Could a BMW engine land in a GM vehicle?
Friedrich Eichiner, a member of BMW’s board, told Automotive News Europe that BMW could sell engines and other components to competing automakers. Reports that BMW was shopping for buyers for engines and transmissions first surfaced in the German media this February. Eichiner confirmed that GM, Daimler, and Fiat are in talks with BMW.
BMW would sell the components to other automakers in an effort to boost profitability. This is one of the points in CEO Norbert Reithofer’s Number One plan that was announced last September. Selling the components to other automakers could increase the total number of engines and transmissions built, which would drop the cost of an individual unit.
Source: Automotive News Europe (subscription required)