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Audi rumored to buy Alfa Romeo, officials deny it

For more than two years, Volkswagen has been making public statements about its willingness to buy Alfa Romeo and quadruple the Italian brand's sales, and for just as long, Fiat CEO Sergio Marchionne has replied with some version of "Mr. Piëch, drop it." According to a report in Ward's Auto, all that jousting might be over: it claims that sources close to both Marchionne and Audi CEO Rupert Stadler admit that the two are in talks for Audi to buy not just Alfa Romeo, but a production plant in Italy. In fact, a final deal could possibly include partsmaker Magnetti Marelli.
Against that backdrop, a report by German news weekly Stern quotes a Fiat spokesmen as saying it doesn't comment on rumors and an Audi rep has said flatly that "There is no substance in the news." If a sale is being arranged, the timing would seem to point to how eager Fiat is to raise cash to complete its major initiatives. Even though Alfa Romeo continues to delay its return to the US, it just showed off the production version of the 4C at the Geneva Motor Show (shown above) and said that preferred Fiat dealerships here would get them. Then there's Alfa's recently concluded deal with Mazda to develop a roadster based on the next generation MX-5 Miata - a deal that would seem to help both the Italian and Japanese brands.
The monetary issues are troublesome, though. Fiat is taking a beating in the European market and its weak-kneed balance sheet is delaying gotta-have-it products like the Jeep Cherokee. Fiat has been talking to banks about getting money to buy the rest of Chrysler and those financial institutions have also raised issues about debt and cash reserves, and the nasty game of chess Fiat is playing with the United Auto Workers (and now the court system about the portion of Chrysler it doesn't own) could end up blowing another hole in Marchionne's plans. It is possible that this could finally have convinced Fiat to at least see how serious Audi's parent company, Volkswagen, is about buying Alfa Romeo. Or it could be just another rumor.

VW, Mobileye to bring new automated tech to series production

Volkswagen will bring new automated driving technologies to series production as it deepens its partnership with Mobileye in automotive driving technologies, Europe's biggest carmaker said on Wednesday. Israeli automotive tech company Mobileye will provide driving assistance software based on its SuperVision and Chauffeur platforms to VW's luxury brands such as Audi, Bentley, Lamborghini and Porsche. The technologies, which later will be integrated by VW's software unit Cariad, include assistance systems for highway and urban driving, such as automated overtaking on multilane highways, automatic stopping at red lights and stop signs, and support in intersections and roundabouts. "New automated driving functions will significantly boost convenience and safety," VW Chief Executive Oliver Blume said. Mobileye is also set to supply further automated driving software to Volkswagen's commercial vehicles unit. In future, the German carmaker aims to rely on its own complete in-house software system. (Reporting by Christoph Steitz, writing by Andrey Sychev, Editing by Miranda Murray and Madeline Chambers)

The Audi RS5 takes aim at the BMW M4 and Mercedes-AMG C63

The current generation of the Audi A5 has soldiered on for the past 10 years, an eon when it comes to automobiles. Though we've seen and driven its replacement, the new car hasn't quite made it to market. As with most of Audi's lineup, the car is expected to come in three versions. While the full reveal and first drive reviews of the A5 and S5 took place late year, until now we haven't had a peek at the range topper Audi RS5. It sits on Audi's B9 platform shared with the Audi A4 sedan. Essentially, it's Audi's equivalent to the BMW 4 Series or the Mercedes-Benz C-Class coupe. In the case of the RS5, compare it to the BMW M4 and the Mercedes-AMG C63. Like its rivals, the RS5 sits longer, lower, and wider than its sedan stablemate. The RS features aggressive front and rear fascias and a set of unique wheels. While the styling of the new model may look evolutionary, it is indeed all-new inside and out. The two cars in these photos are wrapped in camouflage that covers everything below the beltline. The general shape of the bodywork looks the same, but the front and rear are slightly restyled. The front now has larger air intakes in the corners and a lower chin spoiler. Out back, the dual single-exit exhaust pipes give the RS model away. The S5, like all S models, features quad exhaust tips. The rear bumper is slightly modified, but all in all it's not far off from the A5 and S5 models. Audi's styling is always conservative, so this should come as no surprise. There's no word as to what's resting under the hood, but look for forced induction and six cylinders, possibly pulling something from the Porsche Panamera. As with every other Audi performance car, power will be sent to all four wheels through the latest generation of the Quattro all-wheel drive system. Look for a full reveal in the next few months, possibly as soon as March at the Geneva Motor Show. Related Video: