Intel Report: The Weekly Mobility News That Matters

BY AUTOMOTIVE VENTURES | May 11 2026 | VIEW ONLINE

VCs are motivated to try to retain as much of a company as possible, all the way through to exit. | LINK

What We're Reading:

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Automotive

On the morning of November 24, 2025, automotive journalist Zerin Dube opened the door of his Jeep Grand Cherokee, settled into the driver’s seat, and pressed the start button. The dashboard came up. The infotainment screen ran its boot animation, blinked to the home view, and then loaded an advertisement on top of the home view. Not a service reminder, not a recall notice. A promotional offer: $1,500 in Loyalty Retail Bonus Cash toward the purchase of a new Jeep, timed to appear at startup, configured to linger for fifteen seconds, and programmed to return at the next ignition cycle if he failed to dismiss it quickly enough. He photographed the screen and posted it to X. The caption: “Late stage capitalism popping up on our Grand Cherokee.” The photograph captured something people had been watching develop in fragments (a feature added here, a terms-of-service update there) but hadn’t yet seen stated plainly. Dube’s Jeep had not been hacked. Nothing had gone wrong. The advertisement came from Stellantis, the company that built the truck, over the truck’s own cellular connection, to a screen in a vehicle the owner had paid for outright. To turn it off permanently, Stellantis directed owners to call the Brand Connect customer service line at 800-777-3600 during business hours. | Nobody Asked for This

Detroit carmakers have warned that the financial hit from higher commodity prices will rise to $5 billion this year as the Middle East war strains the supply chains for materials from aluminium to plastics and paint. The Big Three U.S. carmakers, General Motors, Ford, and Stellantis, all flagged commodities inflation as they reported first-quarter earnings, pledging to compensate with greater cost discipline. They could be forced to cut vehicle discounts and raise prices if the conflict drags on for more than six months given their slim margins, according to analysts. | Financial Times ($)

Many American car buyers are gravitating to hybrid vehicles to offset the recent surge in gas prices from the Iran war, according to fresh industry sales data and dealers. U.S. hybrid sales rose 37% in the two months since the Middle East conflict began ‌at the end of February, according to data from research firm Motor Intelligence. That outpaced the sales growth of the overall car market, which was up 15% in that period. But fully electric cars have not attracted the same level of consumer interest, even as U.S. gasoline prices topped $4, hitting a four-year high in late April, according to data from the American Automobile Association. U.S. sales of EVs rose just 11% in the two months since the war began, below the broader sales pace, Motor Intelligence figures show. EV sales remain far below where they were a year ago, still depressed following the expiration last autumn of a $7,500 federal tax credit. U.S. shoppers’ relative ⁠apathy toward EVs diverges from the trend in Europe, where electric sales are booming amid higher fuel prices. There are many more affordable EVs on sale in Europe, where tailpipe-emissions rules are far more stringent than in the U.S. | Reuters ($)

Ford F-150 pickup trucks are in short supply because aluminum, the metal used to make their bodies, is in short supply—and sharply more expensive than in years past. Aluminum has become a key commodity for automakers looking to boost the fuel economy and efficiency of their vehicles with a metal that is lighter than steel and doesn’t sacrifice strength. The auto industry in North America consumed 3.7 million metric tons of aluminum last year, nearly 30% more than in 2020, according to metals-market consulting firm CRU. Lately, however, higher aluminum prices from the Iran war, a 50% U.S. tariff and a production outage by a major supplier have strained automakers. "The cost of metals, specifically aluminum, has been a big focus for us,” RJ Scaringe, chief executive of electric-vehicle maker Rivian Automotive, said on an earnings call last week. The U.S. cost of primary aluminum from smelters is nearly 90% higher than a year ago. The war in Iran is driving up prices by effectively choking off shipments from the Persian Gulf countries, which supply about one-fifth of the aluminum consumed in the U.S. The U.S. aluminum industry is also heavily dependent on imported primary aluminum, mostly from Canada, but automakers and other buyers pay the tariff no matter where the metal comes from. With the global aluminum price at about $3,500 a metric ton, the tariff and delivery-related charges raise the U.S. price to $6,100, compared with $3,220 paid a year ago, according to S&P Global Energy. The pain is especially acute at Ford. The Dearborn, Mich.-based automaker switched the F-150—America’s bestselling vehicle—to an aluminum exterior body from steel in 2014. | The Wall Street Journal ($)

General Motors has reached a privacy-related settlement with a group of law enforcement agencies led by California Attorney General Rob Bonta. Back in 2024, The New York Times reported that automakers including GM were sharing information about their customers’ driving behavior with insurance companies, and that some customers were concerned that their insurance rates had gone up as a result. The settlement announcement from Bonta’s office similarly alleges that GM sold “the names, contact information, geolocation data, and driving behavior data of hundreds of thousands of Californians” to Verisk Analytics and LexisNexis Risk Solutions, which are both data brokers. Bonta’s office further alleges that this data was collected through GM’s OnStar program, and that the company made roughly $20 million from data sales. However, Bonta’s office also said the data did not lead to increased insurance prices in California, “likely because under California’s insurance laws, insurers are prohibited from using driving data to set insurance rates.” As part of the settlement, GM has agreed to pay $12.75 million in civil penalties and to stop selling driving data to any consumer reporting agencies for five years, Bonta’s office said. GM has also agreed to delete any driver data that it still retains within 180 days (unless it obtains consent from customers), and to request that Lexis and Verisk delete that data. | TechCrunch ($)

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EVs

Ford’s secret project has an ambitious goal: to figure out how to make electric vehicles in the U.S. that could compete with the Chinese models clobbering competitors globally. The secret is now out as Ford races toward building its first model, a new truck it says will be nearly as fast as a Mustang, travel around 300 miles on a single charge and feature in-car technology to compete with Tesla and China. It’s aiming for a 2027 launch and a price tag of around $30,000, the cost of a Toyota Camry. Getting there means tearing up a century of manufacturing practices in a notoriously hidebound industry. At stake for Ford is securing a future beyond the gas-guzzling pickups and SUVs that have long defined its bottom line. The project had been kept quiet from its 2022 start, led by veterans from Tesla and Apple who worked on designs out of a California office. Ford eventually brought in some of its own employees to help execute the vision. The process was filled with misunderstandings and distrust as the techie outsiders worked to win over the risk-averse industry veterans. To build these new EVs, the company must use fewer people and simpler parts, and dismantle decades of engineering inertia. | The Wall Street Journal ($)

By 1900, roughly a third of all American vehicles were electric. Given the competition, this made sense. Gasoline engines demanded brutal hand-cranking to start, a process that occasionally broke wrists and sent crank handles snapping back into their operators’ faces. Steam engines, meanwhile, had a rare but spectacular habit of exploding. Electricity, by comparison, seemed the polite option. In 1908, the first Ford Model T cost $850, considerably cheaper than most electrics. (That’s roughly $30,000 today.) By 1912, Ford Motor Company had slashed that to $590, while a comparable electric still ran $1,750. By 1923, the Model T’s entry price had cratered to $290 ($5,700 in today’s dollars). The next nail in the coffin came courtesy of Charles Kettering, who introduced the electric starter for combustion engines in 1912. One by one, gasoline’s weaknesses disappeared. Mass production drove costs down; a sprawling network of filling stations made refueling effortless and cheap. Nobody yet knew or particularly cared what burning fossil fuels would do to the atmosphere. Adventure beckoned. The electric car retreated. | The New York Times ($)

Toyota is pushing the accelerator on electric vehicle sales even as other automakers scale back their ambitious targets, in a sign that the hybrid pioneer is facing up to the threat posed by such cars — especially those made by Chinese rivals. The world’s biggest car company more than doubled EV sales in the first three months of 2026 to a record 79,002 compared with the same period last year, as the introduction of seven new models lifted its line-up of electric cars to 19. The move by Toyota, which releases annual results on Friday, comes as surging petrol prices due to the Middle East conflict reignite consumer interest in EVs and boost sales for rivals, including Volkswagen and Renault. | The Financial Times ($)

Washington turned against electric vehicles after Donald Trump became president. Congress eliminated a $7,500 tax credit for buyers last year, causing sales to plunge. But rising gas prices strengthen the argument for EVs, because electricity is almost always cheaper. And electric vehicles are becoming more affordable: Used models sell for about the same as comparable gasoline-powered cars. All of which may explain a recent revival. Monthly sales of new EVs rose 20 percent in March. Used ones soared 54 percent. | The New York Times ($)

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China

China's carmakers are hunting for their own "Yaris moment" - the kind of locally tailored breakthrough that helped Toyota conquer Europe - as they race to turn booming exports into lasting overseas growth. After early attempts that largely involved exporting China-designed cars with minor tweaks, automakers are now re-engineering vehicles from the ground up for foreign buyers, driven as much by fierce margin pressure at home as by opportunity abroad. China's overcrowded domestic market has been locked in a ‌bruising price war for years, leaving many manufacturers struggling to make money. Overseas markets, by contrast, offer room to grow - and to charge more - if Chinese brands can persuade consumers they understand local tastes. | Reuters ($)

Just two years after building its first car, China’s largest smartphone maker has already delivered 650,000 electric vehicles — on par with the number of Tesla vehicles sold last year in the world’s largest automotive market. Xiaomi founder Lei Jun, who has earned comparisons with Steve Jobs, now aims to take on Elon Musk’s company in Europe with its premium EVs known for their breakneck acceleration and advanced features that even Ford Motor Company chief Jim Farley fell in love with. Since Lei announced his plan to build a car in 2021, Xiaomi stunned the global car industry with the launch of its first model — the Speed Ultra 7 sports sedan — just three years later with 50,000 being snapped up in the 30 minutes after orders opened. After the SU7 became one of China’s best-selling cars, its second model, the $35,000 YU7 that rivals Tesla’s Model Y with designs resembling Ferrari’s Purosangue model, received 200,000 pre-orders in just three minutes at last year’s launch. | Financial Times ($)

Geely says it has become the first Chinese company to export electric vehicles from China to Canada under a new trans-Pacific trade deal, after it shipped 18 Lotus Eletre crossovers on May 7. Lotus owner Zhejiang Geely Holding Group Co. is exporting the vehicles to Canada after the government in Ottawa agreed in January to allow up to 49,000 China-built EVs each year at a 6.1 percent tariff rate. The Eletre is produced at a plant in the central China city of Wuhan constructed by Geely for the British sports car brand’s electrified models. The crossover went on sale in China in September, starting at 538,000 yuan ($79,120).The Eletre is the first high-end EV model to pass certification under Canada Motor Vehicle Safety Standards, according to Lotus’ China sales company. Geely’s move comes as other China automakers prepare to begin vehicle exports and build sales networks in Canada. CHERY Automobile Co. and BYD Co. have each begun preparations behind the scenes — such as recruiting employees — to bring one or more of their homegrown China brands to Canada in the first quarter. Chery and BYD models have also been spotted in commercial parking lots in Canada. The shipment of Lotus Eletres, though small in volume, underscores the speed with which Chinese brands are capitalizing on the new market access. To distribute Lotus, the company said it has opened six franchised dealerships in Canada as of March. It plans to add another six by year end. | Automotive News | ($)

Chinese cars aren’t on American roads, but Chinese auto parts are embedded in American cars. More than 60 auto suppliers in the U.S. today are owned by companies located in China, according to data compiled by the consulting firm AlixPartners. Those include large manufacturers of air bags, automotive glass, and steering systems. Overall, Chinese companies have amassed ownership stakes in about 5% of 10,000 suppliers in America, according to the data. While American lawmakers, politicians and carmakers have emphasized the economic and national-security risks of Chinese companies that enter the U.S. market, some of those concerns have already manifested themselves in China’s grip on the supply chain. | The Wall Street Journal ($)

Ford is in discussions to sell an assembly hall at its Valencia, Spain, plant to China’s Geely Auto. Geely plans to build a model based on its GEA (Global Intelligent Electric Architecture) platform at the factory, Spanish newspaper La Tribuna de Automoción reported. The platform can be used for small, compact, midsize and large cars with battery-electric or plug-in hybrid drivetrains. Geely’s investment will allow the company to avoid European Union tariffs on Chinese-built battery-electric vehicles, and leverage excess capacity at Ford’s underutilized facilities. The EU imposes an 18.8 percent tariff on Geely’s BEV imports from China on top of the bloc’s standard 10 percent duty. | Automotive News ($)

Chinese automakers are pushing into the one European market segment where they haven’t yet disrupted established players: light commercial vans. Chery, Geely’s Farizon Auto, and Foton Motor are launching electric vans that exploit a key advantage — unlike passenger cars, their China-built battery-electric commercial vehicles face no additional European Union tariffs. The push marks a new competitive front in Europe’s auto market. The region’s van market is tough for new entrants because fleet buyers and sole operators tend to be loyal to established brands such as Ford Motor Company, which is launching the China-built Transit City compact van in Europe to counter Chinese competition. | Automotive News ($)

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Autonomy & Robotics

What happens when your self-driving car gets too old to take the latest software update? Cell phones get traded in or recycled within perhaps 5 years (often sooner). But cars last decades. What happens when your 20-year-old car computers can’t run the software needed to keep them operating safely? Among other things, if end-of-life for support comes too soon or is done the wrong way, that can obliterate resale value for a potentially large number of used vehicles still on the road. | Phil Koopman

Building a walking, thinking humanoid is a challenge that’s captivated generations of engineers, but advances in artificial intelligence and sensor technology have led some in the tech sector to believe that a working model is finally within reach. On social media, videos of anthropoid machines from Chinese manufacturer Unitree Robotics marching and performing acrobatics have gone viral; Elon Musk has diverted some of Tesla’s manufacturing capacity away from vehicles to focus on its Optimus robots, predicting there will one day be more humanoid robots on the planet than people. So-called physical AI is quickly becoming the next phase of the AI hype cycle. Last year, humanoid robot companies raised more than $6 billion — more than 300 times the 2024 total, according to PitchBook data. One widely quoted forecast from Morgan Stanley predicts the market for humanoid robots will hit $5 trillion by 2050, with a billion units in circulation. As with AI, investors are drawn to the sector by the promise of a vast market opportunity — a transformative innovation that could reshape entire industries and societies, turning scrappy startups into trillion-dollar companies. And as with AI, the genuine potential is being overshadowed by hyperbole, vibes, messianic pronouncements, finger-in-the-air valuations and geopolitical angst. Humanoid robots have become a Rorschach test for the tech industry and its critics: a grim vision of capitalism without labor, a fully-automated utopia or another case of the tech sector suspending disbelief in pursuit of the next moonshot. | Bloomberg ($)

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Supply Chain

U.S. transportation stocks plunged after Amazon announced expanded logistics offerings that will turn it into a major competitor for parcel carriers and air freight companies. The move is a threat not just to other couriers' grasp on e-commerce, but potentially to more profitable areas such as healthcare, which UPS and FedEx have made a central part of their strategies.Amazon will offer freight, distribution and fulfillment, and parcel shipping to standalone customers, and its announcement "could be a watershed moment for North American freight transportation companies," according to Morgan Stanley analyst Ravi Shanker. | Bloomberg ($)

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Climate

President Donald Trump doesn’t like renewable energy. He has cut tax credits and regulations that favour green investments, claimed offshore wind farms make whales go “a little bit loco” and pulled the U.S. out of the Paris climate agreement (again). And yet, since his return to the White House in January 2025, the president’s actions have inadvertently raised the long-term appeal of green energy around the world. | Financial Times ($)

🚘 Car of the Week

Our Automotive Ventures "Car of the Week": a 1983 Lamborghini Countach 5000 S by Bertone. | RM Sotheby's

Have a great week,Steve Greenfield

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📰 In The News

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Thanks to Stacey Phillips Ronak at Autobody News for a summary of Steve's IBIS Worldwide keynote presentation. | Autobody News

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On this week's Future of Automotive segment on CBT News, we discuss what we learned from the Beijing Auto Show. | CBT News ($)

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