Sources Confirm Ford & G.M. Discussed Possible Merger

Coke vs. Pepsi.

Eaton’s vs. Simpsons.

Hertz vs. Avis.

There have been all kinds of infamous rivalries in the world of business, but few have ever been quite as cut-throat, long lasting or profitable as the one that’s pitted Ford against General Motors.

The world’s two biggest automakers have been going after each other since almost the beginning of the 20 ^th century. Which is why a report out of Detroit is so startling.

An industry publication called Automotive News has confirmed that both companies briefly held talks about a merger or an alliance.

The two arch enemies first started the ‘combine’ engine last July, but it was actually another competitor who got the ball rolling. The head of Nissan and Renault proposed a joining with G.M., and the next day executives from Ford became involved.

Neither side is willing to say who made the first move and neither is willing to confirm that the subject was even discussed. But separate sources insist the talks happened.  

“We regularly talk to a number of people in the industry regarding business opportunities of mutual interest,” is all G.M. spokesman Tony Cervone will say. “As a matter of course, we don’t comment on any of those because in many cases, they simply don’t lead to anything.”

Ford refused to issue any statement in response.

Experts predict nothing will come of the casual conversations although the fact that they might have been held at all illustrates just how serious the problems with the once mighty U.S. auto industry are.  

Just last week, Ford confirmed it would be cutting another 10,000 jobs and closing two plants – including one in Windsor. G.M. has also fallen on hard times, as fuel efficient and feature-laden foreign vehicles eat away at its sales.

In the meantime, The “General” admits it’s still pondering the original alliance proposal to join with Nissan-Renault. The company is said to be halfway through a 90-day study mulling over the pros and cons of the deal.