vader1

-- General Motors is in talks to buy DaimlerChrysler AG's struggling Chrysler Group in its entirety, according to several reports.



http://money.cnn.com/2007/02/16/news/compa...dex.htm?cnn=yes


I have to think about it for a while before I would consider it good or bad. But seriously, I hope they are not trying to remain the largest automaker in the world by just buying their way back into it whne they have little cash.

Certain aspects of a deal would be interesting, others would be downright ridiculous.


Discuss

vader1

OK....I gave it twenty seconds of thought and think the idea is bad. One company losing money buys another car company losing money. They both are after the same type of customer and have similar lineups stressing big cars, trucks and SUV's.

Chrysler may have some technology that GM could benefit from but not $5 billion worth of technology. Chryslers big thing right now is the Hemi and many people would argue GM's LS2 and other 8s are better.

And lastly, since they compete for the loyal american buyer and big car drivers, GM has more to gain if Chrysler just continues to sink.

What am I missing here?

JonBoy

With Cadillac already showing big signs of interior and exterior design improvements, I don't see what Chrysler could offer. Chrysler's only real hit lately has been the 300C. Everything else is pretty bland.

GM, on the other hand, has the G8 and new Malibu already designed, their full-size truck is brand new, and as I mentioned, Cadillac is looking pretty good again. They only need a really strong entry-level car (like a Civic) or maybe a car-based smaller SUV/crossover (a la Pacifica or CR-V), that I can see.

I can't see where Chrysler would really fit. Cadillac might benefit from a bit more design help for their big vehicles but really, I don't see that they're doing anything wrong right now.

Chris Stack

If it goes through, my desires to own a Jeep (the last American brand I'd consider) just took a distinct dive. I picture the Grand Cherokee being another rebadged version of the Trailblazer/Envoy/Isuzu Ascender/Saab (!!)...yikes.

Maybe they can spin Jeep off as their own brand, that would be interesting....

Fred62

Perhaps there are some free deck chairs on the Titanic.

JonBoy

GM could cancel the Ram and take the extra couple hundred thousand sales for themself. Or they could put a Hemi in the new Camaro.

gomarlins3

If it happens, maybe GM would be smart and allow Foose to use the Hemi in the Hemisphere car he is selling. Chrysler and their lawyers missed the boat on that one.

Slamnasty

I heard about this and did a double-take too. GM is staying moot on the subject according to the news. The only reason I could see GM wanting to buy them is to control them and let them dissolve into obscurity, and ultimately extinction. The Hemi ain't got nothin' the LS engines don't have already, and they aren't as fuel efficient, while being physically larger.

I agree that Jeep is the only brand there worth keeping, since Dodge and Chrysler have too many redundancies (although Jeep has been adding some of those as well).

To me it just makes no sense for GM to do this, other than to consume and crap out the weakest of their historic rivals. GM is well on its way back to profitsville already without adding 3 OTHER BRANDS to the 6 American ones they already have here (to say nothing of Saab). The 300 is Chrysler's only notable standout, other than maybe the Charger/Magnum and Viper. Everything else is worthless.

In the end I don't think this will happen. I liken it to America West's barnstorming purschase of US Airways and its attempt to go even further by absorbing Delta only 12 months later. I think it's more about positioning from a publiclity standpoint than any real intent.

Chris Stack

Yeah, their new Compass sucks, but the fiancee and I had the chance to crawl around a Patriot at the Chicago auto show last weekend, and we liked it. It was a lot like her 2000 Cherokee we both miss. The Patriot is going to list at like $18-20k, I bet I could lease a stripper for cheap. Might make a good winter beater to go with the S2000; I regret not buying her Cherokee and an S2000 instead of my TSX. Those two would have been the same price if not cheaper than my TSX alone.

s2kpdx01

Whatever as long as the viper stays..I could care less about anything else Chrysler makes. Jeep...seriously...nothing they make is interesting. GM has a lot more interesting models at this point then Chrysler.