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Is Audi getting complacent and suffering from brain drain?

The argument is made in a Reuters article: Audi is falling behind other luxury brands, such as Mercedes-Benz and BMW, due to a lack of research-and-development spending and "brain drain," or the migration of top executives and R&D chiefs to other parts of the Volkswagen Group. Reuters notes that Audi's current R&D chief is the third in 16 months.
Audi, which contributed to 40 percent of VW Group's $11.6 billion in profit the first nine months of the year, is delivering cars at a record pace: 1.31 million were delivered from January to October 2013 versus BMW's 1.35 million. Yet Audi, Reuters reports, doesn't have a halo car akin to BMW's new electrified i3 and i8 or an answer to Mercedes' plug-in-hybrid S-Class, and the R&D spending at Audi is less than BMW and Mercedes by a fair margin. It's noted in the article, however, that Audi benefits from other R&D spending within VW Group.
Reuters mentions that BMW "trumpets its new 'i' series" and the new Mercedes CLA and GLA ranges are winning "rave reviews" as part of its argument that Audi's recent lack of technological innovation could hurt future sales. Those cars do pack tons of new technology, some of which are firsts for mainstream production cars. But last time we checked, the i3 could be causing BMW's stock to slide, the CLA isn't receiving the rave reviews that Reuters would have you believe and the GLA hasn't been reviewed yet.

Mercedes considering GLA-based crossover coupe

BMW opened a whole Pandora's Box when it introduced the X6 back in 2008. Sure it made little sense, sacrificing all that "utility" for a little more "sport," but it's been a solid success for BMW - especially considering the nominal expense it cost to develop the X6 on top of the X5 on which it's based. Little wonder that, while BMW has already followed up with a smaller version in the form of the X4, other automakers are starting to catch up. And that includes Mercedes-Benz.
The German automaker is preparing to launch a new MLC, based on the M-Class but with a sportier silhouette, and previewed it with the Concept Coupe SUV at the Beijing Motor Show. But that's just the start, according to the latest report from Automotive News Europe.
Mercedes is reportedly considering spinning off an entire line of crossovers more for use on the road than off it. Which may go without saying for most crossovers on the market, but considering the Geländwagen with which Mercedes got its start in SUVs, would mean an even further departure than it has undertaken already.

Next Mercedes S-Class stretching into this 600 Pullman limo

To the concern of nobody in particular, Mercedes-Benz will not be re-upping its Maybach line of ultra-luxury limousines. No, instead the German automaker will be stretching its already roomy S-Class, to make this upcoming 600 Pullman version of the decked-out beast.
The car in our new gallery of spy shots is sporting beefy B-pillars and a massive set of rear doors that should allow perfectly graceful ingress and egress from what is likely to be a palatial rear space. (In one photo we can even see a long-wheelbase S-Class in line with the new Pullman, handily exhibiting the size of the new variant.) The exterior modifications are otherwise obscured, though we can guess at revised front and rear fascia and lighting elements, based on both end being heavily taped for these test runs.
It's a good bet that the Pullman will make use of M-B's twin-turbocharged V12 engine, though sources indicate that a hybrid version might eventually be in the offing, as well.