Is Volkswagen Preparing To Swallow Yet Another Car Company?

Malaysian national carmaker Proton said it would reveal the results of talks for a possible alliance with German's Volkswagen AG next month after Wednesday announcing a profit in the quarter through March.

Proton's Chairman Mohamad Nadzmi Mohamad Salleh declined to say whether it would involve any equity tie-up or just a technical collaboration with Europe's largest carmaker. He said Proton has to focus on ramping up exports for its long-term survival, and is open to working with global carmakers to bolster economies of scale.

"We will make an announcement in one to two weeks," he told reporters.

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GTR35 - 5/26/2010 3:38:02 PM

+7 Boost

why?

upwards - 5/26/2010 3:48:38 PM

+3 Boost

We have a winner!

OBSERVER1984 - 5/26/2010 4:15:59 PM

+2 Boost

I cannot believe that VW is making GM's and Ford's old mistakes. Having a huge number of companies is a ticking bomb. Why they need it?

The only logical explanation that comes to my mind is that soon or later VW will kill all the small for?ign companies like SEAT, Proton and so on and will turn them into two big brands - cheap Skoda and main Volkswagen, or only a big global VW brand.

Joe_Limon - 5/26/2010 5:01:43 PM

-4 Boost

Was it the number of brands that killed gm? Or was it not staying true to those brands? For example, marketing minivans under the pontiac label etc?

sethm - 5/26/2010 6:27:13 PM

+3 Boost

Doesn't Proton own (or partially) Lotus?

91z4me - 5/26/2010 8:00:05 PM

+2 Boost

Yes it does.

91z4me - 5/26/2010 10:55:00 PM

+1 Boost

Apparently I spoke incorrectly. VW attempted a tie in with Proton but it failed in 2006.

http://en.wikipedia.org/wiki/Proton_%28carmaker%29#Abortive_strategic_partnership_with_Volkswagen_AG

Next time instead of deboosting me, just post the correct information, jerks.

MSP6 - 5/26/2010 6:59:46 PM

0 Boost

Easy entry into F1, make sense since they already expressed their intentions to join the top flight.