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Audi's Project Artemis woes could delay range of VW Group EVs

Two years ago, Audi's then new CEO Markus Duesmann announced his first big initiative called Project Artemis. The plan's marquee component is "to implement a new lighthouse project for Audi in record time," being "a highly efficient electric car scheduled to be on the road as early as 2024" on a brand new platform that would be shared with Porsche and Bentley. An ex-VW and -Porsche man named Alex Hitzinger, who'd also spent time at Apple working on the tech company's electric car, was brought on board to lead Project Artemis and come up with new ideas. Parent Volkswagen Group said it wanted to become "as agile as in a racing team," removing the bureaucratic molasses and bottlenecks interfering with getting the best product on the road in the best time. However, in any grand venture, failure comes before success. Automobilwoche reports that Artemis is struggling through issues large enough to push the product plans back by years. The issue, as it was with the ID.3 lineup on the eve of that car's launch, is software. Well, that's the latest, largest problem; Artemis has already been through copious struggles before getting to the software bit. Two months after Hitzinger came on, in December 2020, VW raised its EV volume target from 50% to 70% by 2030. That necessitated a rethink of the VW Group's entire platform strategy considering the far greater production scale. Hitzinger only lasted six months in the job, ousted in May 2021, supposedly because Audi believed his ideas were "not suitable for profitable series production" among other reasons. By that time, the pace of software development was already said to be six months behind schedule, with the Car.Software division working on VW.OS 2.0 "not yet running at the speed hoped for." Internal frictions were noteworthy and costly as well. VW's commercial division plant in Hanover was meant to build Artemis vehicles for Audi, Porsche and Bentley, but Automobilwoche reported in January of this year that Porsche paid a ""small three-digit million amount" — like $100 million or so — to get out of the deal mandating its vehicles come from the Hanover facility.    So Audi effectively brought Artemis in-house to lead vehicle development, and Car.Software turned into Cariad to get VW.OS and VW.AC, which stands for Automotive Cloud, to market.  The first Audi vehicle under Project Artemis was planned to arrive by the end of 2024, a production version of the Grandsphere concept.

Audi prepping a flex-fuel A3 for Latin America

Volkswagen's Audi division hasn't fared well from its parent company's diesel-emissions scandal, especially in the US and Europe. In South America, though, Audi is set to unveil its first vehicle of the flex-fuel variety, according to Nseavoice. Perhaps the German automaker can earn some good karma down in the Southern Hemisphere. The model is the 2016 Audi A3, which is made in Audi's Brazil factory. The engine is a 1.4-liter variety, and it will be able to run on either conventional gasoline or ethanol, or a blend of both. The decision makes sense because ethanol is plentiful in Brazil since the government has long pushed for it and there's plenty of sugar-cane feedstock to produce the stuff. Audi can use all of the positive news it can get, especially in the wake of VW's diesel-emissions scandal. As many as 11 million VW and Audi diesels may have been fitted with software that cheats emissions-testing systems. One result from the scandal's proverbial shrapnel is that the Audi A3 TDI diesel was stripped of its 2010 Green Car of the Year Award by Green Car Journal. The decision marks the first time in the award's history that a winner was stripped of the honor. VW has a long history offering flex-fuel vehicles in Brazil. In 2003, the German automaker was the first to debut a flex-fuel engine, and within two years, VW's Brazil factories were making 300,000 flex-fuel vehicles annually. Other companies have since jumped into Brazil's flex-fuel fray, including Nissan and Honda.

Mercedes may be working on a new electric car dubbed 'Ecoluxe'

Automobile has a lengthy piece this month on how the four German mass-market luxury manufacturers each plan to go after Tesla with their own electric vehicles. It was written by Georg Kacher, the magazine's European bureau chief, and the English version came a month after he wrote the German-language original for Autobild. Tesla isn't exactly a threat to the Germans, but, according to the report, the Model S is planting the right kinds of seeds in niches that are important to the luxury players. The thinking is that - in addition to needed electric vehicles anyway for stricter US regulations - it's better to start designing the machinery now. The article posited Porsche's attack would rest on the coming Panamera platform, but a big hurdle would be battery placement. Unable to find one large space for a lithium-ion pack, engineers would instead put batteries everywhere they could, for a supposed tally of some "108 battery pouches" throughout the body. A few days after the Automobile piece, however, Porsche publicly said it had no intention of challenging the Model S, because the enthusiastic driving the brand is known for doesn't jive with useful range. In Kacher's retelling, Mercedes' plans are even more ambitious, supposedly taking aim at the Model S and the coming Model X. It would do this with an investment in excess of $2 billion in a program called "Ecoluxe" – Mercedes has no brand division akin to BMW's i and Audi's e-tron. The new brand would create a four-strong family of bespoke electric vehicles: a smaller platform with a wheelbase around 106 inches and a larger one with a wheelbase around 118 inches. In addition, the range would have "provisions for rear-wheel drive, all-wheel drive, and rear-wheel steering." The numbers are impressive: seating for seven in the larger vehicles, both longer than 16 feet, front and rear storage areas, ratings of up to 610 horsepower and production capacity of 80,000 units per year. When would we see such creatures? Perhaps as soon as 2019. We do know that if Tesla can knock the Model X over the outfield fence, automakers are going to have to do something. We don't know what the chances are that Ecoluxe is Mercedes' first move - but such a plan could help explain the weird Mercedes concept spied in October.