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Audi CEO's Dieselgate arrest threatens fragile truce among VW stakeholders

FRANKFURT — The arrest and detention of Audi's chief executive forces Volkswagen Group's competing stakeholders to renegotiate the delicate balance of power that has helped keep Audi CEO Rupert Stadler in office. Volkswagen's directors are discussing how to run Audi, its most profitable division, following the arrest of the brand's long-time boss on Monday as part of Germany's investigations into the carmaker's emissions cheating scandal. The supervisory board of Audi, meanwhile, has suspended Stadler and appointed Dutchman Bram Schot as an interim replacement, a source familiar with the matter said on Tuesday. Schot joined the Volkswagen Group in 2011 after having worked as president and CEO of Mercedes-Benz Italia. He has been Audi's board member for sales and marketing since last September. The discussions risk reigniting tensions among VW's controlling Piech and Porsche families, its powerful labor representatives and its home region of Lower Saxony. VW has insisted the development of illegal software, also known as "defeat devices," installed in millions of cars was the work of low-level employees, and that no management board members were involved. U.S. prosecutors have challenged this by indicting VW's former chief executive Martin Winterkorn. Stadler's arrest raises further questions. Audi and VW said on Monday that Stadler was presumed innocent unless proved otherwise. Munich prosecutors detained Stadler to prevent him from obstructing a probe into Audi's emissions cheating, they said on Monday. Stadler is being investigated for suspected fraud and false advertising. Here are the main factors deciding the fate of Audi. Background: Audi's role in Dieselgate Volkswagen Group was plunged into crisis in 2015 after U.S. regulators found Europe's biggest carmaker had equipped cars with software to cheat emissions tests on diesel engines. The technique of using software to detect a pollution test procedure, and to increase the effectiveness of emissions filters to mask pollution levels only during tests, was first developed at Audi. "In designing the defeat device, VW engineers borrowed the original concept of the dual-mode, emissions cycle-beating software from Audi," VW said in its plea agreement with U.S. authorities in January 2017, in which the company agreed to pay a $4.3 billion fine to reach a settlement with U.S. regulators.

KTM X-Bow to get Audi TT-RS five-cylinder turbo

The Audi TT-RS continues to occupy a warm spot in my personal top five list of cars thanks in no small part to the lusty turbocharged 2.5-liter five cylinder under the hood. With 360 horsepower and 343 pound-feet of torque in stock configuration, the engine is a shining star of internal combustion. And now it's headed to one of our favorite vehicles. EVO reports KTM is planning to plop the turbo 2.5 from the TT-RS into the upcoming X-Bow. That ruckus you hear? It's a choir of angels singing "Halleluiah." While speaking at the Geneva Motor Show, KTM CEO Stefan Pierer said the engine is good for up to 480 horsepower.
Pierer went on to say that the company is already testing prototypes and that we may very well see the engine show up in some races next year. What's more, the company's engineers are playing with dual-clutch transmissions, too. Since KTM is already testing the turbo 2.5 on the track, it's only a matter of time before customers will be able to get their grubby mitts on a street-legal version.

MotorWeek revisits Audi's iconic Quattro

The Subaru WRX, Mitsubishi Lancer Evolution and just about every other all-wheel-drive performance car owes something to the legendary Audi Quattro, a model that was far more successful on the motorsports scene than it was in the showroom. Despite its modest sales, the UrQuattro still looms large in automotive lore, and indeed, in Audi's own sense of self. Considering the brand's semi-regular flirtation with the idea of a reborn Quattro, MotorWeek must have figured it'd be a good idea to revisit the original by digging up this archival review.
While time has the ability to cover up the warts of iconic automobiles, it should be noted that Motor Week host John Davis had more than a few critiques for the all-wheel-drive, turbocharged coupe.
Davis calls the Quattro's slalom handling "a disappointment," citing the overpowered engine and slow steering, and he had some unkind words for the brakes, as well. For our part, we're kind of wowed by the amount of ship-like body motion during testing, yet that sort of bobbing was certainly par for the course back in the early '80s.