Return of the Rebates, Farewell to the HEMI, Hello to GROK

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We’re tearing up and tearing it up this Tuesday as we talk about the return of cash rebates from a less than likely contender. We also help Stellantis say goodbye to the Hemi (kind of), as well as preparing a handshake for the new AI jock on the block…Grok. 

• Amidst a notable deceleration in the EV market, automakers are adapting their sales strategies, reflecting a shift from a period of high demand to a more challenging landscape where incentives are becoming key to moving inventory.
  • Ford has reduced the price of its new Mustang Mach-E SUV by $7,500 due to "competitive realities.". Ford is also offering a $7,500 rebate on top of the federal tax credit on some F-150 Lightning pickup trucks
  • VW is advertising an ID.4 lease with no down payment.
  • "I think there was a miscalculation about demand and how much EVs would be coveted,” observed Joseph Yoon, an analyst at Edmunds, pointing to a mismatch between the industry's expectations and the current consumer buying behavior.
  • Ultimately, the discounts are a costly way to buoy demand, said Jeff Dyke, president of , a publicly held car retailer with dealerships around the U.S. “Is it sustainable forever? Absolutely not. They’re going to have to find a way to make these things cheaper,” Dyke said.
    
    
    
• 2025 will be the year the world will hear Scott Simons cry as Stellantis kisses the iconic HEMI goodbye. As the company is steering its light duty Ram trucks towards electrification.
  • In the meantime, a new plug-in hybrid model, the Ramcharger, is set to enter the market as a transitional option for consumers hesitant to adopt fully electric vehicles.
  • The company's strategic pivot includes replacing V-8 Hemi engines with six-cylinder "Hurricane" engines and older V-6 options in light-duty trucks.
    • Basic HEMI produces 394hp. One version of the new Hurricane produces 540
  • Stellantis faces penalties for not meeting U.S. emissions standards, driving a shift to improve the fuel efficiency of Ram models.
  • "Think of the cost per kilowatt-hour," Ram brand chief Tim Kuniskis stated, emphasizing the balance between affordability and performance in their upcoming electrified vehicles.
    
    
    
• Your savant level, overly direct, college roommate AI Chatbot has finally hit the scene as Elon Musk's new company, xAI, has launched a language model named Grok. Grok boasts a more unfiltered and witty approach to AI interactions, challenging the norms of AI guardrails.
  • xAI leverages Twitter's data, now known as the X platform, to provide real-time world knowledge to Grok and is claimed to have fewer restrictions than competing AI models, meaning it is willing to engage in more controversial topics or "spicy" questions.

Hosts: Paul J Daly and Kyle Mountsier

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