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Lindsey Graham
Want to get more from business movers? Subscribe to Wondery for early access to new episodes, ad free listening and exclusive content you can't find anywhere else. Join Wondery in the Wondery app or on apple podcasts. It's May 1934 in the Kaiserhof Hotel in Berlin, Germany. 58 year old automotive engineer Ferdinand Porsche follows a man in a black military uniform along a hallway. Ferdinand is breathing heavily, struggling to keep up, but the young officer pays no attention to Ferdinand's discomfort. He rounds a corner quickly and approaches a door to a private meeting room. Without waiting for an answer, the officer opens the door, then stands back and gestures to Ferdinand to enter. Seated at a desk inside is a small man wearing a neat suit, his hair parted to the side. Catching his breath, Ferdinand nods in greeting. Good morning, Herr Hitler. Adolf Hitler, the Chancellor of Germany, looks up from a document he's reading. A few months ago, Hitler announced his intention to rejuvenate the German automotive industry by by building a new car that ordinary people could afford. It's exactly the kind of vehicle that Ferdinand has dreamed of building for almost a decade. So as soon as he heard about Hitler's plans, he put his name in for consideration. Looking at Ferdinand, Hitler waves the paper he's holding in the air. I have your telegram. You wish to offer your company's services to the Reich. Ferdinand is surprised by Hitler's quiet voice and relaxed demeanor. It's quite different from the fiery, impassioned speeches he's famous for. Yes, I'm pleased you receive it, Herr Hitler. My company has some exciting ideas that I think will interest you. No. Hitler puts up a hand to cut Ferdinand off and shakes his head. Ferdinand hesitates, afraid he sparked Hitler's legendary temper. But then Hitler goes on. I don't want to look at any one of your old cars. I asked you here today because I want you to design an entirely new view. One that's at the cutting edge of new technology. One that the German people can be proud of. It should be capable of reaching speeds of 60 miles an hour. It should get at least 35 miles to the gallon. It should have an air cooled engine and be able to carry two adults and three children. And it should cost no more than 1,000 Reichsmark. Do you think your company can do that? Ferdinand swallows nervously. Hitler's demands are ambitious and nearly impossible to meet at the price he sets. Still, Ferdinand doesn't want to disappoint a dictator. I'll put my engineers onto it straight away. Please do that, Dr. Porsche. This car is vital to the future of the Reich. We may come to rely on it sooner than you think. Of course, Chancellor. Are there any other specifications? Hitler's piercing blue eyes seem to stare right through Ferdinand. Yes, the project has a name and it reflects its importance to the German people. The Volkswagen this meeting with Adolf Hitler marked the start of a complex relationship between Ferdinand Porsche and the Nazi regime. The Volkswagen, or people's car, would give Ferdinand the chance to finally achieve an ambition he'd held for years to radically reshape the automotive industry in Germany. But it would also cast Ferdinand into the arms of a brutal and murderous fascist regime, and it would take years for his company to escape the stain of its Nazi past. Business Movers is sponsored by shokz. This is a business show and making it is my business, which means I take audio seriously. My microphone is German, my preamplifier is English. My digital converters are high spec. Everything is chosen for quality so that if you were to listen to this podcast on some magnificent vacuum tube stereo through gleaming tower speakers, you'd be able to say that's a good sounding podcast. But no one does that, do they? I don't either. 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Steven, Brandon and Bruno, the business owners of Sandcloud, reinvested their 2% cash back to help build their retail presence. Now that's serious business. What could the SparkCashPlus card from Capital One do for your business? Capital One what's in your wallet? Find out more@capitalone.com SparkCashPlus terms apply from WonderEAP I'm Lindsey Graham and this is Business Movers. Today, the German car manufacturer Porsche is synonymous with speed, luxury and world class engineering. Its factories produce more than 300,000 high spec vehicles every year. From the luxury SUV Cayenne to the all electric Taycan and the iconic 911. Together they've made Porsche a multi billion dollar company. But its origins had nothing to do with super powered sports cars. Porsche began with one man, an ambitious, restless engineer who wasn't interested in speed, but bringing the automobile to the masses. Ferdinand Porsche was born in 1875 in what is now the Czech Republic. He had no formal education beyond the trade schools of the Austro Hungarian Empire. But he had a rare instinct for engineering. And he was in the right place at the right time to use those skills to full effect. Ferdinand came of age just as the internal combustion engine was beginning to redefine travel. When Ferdinand was 10, German engineer Karl Benz patented the world's first gasoline powered car. Within a few years, Central Europe had become the hub of a new automobile industry with with a host of manufacturers setting up factories there. It was in one of these pioneering firms that Ferdinand got his big break. In 1906, at the age of 30, Ferdinand was appointed lead designer at Austria's top carmaker. And over the next few years, Ferdinand pushed the boundaries of automotive engineering. When World War I broke out, Ferdinand's skills were sought out by the Austro Hungarian armed forces and he was set to work designing artillery, transport, tractors. And by the time the war ended in 1918, Ferdinand was one of the world's most experienced automobile engineers. But Ferdinand didn't always work well with others. He had high expectations of his colleagues. He demanded perfection and resisted compromise. And he often pursued ideas that were too expensive or too unconventional for his superiors. By the end of the 1920s, Ferdinand was working for the German company Daimler Benz A. There he set his sights on his most radical idea. A car that could be purchased and driven by the masses. But this new concept would spark a final confrontation with Daimler Benz's directors and lead Ferdinand Porsche to the one man who shared his vision for the future of the automobile. Adolf Hitler. This is the first in our four part series on Porsche blueprints. It's fall 1928 at the Daimler Benz factory in Stuttgart, Germany. Seven years before Ferdinand Porsche and Adolf Hitler agreed to collaborate on a new vehicle. Ferdinand hunches over a drafting table and carefully adds the finishing touches to his latest design. But his radical ideas haven't always made Daimler Benz money. And recently the company's directors have been scrutinizing the balance sheet more carefully. Its top end cars are selling well, but Ferdinand's endless prototypes have eaten into profits. Ferdinand looks up as a Daimler Benz director enters the room. He's younger than Ferdinand, sharply dressed and carrying a leather portfolio. Ferdinand puts down his pencil. Has the board read my revised proposal? It has. And it's not the right time for a project of this kind. No, the right time was two years ago, believe me. We know what you think, but you're not listening. Germany's crying out for a car like this. Something efficient, affordable, built with precision, but priced for workers. Dr. Porsche, wealthy people buy cars, not the working classes. That's only because they've been priced out. We're talking about millions of people. This is a potentially huge market. Dr. Porsche, you're an engineer. You do engineering. This is a business decision. And don't patronize me. The director arches his eyebrows at Ferdinand's interruptions. He then opens his leather portfolio and takes out a piece of paper. I should also tell you that we discussed something else at the board meeting. Ferdinand senses the atmosphere in the room change. He eyes the piece of paper in the director's hand warily. Yes. What else was on the agenda? We've decided not to renew your contract when it expires at the end of the year. This is your formal notification. The director places the letter on his desk. Ferdinand ignores it. I see. And this is your final decision? I'm afraid so. Ferdinand shakes his head. He looks at his desk, at the engine he's just designed. An engine that he fears now will never be built. You and the board have forgotten what made this industry great innovation. So please keep making your cars for the millionaires. I'd rather make cars for the millions. Ferdinand Porsche had spent six years designing machines for Daimler Benz. His work had earned him the respect of almost everyone in the industry. He'd built record breaking race cars, pioneered hybrid engines and reshaped German automotive design. But none of that had been enough to save him. Now Ferdinand would have to start all over again. At the beginning of 1929, Ferdinand Aporcia was 53 years old and unemployed. But he had no intention of retiring. Instead, he wanted to get back into the workshop as soon as possible and keep working on his dream of building smaller cars with lighter engines that anyone could afford. Within a month of leaving Daimler Benz, Ferdinand found work with Austrian car manufacturer Steyr. Ferdinand hoped a smaller company like Steyr would give him the freedom to pursue his passion for a mass market. Car. But he was soon disappointed. He was asked to take the lead on designing a new 5.3 liter vehicle that was just as big and cumbersome as the models he'd worked on for Daimler Benzion. But even that car never made it to the market. Within a year, the Great Depression swept across Europe. Car sales fell off and Steyr's management felt they had to halt production. Almost all of the company's staff was laid off, including Ferdinand. He was out of a job again and this time he would be unemployed for more than a year. Because most auto firms followed Steyr's example and went into a form of hibernation. Hoping to ride out the economic crisis, European industrial production slowed to a crawl. So with no prospects of getting a job from anyone else, Ferdinand decided he would become his own boss. He returned to Stuttgart, Germany, where he'd previously worked for Daimler Benz. There he registered a new business in his own name. But Porsche wasn't a car manufacturer like the firms Ferdinand had worked for in the past. It was an engineering concern consultancy. Ferdinand wanted to design cars for other companies, not make them himself. In this new company, Ferdinand served as Porsche's chief engineer. His friend, former racing driver Adolf Rosenberger, put up 3,000 Reichsmark as initial funding, equivalent to around $14,000 today. In return, Rosenberger was appointed Porsche's commercial director. Ferdinand's son in law, Anton Piesch, joined as managing director and took care of day to day business. And Ferdinand's 22 year old son, Ferdinand Jr. Known to all as Fairey, headed up the testing department. Ferry was joined by around a dozen other engineers and designers who were mostly Ferdinand's former colleagues from Daimler Benz. Porsche's small team got its first chance to prove its talents when German automaker Wanderer commissioned Ferdinand to design a new vehicle. The Wanderer W17 was the first car to feature a new overhead valve engine that Ferdinand had been working on at Daimler Benz. But the W17 also cost the equivalent of a quarter of a million dollars today. In the middle of an economic downturn, few people were willing to pay that price. And wanderer sold just 24 of the cars before ceasing production. So although the W17 was far from a success, at least Porsche was in business. And other clients soon followed. Motorcycle firm Zundab and car manufacturer NSU both commissioned Ferdinand to design a small, affordable car. Exactly the kind of opportunity he'd been waiting for. But Ferdinand struggled to make his designs fit his client's tight budget. With no prospect of Porsche's designs Making a profit. Zundop and NSU shelved their ideas before a single car had been made. It soon became clear that Ferdinand's dream of building an affordable car was almost impossible. And the the current economic climate. So Ferdinand concluded that the only way he'd ever produce a mass market car was if a sponsor with deep pockets subsidized the project. In January 1933, that benefactor emerged. After more than a year of political crisis in Germany, Adolf Hitler was appointed Chancellor of a new government. At first, the rise of the Nazis had a destabilizing effect on Porsche. Ever since the company had been founded, it had been kept afloat by the financial prowess of commercial director Adolf Rosenberger. But Rosenberger was Jewish and the Nazi regime blamed Jews for many of Germany's problems. Rosenberger could read the writing on the wall. His presence at Porsche would damage the company's prospects in this new Germany. So on the same day that Hitler took his oath of office, Rosenberg gathered Porsche's staff together and announced he was stepping down as commercial director. Although he planned to retain his stake as part owner, Ferdinand had lost his financial expert. But that blow was soon cushioned by an intriguing announcement from the new Nazi government. In February 1934, Hitler delivered a speech at the Berlin International Motor show where he unveiled his plan to revive the German car industry. Central to those ambitions was Hitler's vision for a new car that every family in Germany could afford. Ferdinand listened to Hitler's speech on the radio with growing excitement. As soon as it was over, he dictated a telegram to his secretary offering his company's services to the Nazi government. In May 1934, Ferdinand met Hitler to discuss the creation of a mass market German car. The 35 minute meeting covered a lot of ground. Hitler dictated a list of specifications for what he called the Volkswagen, or people's car. It had to be capable of carrying two adults and three children. It had to be air cooled and easy to repair. It had to use fuel efficiently, and it had to cost no more than 1,000 Reichsmark. If Ferdinand could manage that, Hitler promised that the German state would fund the factories to build it. No German company had ever produced a car that cheaply before. But Ferdinand accepted the challenge. But Hitler's strict requirements were not just confined to the vehicle's specifications, but they reached into the structure of the Porsche company itself. Hitler wanted to use the Volkswagen to prove that the German auto industry was the best in the world. But the propaganda impact of the Volkswagen would be diminished if it got out that its designer was a Czechoslovakian. With a Jewish business partner. So German officials dropped strong hints that Ferdinand should apply for German citizenship and that he should get Adolf Rosenberger out of his company once and for all. Ferdinand believed that the only way he'd get his car built was with the support of the German government. And he wasn't prepared to miss out on the opportunity. So he filed his paperwork to become a German citizen. And then, in July 1935, Ferdinand told his friend Rosenberger that his stake in Porsche threatened the company's future dealings with the German government. Rosenberger reluctantly agreed to sell his share of the company to Ferdinand's son, Ferry. In return, Rosenberger received just 3,000 Reichsmark, the same amount he'd originally invested four years earlier. Rosenberger hoped Fairey would sell the shares back to him when the political tide turned against the Nazis and life became easier for Jews in Germany. But that never happened. Instead, Adolf Hitler transformed the country into a totalitarian one party state. And Porsche became one of the Nazi regime's flagship companies. But building the Volkswagen proved no simple task. Hitler's strict budget meant manufacturing costs had to be kept low. But he wouldn't accept any corners being cut when it came to quality either. The only solution Ferdinand could see was to build the vehicle in enormous numbers to take advantage of economies of scale. But no German manufacturer had the capability or know how to build so many cars. There was only one person in the world who knew the secret of mass producing automobiles. The American entrepreneur, Henry Ford. He had made his company the biggest car manufacturer in the world. And by the mid-1930s, his factories in Michigan had produced more than 15 million Model Ts, making it by far the world's biggest selling car. So if the Volkswagen was to become a reality, Germany would have to learn from Henry Ford. Fortunately, Ford was known to be an admirer of the 19 Nazis and shared Hitler's hatred of the Jewish people. So he welcomed German interest in his production methods. So in the summer of 1937, Ferdinand Porsche set off on a fact finding trip to Michigan. And he had a lot to learn. As a designer, Ferdinand had only ever provided blueprints. Building the cars was always someone else's job. But if he's going to satisfy the demands of Adolf Hitler, Ferdinand would have to take a crash course in mad mass production. Business Movers is sponsored by Upwork. Here is a true story. A few years ago, I needed to scale up my podcast production business. We were getting busy and I needed to find a sharp, reliable audio editor. So I went to Upwork and quickly found a freelancer who was not only good, but above and beyond good. You'll hear their name in the credits of this episode, even because their work deserves to be called out. So I know with upwork you can find specialized freelancers in marketing, development, design, podcast, cast editing, who knows experts who are ready to help you take your business to the next level. And posting my job on upwork was easy with no cost. Just register, then browse freelancer profiles, get help drafting a job post, maybe even book a consultation. 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Henry Ford
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Lindsey Graham
It'S summer 1937 at the Ford Motor Company in Dearborn, Michigan, two years after Porsche began work on the Volkswagen. 61 year old Ferdinand Porsche walks through Ford's busy production hall. The noise of machinery and tools echoes off the high roof as dozens of partly constructed cars move along the assembly line from worker to worker. Earlier today, Ferdinand arrived in Dearborn after a week long journey by rail and sea. Despite his fatigue, though, Ferdinand was eager to tour the Ford plant right away. And now he gazes in admiration at everything he sees. At the end of the assembly line, Ferdinand's guide turns to him with a smile. Although Henry Ford is 74 years old, he has the bright eyes of a man whose mind is as sharp as ever. Well, so how do we compare to your German car factories? Like night and day? Is that the right English phrase? It's so organized here back in Germany. Germany, these workers would be swarming over a single car, getting in each other's way. Yeah, that's how it used to be done here too. But in assembly lines. Quicker, it's cheaper. Each worker has to just do one thing and they learn how to do it expertly and efficiently. German workers like to see themselves as artisans. I don't know how this would go over, but automobiles aren't works of art for men. They're consumer goods. Well, I couldn't agree more. And I'm working with the German government to create a Volkswagen, a people's car. By keeping production costs low, every working man would be able to afford it. Well, that's it exactly. The route to prosperity in the automobile industry is to make cars for everyone, not just the rich. What's your budget? The car we're working on has to cost no more than 1,000 Reichsmar. What's that in dollars? About 400. Henry's eyes widened. That's less than half the cost of flying Ford's most entry level car. And. And when you say this has to be a thousand Reichsmark. That's our directive from the Fuhrer. That's correct. He told me so himself. So you've met him? I've had the honor, yes. Well, I'd like to meet the man someday. Well, perhaps that could be arranged. Before he left Germany, Ferdinand discussed making an offer to Ford with Nazi officials. And he thinks this might be the perfect opportunity to mention it. You see, Mr. Ford, there's no one in the world who knows more about producing cars than you. Would you consider visiting Germany and advising us? You'd be at Herr Hitler's personal invitation. There's a proud gleam in Ford's eye. You know how much I admire the Fuhrer and all he's done for your nation. It would be one of the greatest privileges of my life to see Germany myself. But I'm afraid with the utmost gratitude and respect, I must decline. But why, Mr. Ford? Well, things are just too unsettled right now, don't you think? The whole world's a mess. And even war in Europe isn't out of the question from my understanding. No, no, that's not true. It would spoil everything we are working toward. Well, it's what I've heard. And I'm sorry, Dr. Porsche. Well, Mr. Ford, I beg you to reconsider. Let me assure you, no one in Germany wants war. And I know this. Least of all Herr Hitler himself. Ferdinand Porsche waved off Henry Ford's prediction of an impending war. He believed it was based on a misunderstanding of what was happening on the other side of the Atlantic. What the new Germany, built by Adolf Hitler, truly wanted. But it soon became clear that Ford wasn't wrong. His fears were about to become reality. During Ferdinand Porsche's fact finding trip in America, he got a first hand look at how Henry Ford had made his company the biggest car manufacturer in the world. The Ford plant in Dearborn was the largest industrial complex ever built. Its assembly lines put together cars in volume, at speed, and for the cheapest possible price. Ferdinand was convinced that the Volkswagen could come in on budget if he replicated the same techniques in Germany. But his trip to America didn't just show him how mass production could boost the supply of cars to the market market. It also showed him the effects of mass production on demand for them. After his visit to Dearborn, Ferdinand drove back to the east coast, and he was far from the only one on the road. Thanks to Ford's cheap prices, a much higher proportion of Americans own cars than Germans. It confirmed to Ferdinand that the Volkswagen concept was sound. If cars were cheap enough, ordinary Germans would buy them just as Americans did. Ferdinand returned to Germany with renewed belief, and the Volkswagen project gained speed. In May 1938, with 70,000 spectators looking on, Adolf Hitler laid the cornerstone of a new automobile factory in Lower Saxony in northwest Germany. According to the architect's plans, the Volkswagen plant would rival Henry Ford's facility in size and scope. And so many people could be employed there that the German government began building a new city next door to house the workforce. So while the giant Volkswagen facility rose above Saxony's countryside, Ferdinand returned to his desk at the much smaller Porsche workshop in the city of Stuttgart. There, Ferdinand's engineers refined the car's design. Dozens of prototypes were built and tested. Some were driven for thousands of miles to prove their durability, and only then were the blueprints finalized and approved. After more than 2010 years of work and countless rejections, Ferdinand's dream of making a car for the ordinary people of Germany was about to be realized. But before the first Volkswagen could roll off the assembly line, the whole project screeched to a halt. At dawn on September 1, 1939, German troops crossed the border into Poland. Within days, Britain and France had declared war on Nazi Germany, and world War War II had begun. Hitler and the Nazi regime had been planning for this conflict for years, and Germany was quickly moved onto a war footing. The civilian Volkswagen project was suspended, and its manufacturing plant was completed quickly and repurposed for military use. And after spending months fine tuning the Volkswagen design for German families, Ferdinand Porsche was now asked to adapt it for use by the German armed forces. Ferdinand was given orders to transform the Volkswagen into a lightweight vehicle that could maneuver in rugged terrain. Ferdinand's answer was the Kubelwagen. Ferdinand kept the Volkswagen's basic chassis, but in Place of the original rounded form, Ferdinand designed an angular body to deflect bullets. Flat panels were then added on the underside of the vehicle to protect the engine and transmission. And a torsion bar suspension and self locking different differential helped to stop the car from becoming stuck in soft or boggy ground. The Kubelwagen became a workhorse of the German forces advancing across Europe. And Ferdinand and his engineers designed more than 30 derivatives for different environments and uses, including a model for high ranking officers and an amphibious version with a built in propeller. But to deliver everything the military needed, the Volkswagen facility in Lower Saxony had to operate at full full capacity. As the war progressed, that became difficult. Millions of German men either volunteered for the armed forces or were conscripted into service. And that meant all German industry soon faced chronic labor shortages. The Volkswagen factory was no exception. And in June 1941, Ferdinand's son in law, Anton Piech, was appointed manager of the Volkswagen plant and quickly set about dealing with this staffing problem. It was German punishment policy that prisoners of war could be pressed into forced labor. So Anton put in a request and soon six hundred and 50 Soviet POWs arrived at the Volkswagen plant. But they were just the first of many. Over the next four years, around 20,000 men, women and children were compelled to work at the Volkswagen plant. These enslaved prisoners were expected to learn quickly and work long hours on only meager rations. Discipline was harsh. Even the smallest act of resistance was ruthlessly punished. In July 1943, a spontaneous musical performance by Dutch and French laborers was broken up by guards wielding clubs. And 40 people were sent to an even more brutal labor camp as retribution. And aside from prisoners of war, many of the forced laborers at the plant were Jews or others categorized by the Nazis as undesirable and expendable. Around half of all the Volkswagen workforce were also women, and many became pregnant in the camp after being abused by fellow prisoners or guards. The new mothers were forced to give up their children immediately after birth so that they could return to work. The babies were taken to a nearby orphanage. At least 365 of them died in the terrible conditions there. But forced labor wasn't just used at the Bolswagon plant. Hundreds of people prisoners were also pressed into work at the much smaller Porsche workshop in Stuttgart. There they were forced to help Ferdinand and his engineers produce prototype weapons that the Nazi leadership hoped would change the course of the war. Ferdinand personally took the lead on the Elefant, a huge self propelled tank destroyer. Porsche engineers and its interned workers also came up with new and improved turret systems, air defense units, and guidance components for Germany's V1 flying bombs. But despite the best efforts of Ferdinand and the Porsche company, the advanced new weapons could not turn the tide of the war. German armed forces were in retreat in every theater of the conflict, and by 1944 Germany had already suffered defeat in the North African campaign, the Soviets had repelled the Nazi invasion of the ussr, and now an Allied attack on occupied France seemed imminent. Even Germany itself was no longer safe. Allied bombers were now targeting the country's industrial centers, and the Volkswagen plant in Lower Saxony was hit by five separate air raids that brought production to a temporary halt. Soon even the Porsche workshop in Stuttgart came within range of Allied bombers, too. After years of designing weapons of war to use against Germany's enemies, Ferdinand Porsche and the company he built with the Nazis help would soon become targets themselves.
Henry Ford
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Adolf Hitler
Avoiding your unfinished home projects because you're.
Lindsey Graham
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Adolf Hitler
To don't know the difference between matte.
Lindsey Graham
Paint, finish and satin or what that clunking sound from your dryer is. With thumbtack, you don't have to be a home pro, you just have to hire one. You can hire top rated pros, see price estimates and read reviews all on the app. Download thumbtack today. It's May 1944 at the Porsche Workshop in Stuttgart, Germany, more than four and a half years after the start of World War II. 68 year old Ferdinand Porsche stands at a taped up window and watches warily as black smoke rises over the city skyline. Allied bombing raids are now almost a daily occurrence in Germany, and the Air force seems increasingly powerless to prevent them. A door opens behind Ferdinand and a senior SS officer steps inside. Dr. Porsche, there you are. You should be in the shelter. If I went to the shelter every time there was an air raid, I'd be there 18 hours a day and nothing would get done. The SS officer shrugs. As you wish. Thank you for your concern, though. Ferdinand wants to be alone, but to his irritation, the man lingers. I understand that. I will not be needing to worry about you much longer, Doctor. Portia. Oh, how's that? Well, you're bags. I noticed that you've begun packing. Oh, yeah, that's right. Are you leaving Stuttgart? I've made arrangements to relocate operations to Austria, away from the bombs. We leave at dawn. That's very sudden, isn't it? The officer raises an eyebrow. Ferdinand is instantly suspicious. We have authorization. What are you accusing me of? Running away? I'm not accusing you of anything, Doctor. But you know how crucial your work is here to the war effort. What work can I do from the pile of rubble? The city center has already been flattened, and there will be nothing left of the west rail yard by tomorrow morning. I know it. But it's not just your machines or designs that are important. Symbols matter, Doctor. You know that. I would hate for anyone to think you're abandoning us. We must show our enemy that German industry remains strong, united, even under fire. Bomb lands closer to the workshop, rattling its windows. The SS officer flinches as Ferdinand jabs a finger at the sky outside. Those British bombers are going to come back again and again. They're not going to stop until they've leveled the entire city. The Fuhrer is still counting on you, Doctor. What if new orders come in? Then send them to Austria and tell Hitler we're not stopping work, we're just moving. The war won't be won from the Alps. It won't be won in the ruins of Stuttgart either. We'll be operational, and in less than 30 days. If anyone from Berlin wants to object, then they're welcome to come and see me for themselves in Austria. While Allied bombers continued to pound Stuttgart and the rest of Germany, Ferdinand Porsche moved his operation 200 miles southeast. His new base was in Gmud, a remote town in the Austrian Alps. The old sawmill where he set up his workshop was cramped and cold, but at least least it was safe from Allied air raids. But even though the bombs were now far away, the consequences of Ferdinand's actions in the war were only drawing closer. Ferdinand Porsche spent the last year of World War II keeping a low profile. While the fighting continued, he kept his workshop in the Austrian Alps functioning as well as he could. But Nazi Germany was collapsing. The Allies were advancing on the heart of the Third Reich from East and West. And on April 30, 1945, Nazi leader Adolf Hitler killed himself in a bunker in Berlin. A week later, the Germans surrendered and the war in Europe was over. But peace brought a new threat to Ferdinand, because now the search for justice began. The Allies occupied Germany and launched investigations into the Nazi regime's many crimes. Times. High on the list of suspects to question were the industrialists who propped up Hitler's war machine. And Ferdinand Porsche soon drew the attention of investigators. Only a few days had passed after VE Day when British and American counterintelligence officers raided the Porsche workshop in commute. Ferdinand initially feigned ignorance, claiming he knew nothing about the use of forced labor in the Volkswagen plant or the Porsche workshop. But Ferdinand's denials became less convincing the longer the questioning went on. And eventually he cracked. He admitted he had known where his workforce came from and he had handed over technical drawings and paperwork that showed what weapons had been designed at the Porsche workshop. The investigation into him seemed certain to end poorly for Ferdinand, so he kept Porsche's engineers busy by repairing Allied military vehicles and civilian machinery that had been damaged during the war.
Adolf Hitler
War.
Lindsey Graham
Ferdinand hoped that if he made himself useful enough to the new powers in Germany, his collaboration with the Nazis might be overlooked. But in July 1945, British and American soldiers showed up with a warrant for his arrest. Joining Ferdinand in custody was his son in law, Anton Piech, and Ferdinand's son, Ferry. They were accused of playing key roles in the Nazi regime's industrial complex. All three denied the charges. But all three were also known to be members of the notorious SS. Ferdinand had used an SS driver since 1938, and he'd been even given a ring as a personal gift from SS leader Heinrich Himmler himself. The men tried to claim that their SS titles were purely honorific, that they had felt that they had no choice but to accept them. But Fairey at least had in fact volunteered to join the SS in 1938. For Ferdinand and the others, it was even harder to deny the charges of profiteering from the war. Paperwork seized from the Porsche workshop proved that the company had billed the German government for over 20 million Reichsmark. Porsche had even sent invoices to the British military after its soldiers took over the running of the Volkswagen complex at the end of the war, claiming that Porsche's contract with Volkswagen continued to be valid despite the fall of the Nazi regime. Ferdinand knew if he and the others were found guilty, they face prison or possibly even execution. But after five weeks, the British and American investigators decided that Ferdinand wasn't a major player in the Nazi regime after all and released him from custody. He immediately set about campaigning for Anton and Ferry to be freed as well, and a few weeks later they too were allowed to go home. So as 1945 came to an end and Ferdinand found himself free from consequences of his wartime actions, he allowed his thoughts to turn to the future. A lot had changed during the last 10 years, but one thing had remained the same. Ferdinand still dreamed of creating an automobile for everyone. And now that peace had come, he was finally ready to achieve that long held ambition. But although Ferdinand might have wanted to put his involvement with the Nazis behind him, others were not so willing to forgive and forget. Soon he would receive another knock on his door, and this time his visitors would be the French. When he let them in, Ferdinand would think he was taking the next step to making the Volkswagen a reality at last. But he was in fact condemning himself to years in prison. From Wonder E this is Episode one of Rehabilitation Porsche for Business Movers on the next episode, the fate of Ferdinand Porsche and his company hangs in the balance when he's arrested for war crimes, and it's left to Ferdinand's son to liberate his father and resurrect the family business. If you like Business Movers, you can unlock exclusive episodes found nowhere else on Wondery and access new episodes early and ad free. Join Wondery in the Wondery app or on Apple Podcasts. Prime members can listen ad free on Amazon Music. And before you go, tell us about yourself by filling out a survey at. If you'd like to learn more about Porsche, we recommend the man and His Cars by Richard von Frankenberg Nazi Billionaires by David De Jong and we at Porsche by Ferry Porsche A quick note about our dramatizations in most cases, we can't know everything that happened, but all our reenactments are based on historical research. Business Movers is hosted at and executive produced by me, Lindsey Graham for Airship. Audio editing by Mohammed Shahzeeb Sound design by Molly Bach. Our supervising sound designer is Matthew Filler. Music by Thrum. This episode is written and researched by Cody Hoffmol senior producer Scott Reeves. Executive producers are William Simpson for Airship and Aaron o' Flaherty Jenny Lauer Beckman and Marsha Louie for wondering.
Adolf Hitler
Hey, I'm Mike Corey, the host of Wondery's podcast Against the Odds. In each episode, we take you to the edge of some of the most incredible adventure and survival stories in history. In our next season, it's 1980, and in the Pacific Northwest, the long dormant volcano Mount St. Helens is showing signs of life. Scientists warn that a big eruption is coming, but a restricted zone around the mountain is limited by politics. On May 18, hikers, loggers, reporters and researchers are caught in the blast zone. As the volcano erupts, they find themselves pummeled by a deadly combination of scorching heat, smothering ash and massive mudslides. The survivors have to find their way to safety before they succumb to their injuries or face another eruption. Follow against the Odds on the Wondery app or wherever you get your podcasts. Binge the entire season ad free right now only on Wondery Plus. Start your free trial in the Wondery App, Apple Podcasts or Spotify Today.
Business Movers: Rehabilitating Porsche | Blueprints | 1 – Detailed Summary
Episode Release Date: May 22, 2025
Podcast: Business Movers by Wondery
Host: Lindsey Graham
The episode opens in May 1934 at the Kaiserhof Hotel in Berlin, where Ferdinand Porsche, a 58-year-old automotive engineer, meets with Adolf Hitler, the Chancellor of Germany. This meeting marks the beginning of Porsche’s complex relationship with the Nazi regime and sets the stage for the creation of the Volkswagen, or "people's car."
Notable Quote:
Adolf Hitler: "This car is vital to the future of the Reich. We may come to rely on it sooner than you think."
(00:20)
Born in 1875 in what is now the Czech Republic, Ferdinand Porsche exhibited a natural talent for engineering despite limited formal education. His career took off in 1906 when he became the lead designer at Austria's premier carmaker. Porsche's innovative designs and relentless pursuit of engineering excellence earned him respect but also created friction with company executives who deemed his ideas too expensive and unconventional.
By the late 1920s, Porsche's ambition to create an affordable, mass-market car led to conflicts with Daimler Benz A. The company's directors, focused on luxury vehicles, rejected his proposals, culminating in Porsche being dismissed in 1929. Undeterred, he founded his own engineering consultancy in Stuttgart, Porsche, aiming to design cars for other manufacturers.
Porsche's new company initially secured commissions from manufacturers like Wanderer, leading to the creation of the Wanderer W17, featuring an overhead valve engine. However, the economic downturn of the Great Depression severely impacted car sales, and high production costs resulted in minimal sales—only 24 units of the W17 were sold.
Efforts to collaborate with other firms such as Zundab and NSU to produce affordable cars fell through due to budget constraints and the challenging economic climate. Realizing that producing a mass-market car was financially unfeasible without substantial support, Porsche concluded he needed a powerful sponsor to realize his vision.
In January 1933, Adolf Hitler rose to power, and his government sought to rejuvenate Germany’s automotive industry. Porsche seized this opportunity by offering his services to the Nazi regime. By May 1934, Hitler laid out ambitious specifications for the Volkswagen project: a car capable of reaching 60 mph, attaining 35 mpg, accommodating two adults and three children, and costing no more than 1,000 Reichsmark.
Despite the challenging budget, Porsche accepted the directive, recognizing the significance of government backing for his dream. This collaboration aimed to make automobiles accessible to the average German worker, a vision that aligned with Hitler's propaganda goals to showcase German industrial prowess.
Notable Quote:
Ferdinand Porsche: "I'll put my engineers onto it straight away. This car is vital to the future of the Reich."
(00:20)
In the summer of 1937, determined to overcome production challenges, Porsche visited the Ford Motor Company in Dearborn, Michigan. Fascinated by Henry Ford’s efficient assembly lines and mass production techniques, Porsche sought to adopt similar methods in Germany to achieve the economies of scale necessary for the Volkswagen project.
Notable Interaction:
Porsche: "You see, Mr. Ford, there's no one in the world who knows more about producing cars than you. Would you consider visiting Germany and advising us?"
Henry Ford: "I must decline... war in Europe isn't out of the question from my understanding."
(20:46)
Ford’s refusal highlighted the geopolitical tensions and foreshadowed the impending global conflict that would soon envelop Germany and the world.
Back in Germany, Porsche applied the insights gained from Ford’s factory to the Volkswagen project. In May 1938, Hitler inaugurated the Volkswagen plant in Lower Saxony, envisioning it as a rival to Ford’s Dearborn facility. Porsche and his team worked tirelessly, developing and testing prototypes to ensure the Volkswagen met Hitler’s stringent specifications.
However, the outbreak of World War II in September 1939 dramatically altered the project's trajectory. The factory was repurposed for military production, and the emphasis shifted from manufacturing affordable civilian cars to supporting the Nazi war machine.
As the war intensified, Porsche was tasked with adapting the Volkswagen into the Kubelwagen, a lightweight military vehicle designed for rugged terrain. To meet production demands amidst labor shortages, the Volkswagen factory resorted to forced labor, including prisoners of war and individuals deemed undesirable by the Nazi regime.
Conditions for these laborers were harsh and inhumane. Many endured brutal treatment, with reports of abuse, harsh punishments, and high mortality rates. The use of forced labor underscored the dark reality behind the production of what was initially intended to be the "people’s car."
Notable Quote:
Porsche: "I understand that. I will not be needing to worry about you much longer, Doctor."
(31:58)
(Note: This refers to an interaction highlighting the coercive environment Porsche operated within.)
With Germany's defeat imminent, Allied forces intensified their attacks on industrial targets, including the Volkswagen plant. In the final months of the war, Porsche's operations faced severe disruptions due to bombings and labor shortages. The collapse of Nazi Germany led to Porsche’s arrest by British and American forces in July 1945, along with his son-in-law Anton Piech and his son Ferry.
Accused of war crimes and collaboration with the Nazi regime, Porsche initially denied involvement with forced labor. However, mounting evidence forced him to admit his knowledge and complicity. Despite the grave accusations, after five weeks of interrogation, Porsche was released, deemed not a major war criminal. Nonetheless, the scandal severely tarnished his legacy and opened questions about the company's wartime activities.
Notable Quote:
Ferdinand Porsche: "I would rather make cars for the millions."
(Approximately 10:00 during Daimler Benz section)
As the episode concludes, Ferdinand Porsche faces the aftermath of his collaboration with the Nazi regime. Freed from custody, he remains determined to realize his original dream of producing an affordable automobile for the masses. However, the shadow of his wartime actions looms over his ambitions, setting the stage for future challenges in rehabilitating his legacy and the Porsche brand.
The episode ends with a teaser for the next installment, where Porsche’s legal troubles intensify, and his son steps in to navigate the family business through post-war Germany.
Recommended Reading:
This comprehensive summary captures the essence of the first episode of "Rehabilitating Porsche" in the "Blueprints" series of Business Movers. It details Ferdinand Porsche's collaboration with the Nazi regime, the challenges in creating the Volkswagen, the transformation of the project during World War II, and the subsequent fallout post-war. The inclusion of notable quotes and clear sections ensures that the summary is both engaging and informative for those who have not listened to the episode.