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New branding comes with a lot of overhead.

If you're spinning a new brand out of a known brand, you'll have to educate customers with large marketing investments. This will have to be massive for the car industry.

Given the car's not very profitable already, they'd be running a huge loss for a long time.

Agreed. And what's worse is that GM recently announced that Cadillac would be their new flagship EV brand. As a Bolt owner I'm fine owning a Chevy, but I just can't see myself driving something with a Cadillac badge.

The Scion brand was a total failure and Toyota closed it down. GM used to have about 10 different brands but that just led to customer confusion and was a waste of resources.