Every week it seems there’s another new development regarding VW and its recall trouble. Most all of these developments, whether about additional software issues or expansion of the models effected, have been bad news for the company. The latest update appears to represent a change from that pattern, good news VW, though how this could impact consumers remains to be determined.
The latest news concerns the costs of the emissions recall. Previously, experts said that the recall would cost untold billions and prove destructive to the company’s bottom line. Though the total will still be in the billions, the executives can breathe a little easier as estimates are the repairs will prove less expensive than expected. In particular, an estimate was done concerning the cost of recalls in Germany. VW is said to now save close to $3 billion thanks to a very cheap hardware fix.
The new plan for fixing the 2.4 million impacted diesel vehicles in Germany calls for installing a $10 sensor in the air filter and a relatively simple software update. Analysts say the advent of the cheap sensor is responsible for saving potentially billions of dollars. Whether the same simple fix will be applied to the millions of other vehicles that could be swept up in the recall remains to be seen.