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For new CAFE rules, automakers place high-stakes tech bets

Game-changing 2015 fuel economy rules are forcing vehicle development teams to make high-stakes bets on expensive technologies--bets that will separate the winners from the also-rans. Not only do federal rules target a 2015 fleet average of 35.5 mpg, up from the current 27.5 mpg for cars and 23.1 mpg for light trucks; they force automakers to bet on different technology packages for each vehicle segment. Companies that do best at mixing technologies while keeping down costs will have an advantage when buyers wince at higher stickers.

Audi hosts student workshop in Design UNIverse

Audi has hosted a Design UNIverse event in Ingolstadt as part of its plan to support the next generation of automotive designers. 42 student designers from four European universities were challenged to create models of a futuristic Audi that embodies the idea of "Vorsprung Durch Technik" while working closely with designers and discussing trends and how to create emotional products. The students – from the Academy of Fine Arts and Design in Bratislava (Slovakia), Scuola Politecnica di Design in Milan (Italy), the Offenbach University of Art and Design (Germany) and the Royal College of Art London (Great Britain) – created 46 different models.

GM posts wider loss, burns through $5.2 billion in cash

General Motors, battered by a global economic collapse and buoyed by U.S. rescue loans, posted its sixth straight quarterly loss and burned through $5.2 billion in cash as revenue shrank by more than a third. The net loss of $9.6 billion in the fourth quarter compares with a loss of $1.5 billion a year earlier.