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Audi spending an additional $2.5 billion on expansion through 2019

Every year, it seems the Volkswagen Group announces a new and larger spend to push growth and profit, with Audi a regular recipient of the moolah. That's reasonable, seeing as hauls in 40 percent of Group operating profits. In December last year Audi said it would spend an additional 100 million euros ($122M US) per year through 2018 to develop new models and expand production, targeting 60 models by 2020 and luxury sales leadership. This month Audi said it will boost that by another two billion euros ($2.5B US) over the next five years, for a total outlay of 24 billion euros from 2014 to 2019. Something like 70 percent of those billions will be spent on new models, technology like "connectivity and lightweight construction," and factory expansion at its plants in Ingolstadt and Neckarsulm. Most of the ten models that will plump the lineup to 60 cars will mainly be aimed at the C and D segments, as well as crossovers, the brand's burgeoning portfolio of PHEV models, and all-electric cars that will begin staking ground in the segment. The big spend comes at the same time as Audi is working hard to reduce costs by $2.5 billion to maintain profitability, part of a larger push by VW to cut costs by $6.1 billion by 2017. More than a billion euros will go to new factories in Mexico and Brazil. Work begins on the Mexico plant next year, and when it comes on-line in 2016, Audi's Q5 successor will roll out of its warehouse doors; Audi has already announced it will hire 850 more workers next year in Mexico. When that's done, Mexico's production of German luxury cars will only trail that of Germany, China and the US. The company's Brazil plant will produce the A3 and S3 starting next year, and the brand figures luxury car buying there will triple by 2017. News Source: Reuters Earnings/Financials Plants/Manufacturing Audi Volkswagen Luxury Mexico Brazil ulrich hackenberg

A dealer made a 'Urus' out of an Audi Q7 to get people excited for Lambo's SUV

Fake news seems to be catching on. In an attempt to drum up some interest in the upcoming Lamborghini Urus (the Italian SUV that hasn't been unveiled yet) the Lamborghini dealer in Nurnberg, Germany, created a Lambo-badged promotional vehicle. It seems it has fooled at least a few folks, with several outlets reporting on it as if it's a Lamborghini prototype. Of course, it's not. What you're looking at is an Audi Q7 with a camouflage wrap that includes a Lamborghini-script logo across the back and a promotional message on the side, which reads: "Der Urus kommt / Lamborghini Nurnberg." Thanks to one semester of German, we can tell you that first part means "The Urus is coming." Note, that's "is coming," not "is here." There's also something that kind of resembles a scoop on the front fender. It's also fake. It's not uncommon for automakers to put a cryptic message on the side of a test car, often with swirly camo, but this takes the idea a step further since it's not the actual car underneath. That said, the production Urus, whenever it arrives, is expected to share the Audi Q7's MLB 2 platform. So it sort of works. Kind of. Related Video: Image Credit: CarPix Audi Lamborghini Crossover SUV Luxury Performance confirmed

Audi reveals virtual reality 'dealership in a briefcase'

Virtual reality still seems like technology that should be lumped in with the flying car and colonizing the moon as the sort of perennially "almost-here" Next Big Thing that never quite arrives. However, devices like gaming's Oculus Rift suggests that it's too soon to write off VR just yet, and Audi apparently agrees. The heart of its new VR Experience is a headset that customers wear that lets them see a virtual car before their eyes. Using the technology, the potential buyer can sit behind the wheel or open up the trunk. A camera tracks their head movements and adjusts the image on the goggles accordingly. To make the whole experience even more immersive, headphones let them hear the sound of the door or listen to the radio. The German automaker claims that the VR Experience technology will be available in "dynamic growth markets" by the end of 2015. The system will essentially offer the entire dealership experience in a device the size of a briefcase, and it'll be possible to view every possible equipment combination and color on all of the brand's models. The immersive hardware sounds amazing, if it's as good as the automaker claims. Among other things, VR will allow buyers to pick out just the right color and trim, even if the dealer doesn't have that specific combo in stock. Read below for Audi's announcement of this sci-fi gadget that the company claims is on the way. Audi VR experience: the dealership in a briefcase Innovative virtual reality headset extends advisory service at Audi dealers Sales chief Luca de Meo: "Further proof of Audi's pioneering role in sphere of digitization" First Audi dealerships to introduce new sales tool by end of 2015 Audi is taking the next big step in integrating digital technologies into automotive retail: The Audi VR experience gives customers the opportunity to configure their preferred car at the dealership through virtual reality headsets and experience it in a unprecedentedly realistic way. The headset showcases the entire model portfolio of the four rings, including all possible equipment combinations. Audi has become the first automotive manufacturer to develop a dedicated retail software solution for virtual reality headsets.