BMW and Fiat Planning Small Car Alliance, Alfa Romeos could be sold through MINI in the U.S.

BMW Group and Fiat Group have signed a Memorandum of Understanding (MoU) to explore the possibility of co-operation in the areas of architectures and components for their MINI and Alfa Romeo vehicles. As part of the deal, BMW will support Fiat in launching the Alfa Romeo brand in the North American market, or to put it simple, MINI U.S. dealers would have the chance to also sell Alfa Romeos. If all goes well, the final deal is expected to be signed off by the end of the year. -Continued

"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 and thus cost reductions within the framework of our Strategy Number ONE", said Friedrich Eichiner, member of the Board of Management of BMW AG responsible for Corporate and Brand Development.

Sergio Marchionne, CEO of Fiat Group said: "The proposed co-operation with BMW is a significant cornerstone of our strategy of alliances. We are delighted to work with such an esteemed and respected partner in the automotive industry with the clear objective of improving the competitive position of both parties," Sergio Marchionne, CEO of Fiat Group and FGA, said in Turin.

Volkswagen 2028: A Glimpse into the Automotive Future

It’s the year 2028; China’s population has surpassed the 3 billion mark, man has landed on Mars, Jenna W Bush has followed in the footsteps of her sister Barbara becoming the second female President in the history of the U.S., and gas prices have dropped to $20 a gallon. But most people don’t really care (about gas prices, that is) as their cars are equipped with hybrid powetrains that utilize ultra efficient diesel engines that consuming less than half a gallon of fuel to create enough electricity to power the car for more than 100 miles.

Well, at least that’s how we envision the future. But you can also check out VW’s new interactive site called “Volkswagen2028” that attempts to give us a glimpse of the automotive world of tomorrow. Aside from the Up! that we first saw at last year’s Frankfurt Show, the German carmaker has also created three more concept cars: the sporty two seater “EGO”, the spacey and versatile “ROOM” and the three-wheeler city dweller “ONE”. -High-Res Image gallery after the jump

Link: VW2028

Porsche Wins Legal Fight over London’s Congestion Charge

Porsche has won the legal battle against the increase in the London congestion charge. The proposed congestion charge that was the brainchild of former London Mayor, Ken Livingstone, would have seen the increase of the daily levy to enter the city’s center from £8 to £25 in October.

Boris Johnson, Mayor of London since the beginning of May, was never a supporter of Livingstone‘s plans as he publicly stated that the £25 congestion charge was wrong and quite possibly even unlawful. The agreement also included the award of legal costs, however Porsche said that it will donate these costs (expected to be a six-figure sum), to the British youth charity, Skidz.

Ford Asks Students to Create 21st Century Model-T

As part of the celebrations for the iconic Model T’s 100th birthday, Ford is asking students from five universities around the world to create Model T concept for the 21st century. The participating schools are: Aachen University in Germany; Art Center College of Design in California, USA; Deakin University in Melbourne, Australia; Lawrence Technological University in Michigan, USA; and University of Michigan-Dearborn, in Michigan, USA.

The teams from the selected universities are challenged to create a vehicle that can accommodate at least two passengers and is simple, durable and lightweight. More importantly, the modern Model T must have a range of at least 200 km / 125 miles and come equipped with a base target price of only $7,000. Each of the participating universities received $75,000 in funding from Ford in order to help the creation of a vehicle concept through sketches, models, research papers and potentially, even working models.

Chevrolet Cruze: New Compact Car to Debut in Paris

Chevrolet announced today that it will take the wraps off an all-new compact model called Cruze at the Paris Motor Show in early October. The American carmaker (ok, it will probably be built in Korea) stated in its Spartan pres release that the Cruze approaches an overall length of 4.6 meters and offers ample interior space and cargo capacity for five passengers.

That means that the Cruze is quite bigger than most C-Segment models in Europe (the VW Golf is 4.2 meters long), but it’s not a first as we’ve seen other makers present relatively large compact cars like Lancia’s new Delta 5door hatch that’s 4.53 meters long. The new Chevy Cruze will be available in European markets in spring 2009, followed by other global regions.

2008 New England Summer Nationals: Classic Car Show Image Galore

Skyrocketing gas prices had no affect to the thousands of classic car owners that filled the streets of Worcester in Massachusetts with their thundering V8 engines during the 2008 New England Summer Nationals (July 3 - 6, 2008). This was the first time that we visited the largest classic car and hot rod show in the North East, and while we were stunned by the sheer number of vehicles that took part, we must say that we were disappointed with the show itself.

On Saturday, we went to check out the happenings in downtown Worcester where we paid $12 (regular admission for the 2008 Chicago Auto Show: $10!) just to walk 5 minutes around a block to see a couple of dozen of cars. In order to view the motorcycle burnouts, you either had to pay another $10 extra to sit on the platform or get really intimate with a 400 pound underarm…

Another $12 got us into the car show at Greenhill Park, Worcester on Sunday, and well, let us put it this way; we’ve never seen so many cars scattered randomly all over the place. Basically, it looked like most vehicle owners entered the park and placed their cars wherever. If anything else, it’s a pity as the New England Summer Nationals had the potential to be a truly great classic car show. -Image gallery after the jump

IMAGES: CARSCOOP