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Update: Hyundai releases statement on Calif. lawsuit

UPDATE: Hyundai Motor America contacted Autoweek on Wednesday with a statement in regard to the case: Hyundai Motor America believes this case has no merit, as our advertising is accurate and in full compliance with applicable laws and regulations. In fact, we've reviewed our ads and think Consumer Watchdog and their client are dead wrong. A group called Consumer Watchdog announced that it is suing Hyundai on behalf of drivers who purchased 2011 and 2012 Elantras based on claims that Hyundai made in its advertising for the Elantra.

U.S. seeks 5 percent annual fuel-economy gains through 2016

The Obama administration today proposed gasoline mileage and greenhouse-gas pollution standards for new vehicles for model years 2012 to 2015, filling in the blanks for manufacturers en route to a 35.5 mpg national target in 2016. The Transportation Department and EPA proposal calls for fuel economy to increase by about 5 percent each year, starting from an average of 27.3 mpg for the 2011 model year, the agencies said in a statement. The average car buyer would save more than $3,000 in fuel costs over the life of a vehicle, the statement said.

GM and Bezalel Academy of Art and Design develop Windows of Opportunity smart glass tech [w/video]

General Motors' Research and Development has collaborated with Bezalel Academy of Art and Design's Future Lab students to conceptualize new ways in which rear seat passengers – who traditionally feel disconnected from their environment – have a richer experience on the road. The result is the Windows of Opportunity project, a series of applications developed by the Bezalel students and built into full-size prototypes using multi-touch and gesture sensing surfaces developed by ClickEye. The projects were: – Otto an animated character projected over passing scenery that responds to real-time car performance, weather and landscape.