The auto giants reported closing their car subscription programs due to unprofitable projects.
Many car subscription services are facing problems. According to Autoblog , Automotive News has already learned that Audi and BMW, respectively, are terminating and suspending their services. Audi is winding down its Select program Jan. 31 with no mention of a revival, while Nashville-only BMW Access is shutting down as the automaker develops the “next iteration” of the service, Engadget wrote.
The two brands did not elaborate on their decisions. However, when Mercedes-Benz closed the feature, it cited mediocre demand and complaints about difficulty switching personal items between cars. Although not mentioned at the time, the COVID-19 pandemic didn’t help matters. People drive less to work, if at all, and may be more interested in saving money than in the flexibility of car-sharing.
Subscription services, such as Volvo Care, are still in operation, though it’s unclear how well they’re working.
There may be a slight revival. Automotive News says Cadillac is testing a revived Book service with dealers, though it will come a year after the brand’s revival in early 2020. Still, the overall market seems to be shrinking – at least for now, the subscription strategy hasn’t lived up to expectations.
In addition, last year made it clear that the days of the internal combustion engine were numbered. The year 2020 saw explosive growth in the electric vehicle segment of the auto industry, with nearly every major manufacturer or brand group announcing, introducing or announcing new and future electric vehicles.
As a reminder, there have long been scraps of information about Apple’s secretive drone division, Project Titan, but a new report finally provides some more specific details about the tech giant’s plans for the auto industry. According to the report, Apple could start producing its own electric car as early as 2024.
We also told you that Ford announced a safety recall of the 2020-2021 Explorer and Lincoln Aviator, as well as the 2021 E-Series. The recall addresses completely different issues.