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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

Volkswagen decides to keep Lamborghini and Ducati, transfers Bentley to Audi

Investors in the market for a high-end Italian manufacturer that peddles performance will need to keep looking. Volkswagen announced it will hang on to Lamborghini and Ducati in the foreseeable future. Executives in Wolfsburg, Germany, are making far-reaching changes to the Volkswagen Group to reboot it with a big focus on technology. Credible rumors claimed that the people in charge of the carmaker wanted to carve out Lamborghini — which owns Ducati — and ultimately list it, or at least a chunk of it, on the stock market in order to fast-track the group's electrification strategy. Going electric is expensive, so selling Lamborghini would have helped fund the expansion, and high-octane supercars don't easily go hand-in-hand with zero-emissions cars. "Volkswagen needs to change from a collection of valuable brands and fascinating combustion-engine products that thrill customers with superb engineering to a digital company that reliably operates millions of mobility devices worldwide," summed up Herbert Diess, the group's boss, during a September 2020 meeting. His team ultimately decided not to fully divest both brands. It's too early to tell whether part of Lamborghini will be listed on the stock market, as some insiders have suggested, or if those plans are off the table, too. Changes are coming to Bentley as well. While it's not being spun off either, it will fall under the Audi umbrella starting on March 1, 2021. Volkswagen explained linking the two companies will "allow for synergies to be achieved as part of the electrification strategy of the two premium brands," a statement which suggests they will share a growing number of components during the 2020s. Unverified rumors claim that Bentley will notably get its own version of an ultra-luxurious electric SUV code-named Landjet that Audi is currently developing. We've reached out to Bentley for more details, and we'll update this story if we learn more. Bugatti's future wasn't mentioned in the release; unconfirmed reports suggest it will be traded for a stake in Croatian start-up Rimac. Volkswagen's supervisory board also reaffirmed its support for Diess, who was appointed CEO in 2018 and who has played a significant role in the company's transformation. Finally, the board approved the development of what a statement refers to a future leading electric vehicle sold by the Volkswagen brand that will be developed and manufactured in Wolfsburg.

Car technology I'm thankful and unthankful for

The past few years have seen a surge of tech features in new vehicles — everything from cloud-based content to semi-autonomous driving. While some of it makes the driving experience better, not all tech is useful or well thought out. Automakers who are adept at drivetrains, ride quality and in-cabin comforts often fail at infotainment interfaces and connectivity. From testing dozens of vehicles each year and in the spirit of gratitude, here are three car tech features I'm thankful — and a trio I could live without. Thanks Connected search: This seems like a no-brainer since everyone already has it on their smartphones, but not all automakers include it in the dashboard and as part of their nav systems. The best ones, such as Toyota Entune, leverage a driver's connected device to search for a range of services and don't charge a subscription or require a separate data plan for the car. I also like how systems like Chrysler Uconnect use Yelp or other apps to find everything from coffee to gas stations and allow searching via voice recognition. Apple CarPlay and Android Auto: It took two of the largest tech companies to get in-dash infotainment right. While they have their disadvantages (you're forced to use Apple Maps with CarPlay, for example), the two smartphone-integration platforms make it easier and safer to use their respective native apps for phoning, messaging, music and more behind the wheel by transferring a familiar UI to the dashboard — with no subscription required. Heated seats and steering wheels: I really appreciate these simple but pleasant features come wintertime. It's easy to get spoiled by bun-warmers on frosty mornings and using a heated steering wheel to warm the cold hands. I recently tested a 2018 Mercedes-Benz E400 Coupe that also had heated armrest that added to a cozy luxury experience. Bonus points for brands like Buick that allow setting seat heaters to turn on when the engine is remotely started. No thanks Automaker infotainment systems: Automakers have probably poured millions into creating their own infotainment systems, with the result largely being frustration on the part of most car owners. And Apple CarPlay and Android Auto coming along to make them obsolete. While some automaker systems, such as Toyota Entune and FCA's Uconnect, are easy and intuitive to use, it seems that high-end systems (I'm looking at you BMW iDrive and Mercedes-Benz COMAND) are the most difficult.