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Malibu to marinize own GM engines


oldjeep

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I am not surprised by this at all.  Trailers in 2016, engines in 2019.  Personally 2 of the longest service times were related to this.  I was down 3+ weeks waiting on a tranny from indmar and 2+ weeks waiting on an oil cooler from Marine Power. 

Additionally this will open the door to the GM direct injection engines!  

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but it may limit the number of 'certified' engine mechanics.  We have a certified indmar mechanic but only recently got a malibu certified mechanic (no REAL local dealers).

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5 minutes ago, IXFE said:

Great move by Malibu, IMHO 

Exactly!  Not only will it allow cost control, but they can have exclusivity.  Eliminating the same powertrain as some of the less premium brands offers one more point of differentiation. 

Plus i am fairly certain writing a check to Nautique for the PCM engines in the Axis line just didn't sit well.  

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11 minutes ago, DarkSide said:

Plus i am fairly certain writing a check to Nautique for the PCM engines in the Axis line just didn't sit well.  

Along those same lines, I always found it interesting that Volvo Penta I/O engines were V8 and V6 Chevys.

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Even with a very conservative amount of $1000/boat in savings this is still big money to a company the size of malibu.  Even with H5/H6/LSA as thier engine options they have a very good base/upgrade/Insane  option.  With each being distinct, not just a tune.

H5= 325 cid, 355hp 405 TQ Direct Injection 

H6= 376 cid  450 HP  465 TQ direct injection 

LSA 376 cid  555 HP 545 TQ SuperCharged 

The raptor 410 is so close to 450 few are buying. then the 575 is stupid expensive. Having all 3 a 6.2L also lends to confusion.   A 3 engine line up H5/H6/LSA could provide more upgrade potential, as they are very different.   You just have to be careful not to pair with tranny that contradict the upgrade. 

Example i ordered H6 vs LSA because tranny was 1.72:1 vs 1.48:1 so Torque at the prop is virtually identical.  800 vs 814, so not worth the upgrade $.

 

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Always wondered why they hadn't done this year's ago.. the only way to survive these days is via vertical integration, having something unique and that u control that doesn't benefit your competitors....

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Just now, hethj7 said:

Ultimately, I think this will likely be a good move, but does anyone worry about what talent Malibu has or will bring in-house to design and tune engines?   I'm just playing devil's advocate here, but if they can't tune my $10K stereo, not sure why they will be able to tune my $10K engine.  

Vertical integration is great, but there is also a lot to be said for a company that tries to do too much.  I LOVE Malibu and totally respect what @DarkSide is saying about getting parts, but Malibu has a ways to go to be seen in my eyes as a manufacturer who can supply precision engines when they can't build a sealed sub box or get all their vinyl patterns to line up.   

 Count me out for year 1 of the new Malibu power plant :) 

Took the words right out of my mouth...

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1 hour ago, The Hulk said:

Always wondered why they hadn't done this year's ago.. the only way to survive these days is via vertical integration, having something unique and that u control that doesn't benefit your competitors....

Beg to differ...

afdd159dd787b1c9c386ca4691090fc6.jpg

Edited by IXFE
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I think Malibu is trying to produce a better product.   As with stereo, they brought in wetsounds, ditched fosgate, and now most folks are happy.  Additionally i think as a result they will sell more factory stereos!  

Same thing here,  they will test these and they will be very good by the second year.   There was a reason marine power was one and done

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Jokes aside... @DarkSide and I are assuming they will successfully execute this transition; we're dreaming about life 3-4 years from now.  Your concerns are valid.  But I offer a counterpoint.  Look what happened when Malibu decided to build their own trailers.  They nailed it on year 1.  My 2016 Malibu trailer was without question the best boat trailer I've ever owned, and it's not even close.  This is coming from a guy who is a BIG fan of Boatmate too.  The Malibu trailer is just so much more robust.  Did Malibu know how to build trailers?  No, but I'm sure they decided it wasn't rocket science, so they invested in a plant, studied other trailers on the market, hired some key talent to bring the skillset in-house, and away they went!  I can tell you that I saw a slight decrease in price too with the Malibu trailer, so they did pass some of the savings on to the customer.

Marinizing engines is a bit more complex than building trailers, but it's not exactly rocket science either.  I see them following the same pattern as their trailer integration...  They're investing $18M to build a new facility and bring in new talent (likely a few key hires from Indmar, PCM, or the like).  They have allowed themselves a couple of years to get it perfected; I bet they probably already have working prototypes... they're at least far enough along to be confident in making a public announcement.  

So yeah... I think this is a good thing!  And based on track record I'm guessing they'll get it right.  They can't aford not to.  They know this all too well after the Marine Power fiasco of 2014.

Edited by IXFE
typos galore :-(
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There have probably been Malibu powered Malibus running in TN for a few months already. .. this also explains the new building expansion from earnings call.  

They can't afford to get this wrong, they have too large of a customer base to migrate if there us even a hint of doubt.   

Just be prepared for the next round of spin!  "We went back to GM for thier superior ________"  Just like last year ..."We moved to the raptor base because of better torque"

^^^^^LOL..... what he said!

Edited by DarkSide
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What will they call the new engines?  

I think this is really interesting.  Sort of following in MC's footsteps with Ilmor.  Now nobody can say that their budget boat has the same engine as a Malibu.  

 

 

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10 minutes ago, TallRedRider said:

What will they call the new engines?  

I think this is really interesting.  Sort of following in MC's footsteps with Ilmor.  Now nobody can say that their budget boat has the same engine as a Malibu.  

 

 

Probably still call them "Monsoon."  

Malibu never did adopt the Raptor branding.  They don't even use the Roush badge on the 575.  

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1 hour ago, IXFE said:

 They know this all to well after the Marine Power fiasco of 2014.

Any links to cliff notes?  I'm looking at 2014-16 boats right now and want to study up on what to avoid.  

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I can see it as an increase of profits with drafting the right personnel. They should be able to buy the ECM's and farm that out but how much is really done to the motors after they leave Ford or GM to be marinized? How much is really manufactured by Indmar and how much is bolt on parts available in the marketplace? I'd bet most of it is.

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9 hours ago, hethj7 said:

Ultimately, I think this will likely be a good move, but does anyone worry about what talent Malibu has or will bring in-house to design and tune engines?   I'm just playing devil's advocate here, but if they can't tune my $10K stereo, not sure why they will be able to tune my $10K engine.  

Vertical integration is great, but there is also a lot to be said for a company that tries to do too much.  I LOVE Malibu and totally respect what @DarkSide is saying about getting parts, but Malibu has a ways to go to be seen in my eyes as a manufacturer who can supply precision engines when they can't build a sealed sub box or get all their vinyl patterns to line up.   

 Count me out for year 1 of the new Malibu power plant :) 

From what I heard they are partnering with some really big names in the engine industry to make sure this is a success.

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"Compelling Financial Benefits: The Company is targeting an approximate three-year payback on its investment."

This statement could be spun several different ways but it certainly doesn't suggest we're going to see reduced inflation on boat prices.  I'd like to see IXFE run some numbers and explain how this is even remotely possible without jacking prices through the roof.

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