Rumors: VW wants to buy Alfa Romeo ???

Rumors: VW wants to buy Alfa Romeo ???
Volkswagen AG would be interested in purchasing Alfa Romeo from Fiat S.p.A. should the brand become available to buy, Automobilwoche reported, citing an unidentified high-ranking Volkswagen manager.

According to the same source, Alfa Romeo could support Volkswagen’s growth strategy

However on the same time, Fiat spokesman Richard Gadeselli didn’t return calls from Bloomberg seeking comment. VW spokesman Michael Brendel said the Wolfsburg, Germany-based carmaker doesn’t comment on market rumors.
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mini22mini22 - 8/23/2010 3:34:33 PM
+1 Boost
Alfa is in many ways like Jaguar. A brand that has a lot of history that has been underfunded for years. Tata's ownership of Jaguar is prooving positive for Jaguar. They have been selling and are funding new models.VW has the money. They have the design talent with Walter De Silva and Ital Design and they have a lots of platforms to use. Further VW's ownership of lamborghini has not hurt the marquee at all.I don't think Fiat's Marchionne will sell write now. However in 3 yrs if Alfa is not making money I'm certain he would then be interested.


dumpstydumpsty - 8/23/2010 8:44:00 PM
+1 Boost
Agreed. VW has shown the industry that it can own multiple brands that cover diverse levels of financially-backed clientele. Owning Alfa may allow VW to successfully expand the VW-branded lineup on the lower cost areas of sports cars (w/n the US).

But, at the same time, VW has to be careful not to over-diversify. As long as they continue to earn increasing profits for amount of sales they are confident of achieving, they should be OK. But if their core brands start to suffer in styling & content, they'll be treated like the old GM corporation....not good....which will quickly de-value all of the brands.


Larrybel2000Larrybel2000 - 8/23/2010 5:15:52 PM
+1 Boost
I think it's a great idea internationally for Alfa. VW can produce a wide range of sports cars under the Alfa name. I think Fiat will do just fine without Alpha and it's introduction back into the USA showrooms and with Chrysler.

Larry B.
Key West.


tangotango - 8/24/2010 2:07:03 AM
+1 Boost
VW should be careful. If not it will become victim to the GM/Toyota syndrome...There is no room in the automotive industry for a maker who is at the top. Haven't you noticed how soon after they get to the top they either fall from grace or are taken from it?


mini22mini22 - 8/24/2010 12:44:44 PM
+2 Boost
VW has already been through the unintended acceleration syndrome that nearly destroyed their Audi brand back in the 80's.This at a time when they were much smaller. They have climbed out of the basement already. Also I due think it's automobile culture is a little different then Toyota's.Other differences. Some of their holdings Lamborghini,Bentley,Bugatti and now Porsche are in much higher end markets. While not immune to the economic downturn the rich still have money to buy cars. I believe VW would like to scuttle Seat because it has not made money for them. Alfa Romeo has so much more history then a Seat that VW figures it can really cash in given the proper development with proper funding and proper platforms. Fiat,who has owned Alfa since the early 80's has not had the proper funding,the proper platforms or the marketing power that VW has. So as to not dilute VW platforms VW could codevelope a smaller RWD platform with Porsche for Alfa's mid line cars(As in Brera,159,166,spider) replacements. What would Porsche get out of the deal. How about a platform to create a smaller Panamera sedan and sports coupe with a front engine. This might bring it's volume up to the 150 to 200,000 car range that VW wants for it.Sports cars can only make up so much volume but will always have a limited volume appeal as they are considered 2nd cars. That's why Porsche branched out into the Panamera and Cayenne in the 1st place. And the Panamera is currently out selling the sportscars at the moment. So imagine a more affordable smaller Panamera with Porsches 300 HP new V6 engine.It could be a win win for VW. They could use a VW platform for the Mito, Giulietta replacement. Fiat could keep it's platforms for Lancia, Fiat and Chrysler. In the long run perhaps they could flourish without having to figure out how to market the Alfa brand.


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