Friday, July 28, 2006

The Fight for GM

Just when you thought the possible GM merger with Nissan/Renault was solidly under review, here they come, the largest automaker in Japan and soon to be the largest in the world to crash their party. While there have been no outright claims made, there have been many rumors floating around Toyota that there is an interest in having dealings with General Motors.

Being the biggest, Toyota is living in fear that if a deal such as GM/Nissan where to go through, their supremacy might be challenged. While it is clear that Toyota would not like to buy a stake in GM, it is poised to make GM an "offer they can't refuse" (Autoblog). Toyota believes that they possess more of the technology that GM needs to become a profitable company once again. Toyota has hinted that they would be interested in sharing engineering techniques, sharing platforms, and sharing technology to help GM get out of the red. What Toyota would get out of this is unclear but what is clear is that this could prove to be one of the greatest shakeups in the automotive world.

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