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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.

Brabus boosts big Benz plug-in hybrid

With vehicles like the BMW i8 and Porsche 918 Spyder, the Germans have demonstrated as well as anyone that "performance" and "hybrid" can go in the same sentence. And now Brabus is plugging in to the performance hybrid station as well. Though nowhere near as extreme as the aforementioned PHEV sports cars, the Brabus PowerXtra B50 Hybrid performance kit kicks the Mercedes S550 Plug-In Hybrid up a notch. The electric side of the powertrain remains untouched, but the internal combustion engine has been boosted by 51 horsepower and 52 pound-feet of torque. That gives the 3.0-liter turbocharged V6 a total of 385 hp and 405 lb-ft, which is nothing to cough at – but with the electric boost kicking in, the vehicle now packs a combined output of 493 hp and 656 lb-ft. That slots its twist figure in between that of the S600 and S63 AMG. As a result, the big Brabus hybrid will now reach 62 miles per hour from a standstill in just 4.9 seconds (down from 5.2) – almost as quick as the 12-cylinder model but with half the pistons – though the top speed remains pegged at 155 mph. Naturally, Brabus didn't stop there, giving the sedan a new exhaust, aero kit, rolling stock and interior, all catered to the customer's specifications. BRABUS PowerXtra B50 Hybrid with 368 kW / 500 hp (493 bhp) and 890 Nm of torque The eco-friendly performance upgrade for the new Mercedes S 500 PLUG-IN HYBRID For more than 35 years, BRABUS has been the synonym for powerful high-performance automobiles and exclusive refinement at the highest level of perfection. One philosophy has always been paramount in all these years: combining top performance with exemplary eco-friendliness, immaculate durability and perfect everyday practicality. With the new BRABUS PowerXtra B50 Hybrid performance kit for the new Mercedes S 500 PLUG-IN HYBRID, the engine specialists of the world's largest independent tuner once more demonstrate their unrivalled know-how. The power increase of the V6 engine by 38 kW / 52 hp (51 bhp) and the boost in torque by 70 Nm (52 lb-ft) bumps the system output of the hybrid sedan to 368 kW / 500 hp (493 bhp) and system torque to 890 Nm (656 lb-ft). As a result, the luxury liner sprints from rest to 100 km/h (62 mph) in just 4.9 seconds, and impresses in daily driving with even further enhanced superiority. Due to the hybrid system, the top speed remains electronically limited to 250 km/h (155 mph).

Mercedes C-Class Coupe to debut in Frankfurt

Mercedes-Benz is set to launch its new C-Class Coupe at the Frankfurt Motor Show this fall, according to Autocar. In addition to the standard C Coupe, the German automaker will also reportedly show a Mercedes-AMG C63 version, which AMG boss Tobias Moers says will be a "breakthrough" for the brand. Speaking to Autocar, Mercedes design chief Gorden Wagener promises the new C-Class Coupe will be "even better to drive than it looks," and says that the two-door will be sleeker and even more beautiful than the recently launched S-Class Coupe. Talk about a tall order. Specific design tweaks for the C Coupe will include revised front- and rear-end styling, while keeping the C's long hood and short rear deck to emphasize its rear-wheel-drive architecture. What's more, this revised design will need to be flexible, as Mercedes is planning a convertible version of its C-Class. Expect the interior design to carry over largely unchanged. The same goes for powertrains, including the excellent, twin-turbocharged, 4.0-liter V8 that will slot into the range-topping Mercedes-AMG C63 Coupe. We'll know more when the sleeker, two-door C-Class is unveiled in September.