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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.

BMW M3 and M4 will rock 430 hp from twin-turbo six with standard manual [w/video]

We're not sure which spec we're most intrigued by for the new BMW M3 and M4: the twin-turbo six-cylinder with 430 horsepower and "far beyond" 369 pound-feet of torque, the 3,300-pound curb weight or the standard six-speed manual transmission with automatic throttle blipping on downshifts. That engine is fitted with both Valvetronic and Double-Vanos, twin-wire arc-spray coating in the cylinders instead of liners to save weight, a track-ready cooling system with additional radiators, a forged crankshaft, dry-sump lubrication and a magnesium oil sump. BMW says its "high revving concept" has a redline beyond 7,500 rpm.
In the M4, it will be pulling a coupe with "a weight of just under 1,500 kilograms," which is 3,300 pounds to you and me. That number is said to include no driver and 90 percent fuel, but we're still waiting on the exact number and specs. BMW says it's "around 80 kilograms lighter than a comparably equipped predecessor model," putting the power-to-weight ratio at something like 7.68 pounds per horsepower at the same time as it helps reduce fuel consumption by 25 percent. The use of carbon fiber reinforced plastics (CFRP) for the roof, drive shaft (with no center bearing), trunk and front strut brace, and forged aluminum for suspension components, have aided in the weight loss. This time around, the sedan - the M3 - will also get a CFRP roof.
The default option will be a six-speed manual.

BMW working on 'FAST' CUV to slot between X1 and 2 Series

Our spy shooters have caught a new FAST BMW testing that's rumored to hit the market in late 2015. Sadly, the word fast in that last sentence isn't describing the car's performance; instead it's an acronym that stands for Family Active Sports Tourer. Talk about a case of false advertising.
Despite it's speedy name, the FAST doesn't look ready to set any Nürburgring lap records. It rides on BMW's modular, front-wheel drive UKL platform that underpins the current generation Mini Cooper, upcoming 2 Series Active Tourer and next X1. According to our spies, its design is supposed to blend the looks of a wagon and a CUV on the outside with a large, useful interior. Conceivably, it could be offered with the hybrid system from the 2 Series, as well.
The new prototype definitely shares the styling of its front-wheel-drive BMW siblings. Up to the A-pillar, it looks pretty similar to what we know about the future X1. But the FAST has a more arched profile and lower ride height compared to the crossover's chunkier, more conventional design.