The 1970’s were really where things went from “struggling” to “make-or-break” for real-life AMC. The distractions of the previous decade (AMC Marlin, full-size Ambassador) meant that this decade’s efforts had to succeed, or they wouldn’t get a chance to try again.
And unfortunately for real-life AMC, what they came up with didn’t cut it. But how did alternate AMC do?
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ALTERNATE HISTORY
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1970: As with the rest of the American automakers, 1970 would be the end of the line for top-end power. For an additional $400, AMC will fix up any car outfitted with the 6.4L “AMX” engine with all their go-fast bits, helping it reach a total gross output of
400 hp. This make the compact American and Rebel the ultimate giant-slayers on the dragstrip and especially the track.
AMC also introduces redesigned midsize offering: National (replacing Classic), Ambassador, and Javelin, a styling evolution of the previous generation, improving packaging and increasing interior space, with a slightly larger 114” wheelbase. The big change is underneath the sheetmetal—these cars now have
a fully independent suspension (rear transverse leaf springs), the second American cars to offer it (after the Corvette). These changes allow the Classic and Ambassador to remain the class leaders in the midsize market.
Additionally, AMC purchases the
Jeep brand from Kaiser Industries. This move expands AMC’s total market share with a consistently profitable and well regarded brand, improving their position in the market.
Not counting Jeeps, sales slump slightly to 510,000.
1971: A hugely important year for AMC. This year they introduce the AMC Hornet, replacing the muscle-car ambitions of the American with a stylish, economical, usefully packaged and fully modern compact. Sitting on a 108” Wheelbase (an increase of 2”), the Hornet sits in the sweet spot of the compact market. Also featuring an
independent rear suspension, the AMC lineup is the first full lineup to feature fully independent suspensions. Featuring
guardrail beam doors to protect occupants from side impacts, it is the first US made car to feature such an innovation.
The pony-car Rebel is also redesigned, keeping it’s lightweight and handling advantages vs the Mustang and Camaro, combined with less brake dive and stylish new sheetmetal.
Also this year, AMC introduces the brand-new Gremlin, America’s first subcompact, beating the Vega and Pinto to market by several months. Based on a shortened 96” wheelbase of the Hornet, it is aerodynamically efficient with its hatchback tail, wider and more stable than the Vega and Pinto, and handles far better.
It’s distinctive styling gets people’s attention, and
high-quality design & manufacturing prevent it from having any of the reliability/rust issues that the Vega and Pinto experience. With the 199 ci I6, it’s the most fuel-efficient American car. With the optional newly introduced
tall-deck 304 ci V8, it’s a surprisingly good performer, with 150 net hp while weighing only 2600 lbs.
The launch of the redesigned Hornet, Rebel, and Gremlin goes well. Sales improve to a record 580,000.
1972: AMC now has 6 models on two unibody platforms, all RWD, all fully-independent suspensions, all rear transaxles, and all with differentiating and handsome sheetmetal. They have two engine families, their torquey and fuel efficient I6, and their reasonably powerful and fuel efficient V8’s. New emissions requirements are dropping the power of their engines, but their cars lightweight unibody construction and excellent handling are keeping them competitive on the performance spectrum.
AMC has generated a reputation for quality and excellence in the last couple of years. While their individual products don’t have the same appeal or name recognition as the Big Three, the AMC brand is coming to be highly respected.
The only major change for 1972 is a switch to
full synchromesh manual transmissions across their entire lineup. Meanwhile, AMC is hard at work creating a genuinely small car of the future—the AMC Pacer.
Sales: 540,000
1973: AMC’s midsize platform is updated, along with styling. In an era where the largest of cars are reaching absurd proportions, AMC’s National and Ambassador are delightfully midsize, with just a wheelbase of 114 inches. Redesigned with simplicity, durability, and reliability in mind, they don’t offer any particular performance improvements over the previous generation, but they do come with AMC’s new 24,000 mile Buyer Protection Plan. They are, however, significantly safer, offering guardrail beam doors, making them arguably the safest cars made in the US.
In addition, AMC introduces a smaller 90 hp 170 cubic inch I6, based on their existing engine block. With this engine, the AMC Gremlin, Hornet, and National get their best fuel economy. The impressive power (for the day and displacement) is due to a rework of the engine mechanicals which allows for a higher RPM. MFG costs are relatively high for such a small engine, but AMC executives realize that higher sales will more than make up for the cost.
This engine could not have come at a better moment for AMC. When the 1973 Oil Embargo occurs, AMC is ready with its most fuel efficient lineup ever. Quickly, AMC begins offering the luxury Ambassador and personal luxury Javelin with this new 170 c I6 to meet increased demand.
Sales of their fuel efficient vehicles in the last quarter of 1973 push AMC to their best year ever: 650,000 sales.
1974: The 1973 Oil Crisis comes at a perfect time for AMC, because in 1974 they launch their ground-breaking new subcompact, the AMC Pacer. Completely different from the real-life AMC Pacer, this alternate-universe Pacer is built on a new subcompact unibody platform, developed at great expense (AMC’s biggest investment since their 1963 lineup). In short, it is an AMC version of the BMW 2002: a small, lightweight, excellent handling, super-handsome and well proportioned sedan.
Coming in both 2 doors and 4 doors, sedan, station wagon, and hatchback, it has a 100” wheelbase, and weighs 2100 lbs. Power comes from AMC’s
first 4-cylinder engine (based off their I6); 113 cubic inches, and 60 hp. Power is routed through either a 4-speed auto or 5-speed manual gearbox. It has all the standard AMC features—RWD, front disc brakes, rear transaxle, 4 wheel independent suspension, guardrail beam doors, and excellent handling. Fuel economy is the best ever for an AMC. This engine is also offered on the Hornet and Gremlin.
It is a runaway sales success. With AMC’s reputation for quality, and with the Vega’s issues with rust, and the Pinto’s issues with fuel tank fires, the AMC Pacer nearly becomes the best-selling small car in America, with the AMC factories not able to make them fast enough. Despite running 3 shifts per day, AMC is only able to make 350,000 of them, where it is estimated they could have sold 100,000 more if they only had been able to make them.
AMC’s sales skyrocket to over a million vehicles for the first time ever—1,015,000 sales.
1975: With gas prices stabilizing, demand for the Pacer decreases slightly, but it is still a runaway sales success at 300,000 units sold. Flush with cash, AMC drops the 232 I6, 304 V8, and 401 V8, and makes the bold move of adding
K-Jetronic fuel injection to all of its remaining engines. The I4 now makes 75 hp, the 170 I6 makes 112 hp, the 258 I6 makes an astonishing 171 hp, and the 360 V8 a powerful 215 hp, all with improved emissions and no reduction in fuel economy. AMC is the first American motor company to have a
fully fuel-injected engine lineup.
The US economy is experiencing inflation, and new car sales drop for all automakers. Nevertheless, AMC still has its second-best year ever.
Sales: 890,000
1976: The AMC Hornet is updated, and the Rebel is dropped. Sales of the Rebel had dropped to a trickle with the oil crisis, and it no longer could justify its existence. Styling improvements to the Hornet keep the design fresh, and aerodynamic improvements give it the best 6-cylinder fuel economy in its class. In addition, handling lessons learned from the development of the Pacer are passed on to the larger Hornet.
The Gremlin is replaced with the more conventionally-styled
Spirit, which, being offered with a 171 hp 258 I6 while only weighing 2600 lbs, takes over the performance mantle from the Rebel.
Sales: 830,000
1977: Coinciding with GM’s new downsized large car platform, AMC launches a brand new Ambassador, National, and Javelin. All three cars continue to have unique sheetmetal. Handling improvements learned from the Pacer and Hornet are passed on. Fit and finish continues to be industry best. Changes to the unibody improve safety.
With gas prices remaining high, AMC makes the bold move of ceasing use of their V8 entirely (it continues to be used in their Jeep lineup). From now on, the 258 ci I6 is their performance motor (for the Hornet & Spirit), and the standard motor on the Ambassador. AMC now has just two engine blocks, their I6 engine block, and their I4 engine block. Both engines operate on similar principles, and get similarly impressive 0.66 hp/cubic inch.
Sales for the Pacer are down to 220,000, but increased sales of the Ambassador and National keep sales almost even, and improve profitability.
Sales: 820,000
1978: The Pacer is updated to better compete with the front-wheel-drive VW Rabbit and Dodge Omni. AMC realizes that a wholesale switch to FWD is on the horizon, and that
they will not be following. Instead, they focus their marketing to bring more attention to the rewarding driving dynamics of their RWD vehicles.
While AMC’s have been the best-handling vehicles in their class since 1968, with their early adoption of rear independent suspensions and rear transaxles, it is only with the switch to FWD that the products become differentiated enough in the minds of the public that AMC is able to aggressively and successfully market it. AMC launches the Hornet AMX and Spirit AMX trim levels, powered by AMC’s powerful 171 hp 258 ci I6. The lightweight Spirit AMX is able to go 0-60 in 7.2 sec—as fast as the most powerful Chevy Corvette.
Sales: 850,000
1979: This is the year that AMC’s innovative AWD Eagle is launched, marking the creation of an entirely new market, a market that AMC will become the major player in forever more. In addition, AMC’s introduces improvements to the components of their engines, allowing a higher rpm and more power (now 0.74 hp/ci)
Since the oil crisis, sales of Jeep’s utilitarian yet thirsty trucks had been consistently low. Seeking new ways to make use of Jeep’s excellent 4WD & AWD technology, a proposal is put forward for an AWD vehicle that has the ride and handling of a standard RWD car. The result is the Eagle, the
world’s first fully-realized Crossover Vehicle.
Featuring full-time AWD, 3” of additional ground clearance, and two new engine options—a new 150 ci I4 (110 hp) or the reintroduced 199 ci I6 (146 hp) (the 170 and 232 I6 have been dropped), the Eagle uses a conventional front-mounted transmission, allowing for easy AWD. A power takeoff transferring torque through a street-friendly vicious coupling connects to a front differential which threads, truck-like, underneath the engine to the wheel-hubs. While this system does require the 3″ of additional ground clearance, it maintains the Eagle’s independent front suspension, allowing for a car-like ride quality.
With the I4 and 5-spd manual, the Eagle gets impressive highway mpg, an important selling point with the 1979 oil crisis. Sales of the Pacer remain steady despite it being a poor year for car sales overall.
Sales: 860,000
State of AMC in 1980
The automotive landscape has changed rapidly in the last ten years. Two oil crisises, a switch from leaded to unleaded fuel, emissions requirements, an increased emphasis on safety, the entry of a number of Japanese and European automakers into the US market, the introduction of FWD vehicles, and inflation (which has more than doubled the price of new cars from 1970-80) has changed everything.
But AMC has survived and even thrived. In many ways, they have been lucky. Their refusal to compete in the large car market has allowed them to focus on their core competencies—small to midsize cars—which have been the one of the few areas of sales growth during the decade. In addition, their small number of platforms and engines has allowed them to institute changes and improvements faster than their larger competitors. Making investments early into product quality rather than seeking for cost savings has allowed their cars to remain competitive through their entire product lifecycle, and allowed them to advertise a large number of firsts.
- First independent rear suspension American car lineup
- First rear transaxle midsize American cars
- First standard front disc brakes across an entire lineup
- First standard AC in an American car
- First American subcompact
- First full synchromesh gearbox across an entire lineup
- First fully fuel-injected engine lineup
- First AWD passenger car
The biggest success of the decade has been the Pacer, a small but competent subcompact which (unlike the incompetent Vega and Pinto) has no issues. This car alone has propelled AMC’s sales from hovering around the half million mark to roughly 1 million. Despite the 1979 oil crisis, AMC is well positioned to improve their product for the next decade.
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