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Episode #1123: Today we cover Rivian’s fight over frozen EV credit revenue, ex-Tesla talent launching Hubber to fill urban charging gaps, and a sharp rebound in CEO confidence as recession fears cool but cost pressures remain.

Show Notes with links:

• Rivian says the Trump administration’s rollback of fuel economy penalties is choking off $100 million in revenue from regulatory credits—a revenue stream EV makers have depended on for years. The fight shows how quickly policy changes can shake up automaker economics.
  • EV makers like Rivian, Lucid, and Tesla sell CAFE credits to legacy brands that struggle with gas-mileage targets.
  • NHTSA froze compliance letters after the rollback, leaving credit deals in limbo.
  • Rivian already negotiated deals it now can’t close; Tesla projects a $1.1B hit to expected revenue.
  • GM and Ford, frequent buyers of these credits, could save billions thanks to looser rules.
  • Rivian said credits made up 6.5% of its revenue this year, while Lucid noted they represent a “significant share” of theirs.

• From the chaos of Elon Musk firing Tesla’s entire Supercharger team, a new EV charging startup has emerged. Hubber, founded by ex-Tesla talent, is focused on solving one of the industry’s biggest bottlenecks: fast charging for urban taxis and delivery fleets.
  • Former Tesla leads Harry Fox, Connor Selwood, and Hugh Leckie rolled out 100 Supercharger sites before launching Hubber.
  • The company targets urban “charging deserts,” converting warehouses and gas stations into high-throughput hubs.
  • Taxis and ride-hailing vehicles charge up to 5x more often than consumer cars, making access critical.
  • Hubber secured £60M (~$81M) in funding, with its first site opening this week in South London.
  • “We’re addressing one of the most urgent constraints in the energy transition: the shortage of fast, reliable charging in major cities,” Hubber states.

• CEO confidence is staging a rebound. After a brutal second quarter, execs are signaling less panic about recession and a more stable outlook for their industries, though concerns about labor, wages, and costs remain front and center.
  • The confidence index rose to 49 in Q3, up from 34 in Q2.
  • Recession fears fell sharply: 36% expect one in the next 12–18 months, compared to 83% last quarter.
  • Job outlook flipped, with 34% of CEOs planning cuts vs. 27% planning to hire — the first net negative since 2020.
  • Most CEOs still plan to raise wages 3%+ in the next year, even as they freeze capital spending.
  • Cost pressure is highest from suppliers (71%), materials (64%), and tech (63%), pushing many to boost productivity through automation and upskilling.
  • “CEO confidence recovered… but fell short of signaling a return to optimism,” said Stephanie Guichard, senior e

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Episode #1122: Ford’s Doug Field maps a Silicon Valley–style path to a $30K EV truck, Mitsubishi debuts a luxury-inspired “Gallery” store concept, and OpenAI brings GPT-4o back after users missed its supportive “yes man” tone.

• Meet the man behind Ford’s push for affordable EVs: Doug Field, Ford’s EV chief, is channeling his inner Elon Musk by leaning on hardcore engineering, radical manufacturing changes, and first-principles thinking.
  • Field’s career spans some of the most ambitious mobility projects of the last 20 years—Segway, Tesla’s Model 3, and Apple’s secretive car program.
  • Applying “first principles thinking,” he’s cutting battery size, body weight, and part count by 20% while keeping Mustang-like acceleration.
  • “Physics isn’t proprietary,” Field noted when asked about similarities to Tesla’s approach. “The best part is no part.”
  • He admits shifting a century-old company isn’t easy: “Doing something new at an established company requires overcoming inertia… I came in with slightly unrealistic expectations of how quickly [things could be changed], but that’s an industry thing, not just a Ford thing.”

• Mitsubishi Motors will open its first U.S. “Gallery” dealership in Antioch, Tenn., by Q1 2026, blending luxury-style retail with mass-market appeal as part of its Momentum 2030 growth plan.
  • Located in the Century Farms mixed-use development, the store will be designed for browsing, with a no-pressure, open-format showroom more common in luxury brands.
  • Instead of a traditional lot packed with vehicles, the Gallery will store inventory off-site at its partner dealer—City Auto Mitsubishi—and bring in vehicles as customers progress toward a purchase.
  • Trained brand specialists from the partner dealer will walk shoppers from discovery through final paperwork, focusing on experience rather than volume.
  • CEO Mark Chaffin says Mitsubishi is “underrepresented” in the U.S., aiming to grow from one-third to over half of new-car markets by 2030.
  • “The Gallery dealership program is key to introducing customers to our vehicles in a welcoming, surprise-and-delight way,” Chaffin said.

• Responding to user backlash over GPT-5’s cooler tone, OpenAI has reinstated the beloved GPT-4o model for Plus subscribers, promising to make GPT-5 warmer over time. CEO Sam Altman says many missed GPT-4o’s overly-agreeable “yes man” style — for some, it was the only real encouragement they’d ever received.
• GPT-4o’s style, removed earlier this year, was criticized as “too sycophant-y,” gushing over mundane prompts with “absolutely brilliant” and similar praise.
• Altman says some users found it life-changing: “Please can I have it back? I’ve never had anyone in my life be supportive of me.”
• He warns even small tone tweaks can impact billions of chat

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Episode #1121: We cover the rapid growth in EV charging infrastructure even as EV sales plateau, Tesla’s China-only 500+ mile Model 3, and a solar-powered drone that just stayed airborne for 74 hours without a drop of fuel.

Show Notes with links:

• EV sales brace for slump, but charging networks surge ahead with automaker support
• Despite challenges in EV sales, the U.S. fast-charging network is rapidly expanding and may actually meet infrastructure goals—whether or not EV adoption keeps pace.
  • The U.S. hit nearly 60,000 fast-charging ports in Q2 and is on track for 19% growth in 2025.
  • Private investment, not government aid, is fueling most of this growth as NEVI funds stall, with new players like Ionna and Mercedes-Benz expanding fast
  • Tesla dominates with 54% market share; Electrify America and ChargePoint trail at under 8%.
  • “There will be more choice, more infrastructure and, hopefully, better experiences for EV drivers,” said Loren McDonald, chief analyst at Paren.
    • This comes as U.S. EV registrations rose 4.6% in June, but EV market share slipped to 8.6%—down from 8.8% last year—signaling a stagnant market.
    • Tesla’s registrations dropped 6%, while GM surged with Chevrolet up 152% and Cadillac up 87%, showing shifting momentum among major players.

• Tesla has quietly introduced its longest-range Model 3 to date, the "Model 3 Plus," capable of up to 515 miles—but only for the Chinese market, for now.
  • The 830 km (CLTC-rated) Model 3 Plus uses a more powerful 225 kW motor and LG-supplied lithium-ion batteries.
  • It achieves long range with just a 78.4 kWh battery thanks to efficiency gains, not just capacity.
  • Tesla aims to compete directly with high-range local EVs like the Xiaomi SU7 and is expected to launch the model in China by September with a price just under $38K.
  • “This effectively shatters the 700 km psychological ceiling,” said Shanghai-based analyst Li Wei.

• Aviation startup Skydweller Aero just pulled off a wild feat: flying a solar-powered drone for 74 hours straight—twice—without touching down or using a drop of fuel.
  • The drone has a wingspan larger than a Boeing 747 and runs solely on solar power and batteries.
  • Its 17,000 solar cells power flight by day and charge 1,400 pounds of onboard batteries to keep flying at night.
  • Recent Navy tests suggest big military potential in anti-piracy, smuggling patrols, and backup GPS missions.
  • Skydweller also has commercial ambitions, including remote internet delivery and environmental monitoring.
  • “There’s a lot of money to be made in something that never touches the ground,” the company noted.

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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Episode #1120: Today we cover Presidio’s latest report showing dealership profitability gaining stable ground. We look at how automakers are shifting from solo efforts to shared platforms in the race for software-defined vehicles. We close with a growing workforce trend as quiet cracking challenges employee wellbeing and productivity.

Show Notes with links:

• Presidio Says the Sugar High’s Over, But the Game’s Still Strong as the latest Presidio Group report shows that after a volatile couple of years, dealers are finally catching their breath. With stable margins, strong profitability, and M&A picking back up, it’s no longer about surviving—it’s about playing to win.
  • New-vehicle margins ticked up in Q2 for the first time since 2022, signaling rare pricing stability.
  • Used cars, F&I, and fixed ops are carrying the profit torch, with public group net income up 17.7%.
  • M&A activity matched last year’s pace, with 208 transactions in the first half of 2025.
  • 72% of dealers expect profits to hold or grow—fueling strategic investments instead of survival tactics
• 
  
  
• As the software-defined vehicle era pushes forward, automakers are realizing that trying to own the whole tech stack isn't just hard, it’s inefficient. Instead, they’re cutting internal software efforts, embracing open-source collaboration, and betting on smarter, shared development models.
  • Ford ended its FNV4 architecture program, VW cut 1,600 Cariad staff, and others have scaled back internal software teams.
  • Despite sounding like a retreat, these moves signal maturity, OEMs are focusing on what matters and outsourcing the rest.
  • Partnerships are growing fast: Foxconn and Elektrobit, BMW and Bosch via Eclipse Foundation, Rivian and VW, all working on shared SDV platforms.
  • Analysts say open-source platforms are now essential to SDV progress. Toyota, Hyundai, GM, and others are already building around Linux-based ecosystems

• Move over, quiet quitting. The latest workplace challenge is “quiet cracking,” where employees keep showing up, but they’re checked out, stressed, and silently struggling. And in today’s uncertain job market, many feel stuck without better options.
  • Quiet cracking is marked by disengagement and burnout, even if employees aren’t actively underperforming.
  • Workers are staying in roles due to fear of layoffs or poor hiring prospects, not because they’re thriving.
  • Signs include subtle performance dips, increased absenteeism, and

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Episode #1119: Ford’s factory revamp signals a new EV era, GM doubles down on autonomy without the taxi business, and AI takes over lesson plans as teachers lean into technology’s potential.

Show Notes with links:

• Ford will invest $2B to transform its Louisville, KY plant into a high-efficiency hub for an affordable, tech-packed electric pickup—aiming to rival low-cost Chinese EVs when it launches in 2027.
  • The new process cuts parts count by 20% with large single-piece aluminum castings.
  • Parallel assembly lines replace traditional conveyors, boosting efficiency by 15%.
  • Lighter, shorter wiring harnesses save weight and simplify assembly.
  • Ergonomic workstations improve build quality while reducing labor strain.
  • “This is a bold and difficult undertaking to compete with the best in the world,” said Doug Field, Ford’s Chief EV & Digital Systems Officer.
  • From Cliff Banks on LinkedIn “One tiny fact -- that is big news, in our opinion -- that came out of Ford's second earnings call: Ford reduced the per-vehicle loss on its EVs from $44k to $22k last quarter. Keep that up, and its Model E division will be profitable much faster than expected.”

• After shutting down its Cruise robotaxi unit, GM is reigniting its autonomous ambitions—this time targeting personal-use driverless cars instead of fleet services.
  • The new program starts with hands-free, eyes-free driving while a human is in the vehicle, progressing toward fully driverless capability.
  • Sterling Anderson, former Tesla Autopilot chief is building a team by hiring new talent and inviting former Cruise employees back.
  • GM is deploying lidar-equipped, human-driven test vehicles to log data and train simulation models that guide development.
  • On GM’s Q2 earnings call, CEO Mary Barra named autonomous tech, expanding the domestic supply chain, and battery innovation as “our clear priorities.”

• Three years after ChatGPT’s public debut, many K-12 educators are moving from banning generative AI to using it as a tool for critical thinking, creativity, and tailored instruction.
  • About 60% of teachers now use AI for lesson planning, grading, and parent communication, saving an average of 5.9 hours weekly.
  • Early bans led students to hide AI use; now some districts are forming committees to guide ethical adoption.
  • Teachers also use AI for individualized lessons, translation, accessibility, and real-world project design.
  • Concerns remain about bias, privacy, and over-reliance, but advocates say benefits outweigh risks when guardrails are in place.
  • “Educators are starting to realize that AI isn’t going away—and that it’s better to teach their students how to use it, rather than leave them to their own devices,” said a Drexel University professor.

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Episode #1118: Auto loan approvals are climbing as vehicle demand heats up, Jaguar doubles down on its high-dollar EV future, and a new survey shows U.S. shoppers are still splurging on impulse buys.

Show Notes with links:

• New data shows consumers may finally be catching a break in the auto loan market. Approvals are up, interest in buying is growing, and middle-income shoppers are more willing to make sacrifices to keep their vehicles.
  • The New York Fed says auto loan rejection rates dropped sharply in Q2 2025 to 6.7%, down from a painful 19% last year.
  • 14% sought a loan in the past year, and more expect to apply in the coming months.
  • Santander’s latest survey shows 55% of middle-income consumers plan to buy a vehicle in the next 12 months, the highest reading in two years.
  • Tariff fears are real: 18% of respondents sped up a big purchase in Q2 because of price uncertainty, with 41% of those buying a vehicle.
  • Santander says this is the first time in eight quarters that buyers outnumber those delaying a purchase — a sign pent-up demand could finally be turning into sales.

• Jaguar is set on an electric, ultra-luxury future. Despite some loud critics, the brand is preparing a bespoke EV platform and three six-figure models designed to take on the industry’s elite.
  • Incoming JLR CEO PB Balaji says the brand’s EV strategy is locked in, with positive early feedback from customers.
  • Production of all current Jaguars except the F-Pace ended last year as the company stockpiled inventory.
  • First new model — the GT — is a sleek, 600-hp electric sedan with about 425 miles of range and a $150K price tag, expected late next year as a 2027 model.
  • A large, three-row electric crossover will follow in late 2027 or early 2028.
  • The third entry is rumored to be a large, ultra-luxury electric sedan aimed at Rolls-Royce and Bentley buyers, due around 2030.

• While many Americans say they’re trying to rein in discretionary spending, a new survey shows the vast majority still made at least one unplanned purchase last month.
  • Optimum Retailing survey finds 72% of Americans made an unplanned in-store discretionary purchase in the past month.
  • While 34% plan to cut back in the next six months, sales events (55%), eye-catching displays (45%), and immediate availability (26%) make spending hard to resist.
  • Only 5% said in-store shopping no longer feels “worth it.”
  • Many shoppers are sticking to a budget by cutting dining/takeout (48%), clothing/accessories (44%), and electronics/gadgets (37%).
  • “Consumers today are cautious, but not unengaged… The moment and experience must both feel correct,” said Sam Vise, CEO of Optimum Retailing.

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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On this second Saturday of month, Paul is joined by Chris and Nathan to share all the amazing things dealers are doing in communities across the nation.

This back-to-school season, Toyota-Lexus-Minority Owner Dealers Associatoin partnered with Toyota, The Salvation Army, and Walmart to distribute over 16,000 backpacks filled with school supplies, 6,900 of them through dealerships. As Robert Hatchett put it, this is about investing in students and uplifting communities.

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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Episode #1116: CarGurus shuts down CarOffer, trimming its wholesale tech reach. Ford opens a Long Beach EV hub to take on low-cost rivals. And OpenAI’s GPT-5 rolls out to all ChatGPT users, promising smarter, faster AI for everyone.

Show Notes with links:

• CarGurus will shutter its wholesale digital marketplace CarOffer less than two years after fully acquiring it, citing a volatile pricing environment and dealer demand for more flexibility.
  • CEO Jason Trevisan said the company explored alternatives but winding down was the only option.
  • The closure impacts Dealer-to-Dealer, a wholesale platform for dealer-to-dealer used inventory trades, and Instant Max Cash Offer, a consumer vehicle acquisition tool feeding dealer inventory pipelines.
  • The shutdown will run through 2025, costing $14M–$19M including $5M–$7M in restructuring.
  • However, CarOffers tech will remain, with Trevisan saying “We will retain and build on the underlying technology…capabilities that…remain central to CarGurus’ sourcing strategy,”

• On the heels of Ford’s “Model T moment” we covered yesterday, the manufacturer has opened a 250,000-square-foot Electric Vehicle Development Center in Long Beach, CA, focused on bringing affordable EVs to market, including a new mid-size pickup.
  • The facility includes design review spaces, EV testing labs, a fabrication shop, and a digital visualization room to accelerate product development.
  • This is part of Ford’s first low-cost EV platform initiative, led by ex-Tesla engineer Alan Clarke, aiming for simpler, more efficient builds.
  • An initial team of 350 employees will grow by 100; the group was formerly known internally as the “Skunkworks Team” for its rapid, innovative approach.
  • A new trademark filing suggests Ford’s upcoming midsize electric pickup could revive the Ranchero nameplate, a nod to the classic coupe-pickup sold from 1957–1979, with the EV version expected to debut in 2027.
  • “The goal is to define a new era for electric vehicles,” said Jolanta Coffey, Ford’s Director of Global New Model Launch.

• OpenAI has launched GPT-5, its fastest and most capable AI model yet, giving both free and paid ChatGPT users access to advanced reasoning for the first time. Just 2.5 years after GPT-4 debuted, the release marks another step toward integrating AI deeper into business, education, and everyday workflows.
  • CEO Sam Altman says going back to GPT-4 after testing GPT-5 was “quite miserable,” citing improvements in speed, reasoning, and usability.
  • New “safe completions” reduce outright refusals while keeping answers within safety guardrails, alongside lower hallucination rates and better handling of complex logic.
  • Free-tier ChatGPT users get a reasoning model; Plus and Pro users get higher usage limits, with GPT-5 Pro for advanced performance.

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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Episode #1115: Ford’s ready for its “Model T moment,” the Cybertruck heads to military testing, and Rivian turns EV charging into a Hamptons-style retreat.

Show Notes with links:

• Ford is gearing up for a major EV push with plans to build a new generation of affordable electric vehicles, kicking off a pivotal new chapter that CEO Jim Farley has dubbed the company's “Model T moment.”
  • The EV line will include a midsize pickup, set to launch in 2027 from Ford’s Louisville Assembly Plant.
  • Batteries will be supplied by Ford’s upcoming $3B LFP (lithium ion phosphate) battery plant in Marshall, MI, creating 1,700 jobs.
  • The Marshall project has faced controversy, construction pauses, and political scrutiny due to its partnership with Chinese battery giant CATL, but will move forward after securing tax credits.
  • It will be the first U.S. EV battery plant to use LFP chemistry at scale—offering lower costs and better sustainability than traditional NMC batteries, though with less power and range.
  • “Model e continues to make targeted investments where we have breakthrough innovation (next gen EVs), and a distinct advantage (LFP batteries)” said CEO Jim Farley.

• Elon Musk once pitched the Tesla Cybertruck as a military-ready, apocalypse-proof beast. Now, the U.S. Air Force has plans for it—just not quite the way he envisioned.
  • The Air Force Test Center is requesting two Cybertrucks as part of a 33-vehicle target fleet at White Sands Missile Range.
  • A military doc suggests adversaries might use Cybertrucks, which “have been found not to receive the normal extent of damage expected upon major impact.”
  • The goal is to test precision-guided weapons against realistic, resilient targets.
  • The government documents left a glowing review of the Cybertruck saying “Extensive internet searches and industry outreach by [REDACTED] found no vehicles with features comparable to those of the Cybertruck.”

• Charging your EV in the Hamptons just got a whole lot cozier. Rivian’s new Southampton Charging Outpost swaps the gas station vibes for beachside boutique charm—and locals are noticing.
  • The cedar-shingled lounge features six DC fast chargers, a kids’ play area, 24/7 restrooms, and complimentary Hampton Coffee.
  • From August 7–10, drivers can plug in for free, enjoy curated snacks, and even test drive a Rivian.
  • Every mile charged is powered by renewable energy—solar and wind included.
  • This marks Rivian’s 121st Adventure Network site and 15th in the Northeast, reinforcing its strategy of building fewer but friendlier charging stops.

0:00 Intro with Paul J Daly and Kyle Mountsier
0:37 Kyle is at Beaver Mazda today
1:42 Announcements
3:10 Ford's Next-Gen EVs Are Coming
5:37 US Orders Cybertrucks for Target Practice

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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Episode #1114: Shawn Fain’s own union members want him out. Chevy’s Silverado EV clocks an unbelievable 1,059 miles on a charge, and as AI reshapes white-collar work, Gen Z is finding job security in scrubs, not suits.

Show Notes with links:

• Shawn Fain, the fiery UAW president who led the landmark 2023 strike against the Detroit 3, is now facing a revolt from within his own ranks. Several union locals have voted to launch removal proceedings, citing layoffs, retaliation, and alleged financial mismanagement.
  • Workers at Stellantis and GM plants joined four other UAW locals in voting to oust Fain, meeting the threshold for a federal monitor to review the allegations.
  • At issue are thousands of Stellantis layoffs since the 2023 contract, said to result from pressure to raise wages.
  • Critics also say Fain retaliated against board members who resisted approving spending.
  • Support for Fain remains strong among graduate student workers, but dissent is growing in Detroit-area factories.
  • “I supported Shawn, but his spending is out of control and he’s retaliatory,” said David Pillsbury, a GM worker behind the petition.

• Chevrolet has set a new benchmark for EV range, pushing a 2026 Silverado EV Work Truck to an eye-popping 1,059 miles on a single charge. The test, though far from real-world conditions, highlights just how much efficiency can be squeezed out of today’s EV technology.
  • 40 drivers took 1 hour turns and averaged just 20–25 mph, taking seven days to complete the run.
  • Tricks included removing the spare tire, overinflating tires, adding a tonneau cover, and shutting off climate control.
  • The Silverado EV WT is EPA-rated for 493 miles, but the hypermiling allowed the 205-kWh battery to return 4.9 miles per kWh—beating Lucid’s 749-mile record.
  • “Getting this kind of range doesn’t happen by accident,” said Kurt Kelty, GM VP of battery and propulsion.

• With tech and business roles slowing under AI pressure, young men are struggling to find footing, while women dominate in growing fields like nursing.
  • Gen Z men see higher unemployment as AI disrupts entry-level business and tech roles.
  • Healthcare remains one of the few industries adding jobs in 2025.
  • Nearly 90% of nursing roles are held by women, offering steady opportunities.
  • Education and hospitality — also female-led sectors — are also adding jobs.
  • Elise Gould, a senior economist at the Economic Policy Institute, said, "It could be tougher for men who are looking for jobs where there's just not a whole lot of hiring right now."

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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