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Mercedes-Benz is set to join forces with Renault in a deal that would provide its Smart division with a contemporary front-engined, front-wheel-drive platform as the basis for a frugal new Forfour model.

The new Smart, due out in 2013, is planned to sit on a lightly modified version of the Renault Twingo’s underpinnings, complete with a 2370mm wheelbase.

Mercedes/Renault Forfour tie-upRead the full article

So they are repeating what they have already done and which turned out to be a total disaster. I'll be interested to see if the Smart brand ever does work on anything more than the 2 seater, even the roadster failed.

didnt realise the forfour came out in 1998?? is that a typo??

This is going to have to be a lot more innovative than the current model.

They really should take a leaf out of Tata's book.  Small footprint, four seats, good impact resistance and cheap to produce.  In fact, if Tata got their production act together, the Euro Nano could pull the rug out from under Smarts feet.