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 truth, two of them had been joined on the hip for a number of years earlier than parting methods.
It began in early 1958 when Mercedes’ mum or dad firm Daimler-Benz green-lighted the acquisition of practically 88 p.c 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 nearly perished after World Warfare II and was mainly 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 can be a great match by working collectively to realize synergies and drive down prices. Lower than two years after the 2 corporations inked a deal, the luxurious model with the three-pointed star emblem acquired the remaining shares. The transaction successfully made Audi a completely owned subsidiary of Daimler-Benz.
1959 might’ve been an much more essential 12 months in historical past had one other deal between two German luxurious manufacturers gone by. Daimler-Benz was nonetheless out procuring, and it practically purchased BMW mere months after totally buying Auto Union. At BMW’s Annual Normal Assembly in December 1959, “the sale of the corporate to Daimler Benz AG gave the impression to be already a foregone conclusion,” based on a press launch from BMW.
BMW was in dire straits throughout the late Fifties as a result of poor gross sales of each automobiles 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 good deeper disaster. Though promoting the corporate to Daimler-Benz appeared to be a completed deal, the transaction finally did not occur.
“It failed with a last-minute reprieve because 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 impartial 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 nevertheless it was the 1500 a part of the Neue Klasse lineup that turned BMW’s fortunes round.
Whereas the take care of 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 p.c 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 right now.
When you’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 had been despatched to Ingolstadt to work on a brand new four-cylinder engine. Designed in Stuttgart, the M118 debuted in an Audi-badged automobile in September 1965 as Auto Union’s first automobile after World Warfare II with a four-stroke engine. As well as, it was the primary post-war automobile to hold the 4 rings. It was merely referred to 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 stored the plant and nonetheless has it to today. It is the corporate’s largest van manufacturing unit 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, nevertheless 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 had been developed in 1962 with a front-wheel-drive structure. In December 1965, shortly earlier than his retirement, Daimler-Benz’s Head of Improvement Fritz Nallinger defined how the automobiles got here to be:
“On the time, it was envisaged that this sort – which, as talked about, was already being examined by us – might be manufactured by BMW or Auto Union. I’m of the opinion that such a second automobile kind, which can be thought-about a catch-all kind, should now […years later] be constructed and examined once more as rapidly as doable.”
Nevertheless, 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 collection of compact automobiles, together with the A-Class Sedan and CLA.
The infant Benz duo from the early Nineteen Sixties appeared nearly able to hit the meeting line. It is very true when you think about the inside pictures 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. Nevertheless, 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 automobile ever, a call was taken to change from the outdated 1.2-liter, straight-three engine to the Mercedes-developed powertrain for future fashions. Relying on utility, the extra fashionable 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 automobiles in China with this engine in 2013.
It is inconceivable to know what would’ve occurred had Mercedes owned each BMW and Audi right now. 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 corporations to do higher and one-up their opponents to assert a much bigger piece of the gross sales pie. In 2023 when cost-cutting measures are the norm, it isn’t laborious to think about a Mercedes reskinned as a BMW and/or as an Audi. Fortunately, that is not the case.
