The Korea Herald

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GM exec says diversity will lead auto industry for long

By Shin Ji-hye

Published : Sept. 29, 2016 - 09:42

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BUSAN -- A General Motors executive has said diversity will dominate the new automobile industry in terms of power train types and competitors, as boundaries are increasingly blurred.

Daniel Nicholson, vice president of GM’s Global Propulsion Systems, said although GM is in a leading position in electrification, he doesn’t think one power train will lead the future auto industry.

“Eco-friendly cars -- electric and hybrid -- and internal combustion will peacefully coexist for a significant period of time,” GM’s power train head and president of FISITA said Tuesday in an interview with The Korea Herald at the FISITA World Automotive Congress held in Busan.

Hydrogen-powered vehicles, which Hyundai Motor, Toyota and Honda are currently focused on, will also be part of the future power train, he said.

“Hydrogen-powered vehicles are a very good solution as they are clean and emission-free. GM also has strong willingness to develop the technology although enough infrastructure and sustainable production methods are required,” GM’s power train head said.

In order to be ready for the diversity of the future mobility system, more than half of its 8,700 engineers at the Global Propulsion System currently work on some form of electrification and touch on alternative ways other than internal combustion, Nicholson said.

Apart from power train, the mobility ecosystem is also becoming diverse because of the emergence of new competitors, he said.

“We don’t view only (traditional) automakers like Hyundai, Volkswagen and Audi as our rivals. Tesla, Faraday Future, Google and Apple are becoming our competitors in the new mobility ecosystem,” he said.

His mission as a president of FISITA is also to bring in such diverse mobility companies to the association. 

Daniel Nicholson, vice president of GM’s Global Propulsion Systems (General Motors) Daniel Nicholson, vice president of GM’s Global Propulsion Systems (General Motors)


“We plan to send out invitations to Faraday Future and Tesla during the next FISITA leadership meeting,” the association head said.

FISITA is an umbrella organization for the national automotive societies around the world, representing over 200,000 automotive engineers.

Another big change in the mobility ecosystem in the next five years, he said, is a shift in consumer behavior.

“We are thinking about an auto industry that is also selling mobility services to customers. Some consumers want to rent cars (instead of buying them) and that will have a profound impact in the industry,” he said, adding GM should satisfy diverse needs of such consumers.

The Detroit-based auto giant is now operating an hourly car-rental service Maven in some cities in the US including Chicago, Boston and Washington. Maven plans to launch one-way car-sharing in other markets, GM said.

The 36th FISITA Congress, which kicked off Monday for a five-day run, focuses on the issues of energy-efficiency, safety, eco-friendly technology and connectivity under the title of Creative Thinking for Future Automobiles. Alongside technical programs, the event features an exhibition, special sessions, student and young engineers’ activities, technical visits and social events.

By Shin Ji-hye (shinjh@heraldcorp.com)