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2014 Audi S1 is a little hatch hiding huge power [w/video]

The Audi S1 takes the Four Rings' high performance brand to its smallest model yet. Offered in three- and five-door forms (pictured above), the S1 is a subcompact hot hatch that seems specially suited for Europe's dense cities and tight roads.
The S1 follows the rest of the Audi S vehicle lineup with a very understated design. It maintains the looks of the standard car, but the larger air dam, 17-inch wheels and side sills tells viewers that something mean is lurking under the surface as well. It packs the Volkswagen Group's ubiquitous 2.0 TFSI four-cylinder, tuned here to produce 228 horsepower and 279 pound-feet with a six-speed manual transmission and all-wheel drive, and it is enough to get it to 62 miles per hour in less than six seconds for either body style and to a top speed of 155 mph. Handling is aided by a more sophisticated four-link independent suspension to replace the standard A1's torsion beam setup.
They come in just two colors for now - Vegas Yellow or Sepang Blue - and are hitting European roads later this spring. UK prices start at £24,900 ($41,518) for the three-door and £25,630 ($42,735) for the five-door.

Audi promises production laser headlights

Audi is showing off new laser headlight technology this week at the 2014 Consumer Electronics Show on its Audi Sport Quattro Laserlight Concept, and most intriguingly, the automaker has plans to use the long-range lighting on production vehicles. Audi CEO Rupert Stadler tells Automotive News that this type of headlights will be used on a future production vehicle, although he did not specify any timeframe.
On the concept vehicle, the headlights employ LED low beams, while the high beams use the laserlight technology. Audi says that these lights are not only very small ("a few microns in diameter") they are also able to light the road for almost a third of a mile (1,640 feet), with three times the brightness of an LED highbeam, yet with pinpoint control. These lights have already been confirmed for use in motorsports on the 2014 Audi R18 e-tron Quattro LMP1 racecar, and the tech will eventually trickle down to road-going cars.
In addition to how long this trickle down will take, it's doubtful we'll see these lights in the US anytime soon. Audi is still working with the US Department of Transportation for approval of its LED Matrix Beam headlights, which are already sold in other markets, and the negotiations appear to be taking quite a bit of time. Automotive News also notes that the laser headlights earmarked as options on the 2015 BMW i8 will not be offered in the US, either.

Volkswagen profit jumps as it warns of a cooling auto market

FRANKFURT, Germany — Volkswagen says its profits jumped 44% in the third quarter thanks to a more profitable mix of vehicles in its lineup but warned that global car markets are slowing more than expected and lowered its forecast for annual sales. After-tax profit rose to $4.42 billion (3.98 billion euros) as revenues rose 11% to $68.27 billion (61.42 billion euros). The sales margin of 7.8% exceeded the goal of 6.5-7.5% as vehicles bringing higher profits took a larger share of sales. The Wolfsburg-based automaker pointed to the headwinds facing the industry by saying that it expects "vehicle markets will contract faster than previously anticipated in many regions of the world." It said sales would be "on a level" with last year's record of 10.8 million vehicles. Previously it had expected a slight increase. The company said its profits would be in the lower end of its forecast range. Global automakers are facing a slowdown in sales amid disputes over trade and from pressure in the European Union and China to develop and sell low-emission vehicles that require heavy investment in new technology. Ford and Renault have issued profit warnings in recent days, while Daimler, maker of Mercedes-Benz luxury cars, lost money in the second quarter and is expected to outline a cost-cutting strategy for investors on Nov. 14. Volkswagen is leading the push into electric vehicles in Europe by launching its ID.3 battery-powered compact car at prices it says will make zero local emission vehicles a mass phenomenon. The company was able to increase earnings in the quarter despite an 18% rise in spending on research and development.