🎡 November 18: Affordable Wheels & Robotaxi Dreams

Affordability rebounds, Audi ditches keys for clicks, and Tesla’s robotaxi dreams hit the fast lane—but are they stuck in traffic?

Author

Chris Reeves
November 18, 2024

The Gist

October brought a win for buyers and dealers alike: vehicle affordability ticked up, thanks to falling loan rates and rising incentives. Meanwhile, Audi’s digital keys rolled out with Samsung Wallet, proving that phones are officially the new car keys.

Volkswagen teased a new Tiguan, but one blurry taillight photo doesn’t scream “game-changer.” Over at GM, 1,000 job cuts left us wondering how “record profits” pair with layoffs.

Ford’s ending 2024 with EV discounts galore, but Lucid’s recall over a wiring snafu might make you double-check your specs. Tesla stock soared on whispers of self-driving regulations from Trump’s team, but Musk’s robotaxi dreams are still more hype than reality.

The takeaway? Deals are hot, tech is evolving, and the industry's balancing optimism with oops moments. Stay strapped in.

Fuel For Thought

đź“Š Affordability Makes a Comeback

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Vehicle affordability improved in October, bringing a sigh of relief to buyers and dealers alike. Here’s the scoop on what moved the needle, according to the Cox Automotive/Moody’s Analytics Vehicle Affordability Index:

  • Interest Rates Dropped: Average loan rates fell to 10.20%, the lowest in 15 months, giving buyers some breathing room.

  • Incentives Rose: Automaker incentives helped offset high vehicle prices, showing a much-needed boost in manufacturer-buyer relations.

  • Income Growth Boosted Buying Power: Year-over-year income growth hit 3.5%, tipping the scales toward better affordability.

  • Monthly Payments Declined: Average payments dipped 1.5% to $743, a notable improvement from last year’s highs.

  • Fewer Weeks of Income Needed: Median income buyers needed 37.4 weeks to afford a new vehicle, a marked improvement from 40.7 weeks the prior year.

🎯 Digital Keys Go Mainstream

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Tech-Savvy Convenience for Audi Owners

Audi is the latest automaker to integrate Samsung Wallet’s digital key functionality, enabling drivers to unlock, lock, and start their vehicles with their Galaxy smartphones. This feature, available for select Audi models in Europe, rolls out globally soon.

More Than Just a Gimmick

Using ultra-wideband (UWB) technology and rigorous EAL6+ security standards, the digital key offers robust protection against unauthorized access. Owners can even remotely lock or delete keys if their device is lost, adding peace of mind alongside convenience.

Connected Ecosystem Dreams

Samsung Wallet consolidates digital keys with payment options and IDs, reinforcing its vision of a seamless, secure Galaxy ecosystem. This move keeps Audi in the running for automakers embracing cutting-edge tech to simplify car ownership.

đźš— The Tiguan Glow-Up

Volkswagen

The Tiguan has been a dependable but unexciting player in Volkswagen's lineup. Now, it's ready for its next act with a sleek redesign, but are we all impressed? Let’s get into it.

What’s so exciting about one blurry photo of a taillight?

Not much, really. But VW promises the new Tiguan will be a serious update on its MQB Evo platform. Think of it as the same solid Tiguan, but with fresh moves and possibly a hybrid under the hood.

Will it blow our minds at the LA Auto Show?

Doubtful. VW isn’t spilling all the beans yet, so unless the debut includes fireworks and a DJ, we might leave with more questions than answers. Still, we’re curious to see if the Tiguan inherits some pizzazz from its European cousin, the Tayron.

Does this actually mean anything for US dealers?

Yes! A fresh Tiguan could reignite interest in a model that’s felt stagnant. With VW teasing better powertrain options and equipment, it’s time to gear up for what buyers may call "finally!"

🤔 GM Cuts 1,000 Jobs—Why Now?

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GM is trimming its workforce amid market shifts and strategic realignment. Let’s see if their reasoning checks out.

A thousand layoffs? Really?

Yep, mostly salaried workers in Detroit. GM says it’s about optimizing efficiency and prioritizing speed. Cynics might call it "cutting costs at the expense of people."

But didn’t GM just report record profits?

Correct! That’s why the United Auto Workers union is fuming. While GM reaps big profits, it’s also reducing jobs, which feels less like strategy and more like shareholder appeasement.

Does this shake things up for EV goals?

Possibly. As EV adoption grows slower than anticipated, GM may need to rethink its “all-in” approach. Fewer workers might mean leaner teams, but leaner isn’t always better.

⚡ Ford’s EV Discounts Zap Competition

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Ford Ends 2024 with a Bang

Ford’s year-end sales event is highlighting its EV lineup, offering significant discounts on the Mustang Mach-E and F-150 Lightning. With financing perks, bonus cash, and free home chargers, Ford is trying to end the year buzzin’.

Lease or Buy, It’s a Win

Buyers get 0% financing for 72 months plus $5,000 in bonus cash. Leasing? Even better—up to $10,500 in savings on the Mach-E. Ford is rolling out incentives that might finally nudge fence-sitters into the EV camp.

Strong EV Momentum Builds

With EV sales up 38% this year, Ford’s strategy of making EV ownership easier (think free chargers and live support) is a smart play for capturing market share. As the year closes, Ford proves it’s charging ahead with confidence.

🛠️ Lucid’s Costly Wiring Oops

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Short Wiring, Big Problems

Lucid Motors is recalling over 1,500 Air Pure EVs due to a wiring harness issue that can cause power loss. The luxury EV maker admitted to a documentation error that led to a design flaw in the rear motor’s harness length. Oops.

Customer Fallout and Repairs

Impacted owners might see alarming warning messages before experiencing reduced or total power loss. Lucid’s fix? Free harness replacements for all affected vehicles—a necessary move to avoid lasting damage to their reputation.

Lessons Learned for a Growing Brand

As a newer player in the EV space, Lucid’s growing pains show that attention to detail matters. With a $71,400 starting price, buyers expect precision—not preventable recalls.

🚦 Trump’s Rules Could Drive Tesla Ahead

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Elon Musk and President-elect Donald Trump are teaming up on self-driving regulations. Are we entering the golden age of robotaxis, or is this another promise stuck in traffic?

Why is everyone so excited about Trump and Tesla teaming up?

Because apparently, nothing screams "cutting-edge technology" like revisiting the 2016 bromance. A federal framework could streamline self-driving approvals, but Tesla’s Full Self-Driving (FSD) still needs to get, you know, fully self-driving.

But doesn’t Tesla already lead in autonomous tech?

Not really. Tesla’s FSD is a Level 2 driver-assist system, far from fully autonomous. Musk has been promising “self-driving next year” for nearly a decade. Meanwhile, competitors like Waymo and Zoox are already giving rides in actual robotaxis.

So, does this national framework even matter for Tesla?

Eventually, yes. Easing regulatory roadblocks could benefit Tesla long-term, but it might help Waymo and Zoox even more. Tesla needs its tech to catch up before it can cash in on any regulatory windfalls.

What’s this about $299 Model Y leases?

It’s Musk’s latest sales booster shot. Tesla is slashing lease prices and leaning on the Model Y and non-Foundation Cybertruck to hit year-end delivery goals. Investors are thrilled—but only as long as the hype holds.

Will Tesla finally deliver on its robotaxi dreams?

Let’s not hold our breath. FSD’s safety-critical interventions need a 1,000x improvement before robotaxis become viable. Until then, Tesla’s “self-driving” might remain stuck in the slow lane.

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