Core Viewpoint - Mercedes-Benz has firmly denied rumors of outsourcing engine production to BMW, emphasizing its commitment to in-house development of its new modular engine series, FAME, which meets stringent emission standards [3][5][10]. Group 1: Engine Development and Strategy - The FAME (Familie der Amodularen Motoren) series includes a comprehensive range of engines from four to twelve cylinders, designed to comply with the latest Euro 7, National 7, and US regulations [3][10]. - Mercedes-Benz aims to maintain its engine production entirely in Stuttgart, reinforcing its brand identity and commitment to high-quality engineering [5][10]. - The company plans to introduce a new V8 engine that meets the strictest emission regulations while retaining the V12 engine in its product line, showcasing confidence in its internal combustion engine technology [10][11]. Group 2: Competitive Landscape - The rivalry between Mercedes-Benz and BMW has persisted for over a century, with both brands maintaining unique identities in automotive manufacturing [7][14]. - Recent developments in interior design technology have seen both companies competing for innovation, with Mercedes-Benz introducing a large touchscreen interface in the new GLC, while BMW employs a "panoramic vision" display in the iX3 [6][9]. Group 3: Future Collaboration and Industry Trends - The automotive industry is witnessing a trend towards collaboration in non-core technology areas, as companies face high R&D costs and rapid technological advancements [14][16]. - Mercedes-Benz and BMW have formed partnerships in China to develop charging networks and electric vehicle production, indicating a shift towards cooperative strategies among traditional competitors [16].