This has been talked about for awhile, but just confirmed. Renault (Nissan's alliance partner) will cooperate with Daimler (Mercedes-Benz) in Europe and this means Nissan will have access to the entire range of Mercedes engines for North America.
Why is this big news? Since many Mercedes four and six-cylinder gas and diesel engines have already gone through the expensive EPA/DOT testing cycle, Nissan can readily adapt them to future products. Infiniti will have a broader range of powerplants to choose from and this move should help them have a broader reach in the near term.
Daimler and Renault will save billions on the development of small cars in Europe, and we may see some of those models here in the U.S. This is NOT a merger, however (Daimler learned THAT lesson with Chrysler). We'll continue to see very separate and distinct models for each company, but research and development costs will go down and hopefully, create better (and cheaper) cars for each of the alliance partners.
Here's a link for more info:
http://www.autonews.com/apps/p.../1193