Mercedes-Benz launched the automotive era in 1886 [twice actually, since both Gottlieb Daimler and Karl Benz independently introduced automobiles that year; Daimler and Benz merged in 1926 – Ed.], and has been a technology leader since. But the tri-star’s focus on diesels left them open to be sucker-punched by Toyota and Honda’s hybrids. So, ten years late but hardly a dollar short, considering the price tag of $109,000, Mercedes is launching its first hybrid. The S400 Hybrid is a rather mild parallel-hybrid, but includes an important first that might assuage the spirits of Gottlieb and Karl: the world’s first lithium-ion powerpack offered in a mass-produced car.

As you would expect in a Mercedes-Benz S-Class, there’s plenty of leather and gizmos; and of course it’s fast, comfortable, safe, refined, reasonably reliable, and blah blah blah. But is this baby built for the autobahn or the Audobon? Is it a MERCEDES, or just a high-priused surface for Free Tibet stickers? And how is it going to game the smoldering luxury-hybrid category?

First of all, the S400 Hybrid, with 295 gas/electric combined horsepower qualifies as a REAL car that can hump it all day on the autobahn (but will probably spend most of its day parked at the mall). The anticipated 23 city/33 highway mileage will be an approximately 33% bump over the standard S-Class. M-B engineers also did a heckuva packaging job, fitting the LiON pack into the same space that houses the standard car’s lead-acid 12-Volt. To boot, The S400 weighs only about 120 pounds more than the standard S-Class.

Thoroughly engineered, no ownership guesswork, enough class for any country club, and bestowing upon its owner the subtle but unmistakable air of “doing something,” the S400 Hybrid is inevitably going to steal forward a significant bunch of the prospects who have been dreaming about the Tesla S and Fisker. When (oh, when?) those cars hit the showroom, they’ll no doubt steal all of the attention in the luxury-hybrid class. But until then, Mercedes will be more than happy to seat those who can’t wait or who really don’t believe in the tooth fairy.