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From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
Secret internal memo expressing serious concern about the company falling behind American competitors in car design and features.

Identifier  ExFiles\Box 148\5\  scan0060
Date  19th February 1935
  
SECRET.

To W.R. from Sg.{Arthur F. Sidgreaves - MD}
To C. from Sg.{Arthur F. Sidgreaves - MD}
To E.{Mr Elliott - Chief Engineer} from Sg.{Arthur F. Sidgreaves - MD}
To Per from Sg.{Arthur F. Sidgreaves - MD}
To W-P- from Sg.{Arthur F. Sidgreaves - MD}
To Ed.{J. L. Edwards} from Sg.{Arthur F. Sidgreaves - MD}
To Bn.{W.O. Bentley / Mr Barrington} from Sg.{Arthur F. Sidgreaves - MD}

Sg{Arthur F. Sidgreaves - MD}1/19.2.35

For some considerable time now I have been very seriously concerned with our position. Whilst we are extremely busy at the present time, my concern is in regard to the future.

Dealing first with cars I feel that not only are we not progressing but that we are definitely going back - in other words we are being surpassed by the Americans in particular in respect of those features on which our name and reputation have been built up.

During the last few months I have tried quite a number of American cars and, when I compare them with my Phantom, (which is quite a good example of its type), and with our 20/25, I am forced to the conclusion that we are no longer supreme in the qualities for which we have always been famous, i.e. silence, smoothness and comfort.

As an instance of our lack of progress I would mention that several years ago we definitely decided that the 20/25 (designed in 1925) had outlived its design and must be replaced, and a great deal of time and money was spent in building a new car, J.III, but when the first car was built, it was felt that this did not show sufficient advance on the 20/25 to warrant its going into production.

We are, therefore, still left with the 20/25 and, so far as I can see, shall have to be selling it for at least another two years.

Taking the Phantom, we have realised for a long time that the big 6-cylinder engine was a thing of the past and, whilst everybody seems to have been working extremely hard, we
  
  


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