·Automotive technology innovation accelerates car companies need to reserve more funds

According to foreign media, the US Auto News Network reported that due to the current speed of technological innovation, this poses a great challenge to the capital reserves of automakers.
At present, various auto manufacturers are faced with various adjustments. The United States, the European Union and other regions are increasingly strict with vehicle exhaust emission requirements, and technology companies such as Apple and Google are entering the automotive industry. A deeper challenge is the shortening of the technology innovation cycle, which requires automakers to spend a lot of money to develop new technologies. John Clivek, president of the famous car e-commerce company TrueCar, said that the current automotive industry is undergoing a transition period, and many new technologies have emerged during this period, which requires automakers to respond quickly to the emergence of new technologies. , follow up in time. GM last week reached a share repurchase with shareholders worth $5 billion (equivalent to RMB 31 billion). Although GM has acquired more equity, it has greatly reduced the cash reserves of GM, although credit rating agencies have This did not reduce the GM's credit rating, but still believes that the loss of excessive cash reserves is not conducive to GM's rapid response to technological innovation.
In the past 100 years, the development of automotive technology has always been within a predictable range and moving forward in accordance with the design of car manufacturers, which requires less capital investment. However, with the rapid development of technology, the upgrading of automotive technology is accelerating, and the society's requirements for automotive technology are more stringent, which makes it necessary for automakers to invest more money to develop new technologies. Taking the society's requirements for automobile fuel consumption and exhaust emissions as an example, the US government requires that the average fuel consumption of cars sold in the US market by 2025 should reach 4.3 liters per 100 kilometers, and the EU imposes higher requirements on exhaust emissions, which makes manufacturers Have to spend huge sums of money to develop new energy technologies to make their models meet these requirements. In addition, in order to better expand the market, automakers have to invest in the establishment of new factories, which in turn puts demands on the capital reserves of automakers. In recent years, wireless Internet technology and autonomous driving technologies have emerged, and the speed of application of these technologies to automobiles has exceeded the predictions of many manufacturers. This has forced automakers to invest in the development of these technologies to avoid being in the automotive market. The competitor is behind him.
At present, automakers are expanding their capital reserves. The Volkswagen Group has a cash reserve of US$32 billion (equivalent to RMB18.4 billion). The Toyota Group has a cash reserve of US$37 billion (equivalent to RMB229.4 billion). The Ford Group has 217. In the cash reserve of US$100 million (equivalent to RMB134.5 billion), FCA Group has a cash reserve of US$22.8 billion (equivalent to RMB141.3 billion). GM Group has a cash reserve of US$25.2 billion (equivalent to RMB156.2 billion). In order to ensure sufficient capital reserves, or to improve profitability, each manufacturer can solve it by merging and cooperating with other vendors. The CEO of FCA Group, Malchonet, believes that in order to ensure sufficient capital reserves, mergers and cooperation between automakers will become a necessity. Bosch and the mainland have cooperated to jointly develop new autonomous driving technologies and electric vehicle technologies.
Although automakers have accumulating more cash in order to adapt to technological innovations and have developed more advanced technologies, it is unknown which technology will become mainstream in the future. This requires car manufacturers to make cautious judgments on the direction of future technological development and avoid losses as much as possible.

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