EV Sales: PSA - FCA merger deal We have anticipated that part of the transition to EVs is that the rest of the industry will likely consolidate. So it should surprise no one that PSA and FCA would countenance a merger. As Pointes frames it, "This deal exists basically because with it, PSA will have finally its door open to the US and Canadian market, while FCA will have the EV platforms and technology that it needs to make the transition from the ICE to the EV era." Certainly, automakers must band together to get the scale to invest properly in EVs. So mergers do this. But the flip side to bring ne EV models to market is that there are simply too many ICE models on the market. Pointes could dress up his blog just by adding reporting that would be a sort of death watch for ICE models set for extinction. Mergers create opportunities to cull out lesser models. My hunch is that increasingly the ICE market will be driven by nostalgia. Classic models that speak to what customers love about a particular brand are the ones to keep. For example, short, stubby Fiats is what that that brand is all about. Lengthening Fiats dilutes the brand value. Double down on quintessential and slough off the rest. Let the marketing department milk value out of public craving for nostalgic yesteryears, and free up engineering and design resources to create the next generation of EVs.