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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.

Production 4.0: Audi plans for the smart factory

Automotive production is becoming more integrated and at the same time has to be more intelligent and more efficient. Flexible production of customized vehicles is one of the big challenges for the future, especially for a premium carmaker like Audi. How will the "Vorsprung durch Technik" brand meet its aim of offering premium quality with added custom flexibility? The company sees the "smart factory" as the key. Whether it's body-color moldings or light-alloy wheels in a special size, almost every car is ordered with some kind of customization, and the demands are increasing. This requires of course already a lot of flexibility. While the variety of models and quality demands are increasing, automotive manufacturers such as Audi are eager to make production sustainable. In an Audi interview, innovation management members Alois Brandt and Henning Loser talk about "production 4.0" and the upcoming "smart factory." How will Audi manage the production site with its very high standards of quality, efficiency, and environmental acceptability? Will the so-called "smart factory," which should be the intelligent factory of the future, only employ robots? Alois Brandt: "With a deep look into the production, I am convinced that our employees and not machines are the relevant working forces behind the Audi brand. Machines can be bought anywhere." Increasing digitalization is paving the way for the smart factory – the intelligent, digitally connected production facility. New high-tech solutions in manufacturing should further increase the high level of quality, while at the same time the assembly work should be easier and result in better ergonomics. Can you give us a clearer imagination of the "smart factory"? Alois Brandt: "There are a lot of ideas. But the big question at the moment is: Which one is really needed and leads into the right direction?" Can you tell us a little bit more about "production 4.0"? Alois Brandt: "The assembly line as we know it in the present will no longer play the same role. If it makes sense, it will be terminated and replaced by – let's call it – a virtual assembly line. The production will be more modular than before and the car will be directed to a production point – a so-called 'island of competence' – where it is needed." Henning Loser: "If the vehicle is to be assembled to the customer's wishes, it is obvious that efficient programming of robots and coordinating with the human workers is needed.

VW makes $23K on every Porsche sold, more than Bentley or Lamborghini

It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.