July 26, 2012
FORD MODEL T RETURNS FOR 2014
Ford's recovery efforts since 2008 shocked outside observers who predicted the demise of the company without government bailouts and reorganization as befell the other Big 3 automakers GM and Chrysler. However, pickup truck and SUV sales seem to be unable to recover, and the industry perceives that the emerging generation of car buyers have few loyalties and could be swayed by an effort marketed just to them. The flattening of sales growth and ripening crisis in the European operations led the Ford management to secretly contemplate the solution dreaded by the entire industry: being the first to introduce a monumental change for the entire world market.
Ford's CEO said "We know that there is an increasing number of young folks who are staying out of the auto industry altogether. Cars are bigger and more expensive these days than ever before. When you tell a young person that back in 1923 he could have bought a brand-new Model T for a pittance with everything that was actually needed to drive, that person gets interested and sort of resentful that we can't do it today."
The press information released for the 2014 Ford Model T offers a shocking revelation: the low price is back. Ford has stated its claim to undercut the current cost of all vehicles available on the US market, and offer the basic model for an MSRP of $7,999. Release will be late in the 2014 model year, in December 2013.
No pictures are yet available; Ford has kept prototypes tightly wrapped up and all testing done in the greatest of secrecy. All versions are four-door sedans in the subcompact class. They feature high roofs to accommodate drivers up to 6'5" with comfort, and they have a 4-speed manual transmission, with CVT available at extra cost. No conventional automatic is planned.
The decontented trim model, literally called "Base," will feature wind-up windows, ingenious flow-through ventilation to obviate air conditioning, a hand-cranked engine start, and feature no speakers or radio. In their place, a very modifiable docking station is in the middle of the dash, containing USB slots and connectors of all sizes. An extra-cost option is an onboard engine-mounted inverter which will power a 120V AC plug in the dash. The door panels easily reveal connectors for compact speakers that have been planned in partnership with many of the leading stereo vendors, and available from most electronics stores for 2-minute self-installation.
Ford engineer Herb Marshall was adamant that the changes were a good idea: "Every dollar saved made this vehicle cheaper to sell, and at the same time made it more reliable and cheaper to keep going. Technology has improved to the point where we can make a hand-cranked electric starter last for no less than 20 years, and given the diminutive size of the V-twin engine, make it extremely easy. It's little more exhausting than turning a big doorknob. And with the freewheeling clutch built into the crank, it's impossible to get engine kickback or cause user injury. Forget what you heard about in the past- this is a manual car-starting device that works. And you'll never have to buy a conventional auto battery again. For the small electric accessory demands of the vehicle, rechargeable lithium cells will suffice for at least 20 years and be cheaper to replace than lead-acid batteries."
As for the basic instrumentation, Marshall laughed it off: "We saved money by fitting a dashboard with just a speedometer, tach, odometer, fuel gauge, and temp gauge. But that's just the beginning. We have gone to software- and app-based instrumentation when possible. Under the hood we have a pretty robust ECU that will link directly with your smartphone or tablet or laptop when you connect it to the dashboard accessory ports. If you get the free apps Ford provides, you get a trip computer, diagnosis and self-repair tools, and software to link the music on your mobile device with the easily-attached accessory speakers. We have made it unnecessary to run OBD II codes using a scanner, since you can get the same detailed information using a smartphone app. By minimizing the built-in hardware cost to the vehicle, we could spend more money on effective software interface with the vehicle."
Commenting on the possibilities of the car's onboard computer, Marshall said, "I am a parent of 3, two of them teenagers. One of them isn't such a good driver. If you have a known problem with distracted drivers, software can be bought for the Model T's computer which cuts power to all the accessory ports and emits an RF signal that blocks mobile phone access, making it impossible to use a cell phone while driving. The effectiveness of this technology greatly exceeded our expectations."
Marshall dropped the scoop on the engine with no less enthusiasm: "We have a vehicle that weighs under 2000 lb, so a lot of power isn't strictly needed. Ford's engineering department has launched a 0.8L V-twin version of the Ecoboost technology specifically for the Model T. What we foresee is 65 hp and 65 mpg highway. The original goals of 50 hp and 50 mpg were met with a naturally-aspirated V-twin, but when adding a light-pressure Ecoboost turbo and optimizing it for economy, we got slightly more power and way more fuel economy."
A more grandiose version of the Model T is planned, with industry-standard features like electric start, electric door locks and power windows. The tentative trim level would be called "Hot Rod" and produce 100 hp from its 0.8L V-twin; fuel economy drops to a still-stellar 40 mpg. This model will come standard with speakers, but the user is still expected to provide an accessory source of music. Pricing information is not yet available for this model.
Marshall said, "I can sum up the Hot Rod model in a word: customizability. Every bit of tuning we did to extract that extra power is reversible so you can have the 65-65 balance from the base model if you want max economy. You can lose some fuel economy and up the power somewhat too. Can't give you numbers, but that gutsy little V-twin will definitely give you more than 100 hp. All of the modifications can be made by software that Ford has produced in partnership with Microsoft. For the interested user, we are offering modification of everything through software means."
Despite this incredibly low price, Ford has said that the domestically-sold Model T will definitely be made in the United States.
Ford has said that the UAW has complied remarkably smoothly with proposed wage reductions on Model T lines and make up the difference between current wages and the proposed lower wages with Ford stock. Union leader Alf Rosenthal said "It was a slam dunk. We were so sure of the success of this program, that we feel that the workforce should make momentary sacrifices in wages for the sake of long-term growth of the industry that employs them. The 5-year benefits to Ford-employed union workers will be twice what they otherwise earn."
But surely, our readers must be considering, the use of a 100-year-old name must be clutching at straws by a company desperate to stay ahead.
An unnamed Ford executive adamantly disagrees: "We have a long history of evocative, popular names at Ford from the Thunderbird through the Mustang and the Taurus. But really, we have never been impressed with the reception of newly named non-SUV vehicles for the past 20 years. The Model T, though it has been gone for 85 years, still graces every history book, and is well-known both in shape and purpose to anyone who went to American school. If you think "Model T", you think 'cheap', 'reliable', and 'liberating.' "
This revelation should come as no surprise to anyone who has followed the recent round of Ford press releases that seemed to disavow the gimmicky slant that Ford has tried to infuse with their vehicles. They teased us with suggestions that the reason young people weren't buying cars was because nothing existed to liberate them as it had for the earlier generations of Americans.
Low-cost mainstay Hyundai commented, "We have exited the market for ultra-low cost vehicles since we do not feel the United States market wants vehicles at such a basic level of equipment. Ford's move is curious and we do not expect at this time to release any comparable product." A GM representative laughed when asked if a Chevrolet 490 was planned: "No, we do not plan to match Ford in this 'Tato Nano' inspired market sector. Perhaps they will have more success in the international market than the American one."
With margins so low, how can dealers be delighted with this kind of product? Wisconsin Ford-Lincoln dealer Jon Black told us: "Old-fashioned sales tactics only work up to a point. A customer who knows everything about a vehicle and doesn't want to pay a penny more than invoice is always an annoyance. But Ford has actually given us a lot of support on this one, with great nationwide advertising coming soon. They have released everything to know about the car on a brand new website. They have mandated us to sell them at a flat rate nationwide. And the customer of this kind of vehicle is likely to be very informed and unwilling to negotiate, making it a very quick transaction. Yes, it might make a fifth the margin of an F-150 truck, but if you can move these Model Ts ten times faster, than I'd be happy to fill my inventory up with them. I had reservations at first, but dealers can survive selling mostly subcompacts if the business is good enough."
But nevermind the dealer's perspective. With so much technology to pay for, in such a cheap package, can Ford really bet its entire company on the success of people buying the cheapest cars on the market in unprecedented numbers? Ford's CEO was on hand to suggest, "We have had overwhelming response to the idea of a car which is both technically sophisticated and cheap to buy and run. The economy is bad and fuel costs will stay high permanently. Our product is the first which competently meets the demands of the ultra-low cost market while using cutting-edge technology. This is not a crusty old shitbox. It's a brand new car which is made in a completely new way. If the other automakers aren't on board, if they scoff at us, if they don't get started yesterday, they're going to hand us the market altogether.... although even if they do get started right away, we're confident we will sell millions."
But nevermind the dealer's perspective. With so much technology to pay for, in such a cheap package, can Ford really bet its entire company on the success of people buying the cheapest cars on the market in unprecedented numbers? Ford's CEO was on hand to suggest, "We have had overwhelming response to the idea of a car which is both technically sophisticated and cheap to buy and run. The economy is bad and fuel costs will stay high permanently. Our product is the first which competently meets the demands of the ultra-low cost market while using cutting-edge technology. This is not a crusty old shitbox. It's a brand new car which is made in a completely new way. If the other automakers aren't on board, if they scoff at us, if they don't get started yesterday, they're going to hand us the market altogether.... although even if they do get started right away, we're confident we will sell millions."