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Toyota May License Hybrid Technology to Subaru

Subaru Would Join Nissan as Toyota Hybrid Buyer

"If you cant beat em, join em," seems a fitting expression when referring to Toyotas dominance in the combustion-electric hybrid war currently being played out by the worlds foremost automakers.

While Honda continues to be Toyotas most capable rival, despite its use of mild-hybrid technology which is considered less advanced compared to the full hybrid systems offered by Toyota and now Ford, more and more automakers are entering the hybrid gasoline-electric segment.

DaimlerChrysler and General Motors recently announced a cooperative deal to develop and

While Toyota is still the leader in the field, more and more automakers are entering the gasoline-electric hybrid segment. (Photo: Trevor Hofmann, American Auto Press)
manufacture a proprietary hybrid system the two automakers will share in upcoming models, but being late to the game both companies have given much of the market to Honda and Toyota. GM recently entered the fray with its mild-hybrid Chevy Silverado and GMC Sierra 1500 pickup trucks, but these are expected to be purchased
If Toyota does license its technology to Subaru, it will take Japans number one automakers technology a step closer to becoming the new global hybrid standard. (Photo: Subaru of America)
by fleet buyers looking to do the right thing for their company images as well as potentially save on escalating fuel costs.

Another automaker having announced a future hybrid is Nissan Motor Co., which in so doing spoke of a cooperative deal with Toyota to license its Hybrid Synergy Drive system for an upcoming gasoline-electric Altima.

If Subaru follows suit,

Best known for its Outback crossover wagon and WRX rally car, a hybrid vehicle would suit Subarus earthy image. (Photo: Subaru of America)
a trend could be forming that would make Toyotas system the new hybrid standard, sort of the VHS video tape player of the alternative automotive supplier business, with Honda playing out the doomed role of Beta.

The difference is that everyone realized at the time that Sonys Beta tapes were by far superior to VHS, but due to the tremendous proliferation of VHS, Beta became more challenging to find in local video rental stores, forcing those who invested in the technology to give it up and move to what was then

Although formal talks with Toyota have yet to begin, there is a "very high chance" that Toyotas hybrid system will be the optimal match for Subaru vehicles according to an official within the company. (Photo: Subaru of America)
jokingly referred to as the "dark side" - a precursor to the Microsoft vs. Apple gambit that played out soon after.

While Toyota may be rich and powerful like Microsoft, the leader among carmakers when overall capitalization is the quantifier, its image has been made bright and rosy due to its efforts in making the world a greener place via the proliferation of eco-friendly hybrid technology.

So how does Subaru-maker Fuji Heavy Industries Ltd. fit into the scenario? The automaker, best known for its Outback crossover wagon and WRX rally car, may work together

Toyota also licenses part of its hybrid technology to Ford Motor Company for use in its Escape Hybrid, only because the Ford developed system was too close to what Toyota previously developed. (Photo: Ford Motor Company)
with Toyota to build a hybrid vehicle.

A spokesman working for Fuji Heavy Industries commented that although the company had not entered formal talks with Toyota, there was a "very high chance" that Toyotas hybrid system would be the optimal match for Subaru vehicles.

Such a deal, which most likely would be set up similarly to that orchestrated with Nissan, would help Toyota reduce the cost of manufacturing hybrid components, and by so doing would reduce the price of all hybrid cars using Toyotas system.

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