This is just breaking, so there's not much in the way of details, but Toyota wants to increase their ownership of FHI (Subaru) to about 17 percent. Currently they own 8.7 percent of FHI.
Full story here . It's also mentioned briefly at the end of this Bloomberg.com story here ...
Without knowing any more than this, I'd say this is good news for Subaru. They've always been a small and cash-strapped company, which has been a long-standing impediment, so I would think this could open more doors within the Toyota Empire. If Toyota, by purchasing a larger stake of FHI, can offer Subaru the assetsâmonetary, technical and production supportâthat will allow them to do what they do best, then great.
UPDATE: Here's a more informative article from Forbes.
UPDATE # 2: FHI has issued a statement on the above story here; and here is an updated Bloomberg.com story. So, what does this mean? It's likely gonna happen, The question is when?
UPDATE: Here's a more informative article from Forbes.
UPDATE # 2: FHI has issued a statement on the above story here; and here is an updated Bloomberg.com story. So, what does this mean? It's likely gonna happen, The question is when?
xwesx says:
04:21 PM, 04/ 1/08
Perhaps, but I would more expect Toyota to eventually strip the technology out of Subaru and leave it for dead. That is the pessimist in me coming out. :P
jeffmc says:
05:54 PM, 04/ 1/08
Thanks for the breaking news, Bob.
As long as FHI stays in control of Subaru products, I'm OK w/Toyota's help & influence. Once (if?) Toyota starts trying to actually pull the strings, that's when I'll be afraid of the result. I'd hate to see the demise of one of the few remaining small, independent automakers.
estreka says:
05:56 PM, 04/ 1/08
I have my usual reservations about this. Toyota is getting awfully close to having a controlling share of Subaru.
benson2175 says:
12:52 AM, 04/ 2/08
Imagine a world where the WRX has traction control nannies that you can't turn off.
css1 says:
06:10 AM, 04/ 2/08
My Opinion,
I could see the next Lexus ES shareing the next Legacy drivetrain.
While re-badged Toyotas will not work for Subaru - It could be more harmfull to Lexus as the luxury market grows.
Toyota can also benefit from the boxer diesel in other parts of the world.
Subaru is small but profitable.
This is not like GM/SAAB. Both Toyota and FHI have technology to share.
Charlie
ateixeira says:
07:55 AM, 04/ 2/08
Forget VSC, it's the numb steering that scares me the most.
I don't think they would do that, though. Toyota wants to use the WRX platform to build a RWD Celica.
That's been rumored for a while. Anyone want to bet against that Celica now?
moparbad says:
01:37 PM, 04/ 2/08
Subaru's are not purchased for Toyota technology. Cost sharing on component purchases and raw materials as well as shared manufacturing overhead are obvious opportunities for Subaru involvement in Toyota.
A partnership I could accept. Ownership in Subaru will result in meddling by Toyota and dilute the very core of what Subaru is. There is abundant capital available to Subaru from sources other than competitive manufacturers.
I believe this investment was made to allow Subaru to manufacture a model for Toyota in addition to the Camry.