The rivalry between the German luxurious manufacturers is as previous as time, however Mercedes, Audi, and BMW got here extraordinarily near working beneath the identical company umbrella. In actual fact, two of them have been joined on the hip for a number of years earlier than parting methods.
It began in early 1958 when Mercedes’ mother or father firm Daimler-Benz green-lighted the acquisition of practically 88 % of Auto Union, the automotive conglomerate that owned Audi and three different manufacturers. The latter had been round since 1932, bringing collectively Audi, Horch, DKW, and Wanderer beneath the identical roof. Auto Union virtually perished after World Battle II and was principally resurrected in 1949.
Daimler-Benz main stakeholder Friedrich Flickr got here up with the concept of bringing Mercedes and Auto Union collectively. He believed the 2 could be a superb match by working collectively to realize synergies and drive down prices. Lower than two years after the 2 firms inked a deal, the luxurious model with the three-pointed star emblem acquired the remaining shares. The transaction successfully made Audi an entirely owned subsidiary of Daimler-Benz.
1959 might’ve been an much more essential yr in historical past had one other deal between two German luxurious manufacturers gone by. Daimler-Benz was nonetheless out buying, and it practically purchased BMW mere months after totally buying Auto Union. At BMW’s Annual Common Assembly in December 1959, “the sale of the corporate to Daimler Benz AG gave the impression to be already a foregone conclusion,” in keeping with a press launch from BMW.
BMW was in dire straits through the late Fifties as a consequence of poor gross sales of each vehicles and bikes. That press launch we talked about goes so far as to say that it “was on the sting of monetary collapse.” Discovering a brand new proprietor was seen by many higher-ups as an answer to save lots of BMW from a fair deeper disaster. Though promoting the corporate to Daimler-Benz gave the impression to be a executed deal, the transaction finally did not occur.
“It failed with a last-minute reprieve on account of dedicated small shareholders placing up spirited resistance to the restructuring plan that was a part of the takeover.”
Shareholders didn’t agree with the restructuring plan proposed by Daimler-Benz as they felt BMW and its staff had been undervalued. Consequently, BMW remained an unbiased model, persevering with to battle in 1960 when main shareholder Herbert Quandt developed a restructuring plan. The brand new 700 kick-started a revival as gross sales began to select up however it was the 1500 a part of the Neue Klasse lineup that turned BMW’s fortunes round.
Whereas the cope with BMW fell by, Daimler-Benz nonetheless owned Auto Union, however not for lengthy. On January 1, 1965, Volkswagen turned the bulk shareholder by buying 50.3 % of Auto Union GmbH. In late 1966, VW purchased the remaining shares, and merged Auto Union with NSU Motorenwerke in 1969 to create Audi NSU Auto Union AG. In 1985, it developed into the Audi AG firm we all know as we speak.
For those who’re questioning whether or not one thing got here out of the Daimler-Auto Union tie-up, the reply must be sure. Daimler-Benz engineers from Untertürkheim have been despatched to Ingolstadt to work on a brand new four-cylinder engine. Designed in Stuttgart, the M118 debuted in an Audi-badged automotive in September 1965 as Auto Union’s first automotive after World Battle II with a four-stroke engine. As well as, it was the primary post-war car to hold the 4 rings. It was merely known as the Audi earlier than being renamed Audi 72 for its output (72 PS).
As to what Daimler-Benz received out of the deal, Auto Union leased its facility in Düsseldorf in 1962. When Volkswagen acquired Auto Union three years later, Daimler saved the plant and nonetheless has it to this present day. It is the corporate’s largest van manufacturing facility and the primary plant for Sprinter meeting.
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There was additionally this compact sedan, internally codenamed W118. It had the aforementioned M118 carbureted engine, however it did not evolve previous the prototype stage. Mercedes additionally created a coupe variant, dubbed W119, however that one did not see the sunshine of manufacturing day both. The 2 have been developed in 1962 with a front-wheel-drive structure. In December 1965, shortly earlier than his retirement, Daimler-Benz’s Head of Growth Fritz Nallinger defined how the vehicles got here to be:
“On the time, it was envisaged that this kind – which, as talked about, was already being examined by us – may be manufactured by BMW or Auto Union. I’m of the opinion that such a second automotive kind, which can be thought-about a catch-all kind, should now […years later] be constructed and examined once more as shortly as attainable.”
Nonetheless, it by no means occurred. It wasn’t till 1982 when the W201 got here out because the entry-level Mercedes. Its modern-day equal is the C-Class (W206) however its positioning within the vary is completely different because it’s technically not a base mannequin. It sits above a sequence of compact vehicles, together with the A-Class Sedan and CLA.
The child Benz duo from the early Sixties appeared virtually able to hit the meeting line. It is very true when you think about the inside photographs of the W118 sedan present what seems to be a finalized cabin. The DKW F102 launched in 1963 wasn’t all that completely different when it comes to design. Nonetheless, it lacked the four-stroke engine because it got here with DKW’s 60-horsepower, two-stroke engine.
Mere months after the DKW F102 was launched because the final DWK-badged automotive ever, a call was taken to modify from the outdated 1.2-liter, straight-three engine to the Mercedes-developed powertrain for future fashions. Relying on software, the extra trendy four-pot M118 had as much as 89 horsepower and remained in manufacturing till 1972 when it was changed by Volkswagen’s personal EA827. Its successor had an unusually lengthy life since VW was nonetheless making vehicles in China with this engine in 2013.
It is unimaginable to know what would’ve occurred had Mercedes owned each BMW and Audi as we speak. All three German luxurious manufacturers have given us legendary fashions over the a long time, and we’re sturdy believers that rivalry is wholesome. Competitors pushes firms to do higher and one-up their opponents to say a much bigger piece of the gross sales pie. In 2023 when cost-cutting measures are the norm, it isn’t onerous to think about a Mercedes reskinned as a BMW and/or as an Audi. Fortunately, that is not the case.
