GM Aims to Sell $1 Billion Worth of Its UTV Pickup to the US Military
If not UTV, why UTV shaped?
Based on the response RideApart's readers delivered when we first covered General Motors Infantry Squad Vehicle (ISV), a UTV-ized Chevrolet Colorado ZR2, if GM were ever to sell the ISV to the regular public, it'd likely sell out in minutes. It'd print money for GM, not just competing with the Jeep Wrangler, but doing so in a way that would upend the side-by-side market, too.
Unfortunately, that'll never happen, as it'd never pass modern safety standards. I mean, that might be a good thing, but safety third, right? That said, the feds are keying up to buy about $1 billion worth of the side-by-side style vehicle from GM Defense, which means, in a few years, you might be able to buy one second-hand just like all the old Humvees you see come up for auction.
Albeit, the first-hand will have likely been used in combat and support roles around the world, driven by recruits and officers alike, and there may or may not be bullet holes as part of the "As Is" bill of sale. Still, we'll only have to wait about 5 to 10 years before the ISV is just as common as the Hummer is on the used market, but will be infinitely more usable and easy to work on and take into the woods.
GM Defense Infantry Squad Vehicle (ISV)
According to The Detroit Press, "General Motors Co. expects a $1 billion contract with the U.S. Army for light utility vehicles based on the Chevrolet Colorado pickup trucks, CEO Mary Barra said Tuesday," adding, "If federal funding is approved, Barra told investors that GM plans to supply the Army with 10,000 infantry squad vehicles. The infantry squad vehicle order is 'expected to exceed $1 billion based on the U.S. Army's procurement objectives,' she said."
Barra went on to state, "Over time, all of this should make GM Defense a more meaningful and diversified contributor to our earnings."
The move comes on the heels of the US Department of Defense asking Detroit automakers to become more involved in defense production, something the current US administration is in desperate need of thanks to the depletion of its defense supplies due to its war with Iran.
Last month, The Wall Street Journal reported that, "Senior defense officials have held talks about producing weapons and other military supplies with the top executives of several companies, including Mary Barra, chief executive officer of General Motors, and Jim Farley, CEO of Ford Motor, according to people familiar with the discussions. The Pentagon is interested in enlisting the companies to use their personnel and factory capacity to increase production of munitions and other equipment as the wars in Ukraine and Iran deplete stocks."
The ISV contract, however, has yet to be signed and still requires Congressional approval. And while much of Congress remains ineffective in producing or passing any sort of legislation, the one piece of the federal government they never fail to pass in rousing support is defense spending. So the likelihood of the allocation of funds for the ISV are almost guaranteed.
That said, who's ready to pick up a secondhand ISV in a few years?
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