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Audi diverting a third of R&D budget to electrification

Companies make promises all the time. We'll do X by Y. The new A will be our biggest seller in B. You know the drill. But it's when an automaker puts its money where its mouth is that we really stand up and take notice. That's precisely what Audi is doing as it attempts to convert 25 percent of its sales to electrified vehicles by 2025. Citing two sources with knowledge of Audi's plans, Reuters reports that around a third of the company's research-and-development budget will go to " electric cars, digital services, and autonomous driving." Of course, shifting that much money over to newer technologies means sacrifices elsewhere – Reuters' sources claim Audi will move money away from combustion engines and reduce country-specific powertrain variants, but the sources wouldn't get more specific. According to Reuters, Audi is 22nd in total sales of hybrids and EVs. That's eight spots behind Mercedes and ten spots behind BMW (not to mention hybrid-happy Lexus). Audi's only electric representatives in the US market are the A3 e-Tron and Q5 Hybrid and things aren't much better in Europe – the company needs to dump buckets of money into expanding its meager lineup to bring up the percentage of EVs it sells. Expect greater detail on Audi's electrification plans very soon – CEO Rupert Stadler will discuss the company's path forward on Wednesday at a closed-door meeting in Munich with over 2,000 managers. It's unlikely all those managers will be able to keep quiet. We'll be listening. Related Video: Featured Gallery Audi E-Tron Quattro Concept View 36 Photos News Source: ReutersImage Credit: Audi Green Audi Volkswagen Green Driving Electric Hybrid PHEV e-tron audi e-tron electrification

Mercedes could make EV batteries with Audi, BMW

It's not a big leap from digital maps to batteries, it turns out.The head of Mercedes-Benz parent Daimler said recently that he envisions his company working together with German automotive competitors BMW and Volkswagen to further accelerate electric-vehicle battery technology. The three automakers recently worked together to enhance their in-car maps systems. Daimler CEO Dieter Zetsche talked about "commonalities" between automakers, not the least of which is the need for all of them to achieve increasingly stringent fuel-economy requirements in the European Union, at the Frankfurt Auto Show last week, according to Reuters. While these companies have made their own inroads as far as plug-in vehicles go, they are all behind the Renault-Nissan Alliance when it comes to public deployment of electric vehicles. This summer, Daimler, Audi and BMW hooked up to acquire the Nokia Here digital-mapping service for about $2.8 billion. The triad of automakers beat out companies such as Apple and Uber to buy the entity, which was founded in 1986 as Navteq. Nokia bought the company in 2007. The acquisition makes sense as the automakers work on improving their products with features like cloud-based data to warn drivers of icy roads and traffic jams. The technology will likely also eventually be used in autonomous vehicles. Automakers working together for a common goal of improved technology is nothing new, of course. General Motors and Honda agreed in 2013 to work together to accelerate hydrogen fuel-cell drivetrain development. Earlier that same year, Daimler said it would work with Ford and Nissan in a separate collaboration to speed up the development of hydrogen fuel-cell technology. Related Video:

Audi entices enthusiasts with manual option for the 2017 A4

When we first drove the 2016 Audi A4, newly redesigned although cosmetically very similar to its predecessor, much was improved but there was no hint of a manual transmission option. For the 2016 model year, you could have any gearbox you wanted as long as it was a seven-speed dual-clutch automatic. For some reason, despite low take rates for manual gearboxes across the board, Audi is stepping up for enthusiasts and offering a six-speed manual. Equally auspicious is the fact that this manual won't be resigned to some non-enthusiast variant, like the front-wheel drive model. The six-speed will be exclusively offered in the Quattro all-wheel drive version with the 252-horsepower version of the 2.0-liter TFSI engine, rather than the 190-hp Ultra variant which utilizes the Miller cycle and is more fuel-economy oriented. There's also an available Sport Plus package that's exclusive to the manual model that adds some previously S4-exclusive bits to the mix, which is further catnip to Audi gearheads. Those S4-derived parts are dynamic steering and sport adaptive suspension, which drops the ride height a bit, too. The rest of the Sport Plus package includes a sporty flat-bottomed steering wheel, 18-inch split-spoke wheels, available Daytona Grey paint, sport seats, and some brushed aluminum interior trim. Best of all, the manual is a no-cost option, and so prices for each trim are the same across the line. In the entry-level Premium trim, the 2017 A4 manual will start at $40,350 and goes on sale this fall. Related Video: Featured Gallery 2017 Audi A4: First Drive View 33 Photos Audi Performance Sedan quattro