers at the proving ground would cover 2.5 million miles of driving in the coming year, 1954-55.

Nothing was left untested. Using a camera mounted over an open engine compartment, a 1954 Chrysler was run through a water pit to determine how and where water might land on components and cause the engine to misfire or the vehicle to stall.

Today, the center sits on 4,000 acres an…

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Tesla struggling with Model Y quality issues, report says

Tesla Inc. is delivering Model Y crossovers to customers with "significant defects", including loose seat belts and back seats that are not attached to the base, according to a report by the blog Electrek.

The issues have prompted some buyers to refuse delivery of their vehicles, the report said, at a time when Tesla is attempting to boost numbers with an end-of-quarter push. The automaker is attempting to jump-start operations after its Fremont, Calif., plant was idled for weeks because of the coronavirus pandemic.

The blog cited an email from CEO Elon Musk to staff last week acknowledging some issues with general assembly of the vehicles and saying it was "extremely important" to ramp up production and "minimize rectification needs." Musk told employees he planned to walk the line weekly to troubleshoot production snafus.

Electrek cited a Tesla owner in Maryland who attempted to pick up a Model Y last week but refused delivery b…

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Sonic updates Q2 outlook amid improving used-vehicle sales

Used-vehicle sales for Sonic Automotive Inc. so far in June have been higher than a year ago for the retailer's franchised and EchoPark locations.

The rise in used-vehicle sales is part of a steady increase in overall operations since the onset of the coronavirus pandemic in March, the nation's sixth-largest new-vehicle retailer said Tuesday in providing an updated outlook for the second quarter and the rest of the year. It follows a May update that included better-than-expected sales.

Used-vehicle sales volumes were up 7 percent on an annual basis at Sonic's franchised stores on a same-store basis month-to-date in June, compared with an 8 percent decline in May and a 32 percent drop in April. The company expects franchised used-vehicle sales volume to be in line with its original forecast in July, and to be slightly above that forecast for August through December.

EchoPark same-store used-vehicle sales volume was up 18 percent month-to-date in June, com…

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VW Group to pay $267 million for Audi buyout

FRANKFURT -- Volkswagen Group will pay a 48 percent premium to buy out the minority shareholders of premium division Audi, Audi said on Tuesday.

VW Group, which already holds 99.64 percent of Audi, announced the squeeze-out plans in February.

"Volkswagen AG announced and specified that it has set the cash settlement to be paid to the minority shareholders in return for the transfer of their shares at 1,551.53 euros per Audi AG share," the automaker said.

This compares with a share price of 1,050 euros a piece on Tuesday and amounts to a purchase price of 237 million euros ($267 million) for the 152,749 outstanding Audi shares, according to Refinitiv data.

The transfer is expected to be passed at Audi's next annual general meeting, which the automaker said should take place in July or August.

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Big shoulders and jelly beans: What people think of 2021 Nissan Rogue

Nissan's bestselling vehicle, the compact Rogue crossover, has been redesigned for the 2021 model year. It's a critical redesign for the automaker. The 2021 Rogue is the cornerstone of a product offensive that Nissan officials say is critical to the brand's rebound in the U.S.

The latest Rogue offers more usable cabin space in a similar footprint, and the dashboard is available with three displays — a 10.8-inch head-up display, a 12.3-inch digital instrument cluster and a "floating" 9-inch touch screen. All Rogue models feature a 2.5-liter inline four-cylinder engine that delivers 181 hp, an increase of 11 hp. The crossover received an updated suspension and steering system to improve driving performance and reduce cabin noise.

Here's a roundup of initial Rogue reviews and previews from the automotive media.

"Let's talk about that design for a minute. Despite the split headlights and V-Motion grille, the Rogue isn't an aggressive piece of design. Nissan…

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