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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.

Autoblog's adventures at the Nurburgring 24-Hour race [spoilers]

The brand-new Audi R8 LMS, said to share 50 percent of its components with the street-legal R8 shown off at Geneva, has won its very first race at the 2015 Nurburgring 24-Hours. The No. 28 car driven by Christopher Mies, Edward Sandstrom, Nico Muller, and Laurens Vanthoor for the Audi Sport WRT team out of Belgium finished only 40.279 seconds ahead of the No. 25 BMW Sport Team Marc VDS Z4 GT3 in second place, for the smallest winning gap since the race began in 1970. Those two cars traded the lead throughout Sunday morning and were less than a minute away from one another for the last two hours. They were part of a total 35 lead changes during the entire race – a record for the event – and both did 156 laps. Third place went to the No. 44 Falken Tire Porsche 997 GT3, one lap down. The Audis did what they always do: lurked close to the front, stayed out of trouble, then pounced when everyone else faltered. For the opening stretches the BMW Z4 teams owned it, running 1-2-3 for a while, but all of them hit trouble. When morning came and the race got over its yellow-flag fever, the No. 28 Audi was in front and stayed there. It was the third Nurburgring 24-Hour win for Audi in four years, the brand's first win only coming in 2012. Last year's winner, the Phoenix Audi team that set a race record by doing 159 laps, had both of its cars retire. One hit an oil patch about 12 hours in, spun and was hit by another car behind, taking on too much damage to continue. The other retired with engine issues. Other Notes Three cars crashed out of the race while leading, after the rains that weren't supposed to happen, happened about 90 minutes in. The No. 20 Schubert BMW Z4 led the first 50 minutes of the race, hopped a crest at Pflanzgarten, landed in a pool of water, and hit the wall on the 30th lap. Then the No. 30 Frikadelli Porsche, with a driver team that included ex-'Ring Taxi driver Sabine Schmitz, hit the No. 31 Mercedes SLS AMG GT3 on the approach to Carrousel and crashed out. Then the No. 1 Phoenix Audi, last year's winning car, took the lead but hit the wall after that oil patch near Pflanzgarten and was out of the race. Aston Martin celebrated a class win in the SP8 category with the No. 49 Vantage GT4 N430. This being the tenth anniversary of the Vantage running the Nurburgring-24, this year's car was painted in the same colors as the racecar from ten years ago.

VW, Fiat, Mercedes could be CNG winners in Europe

Fiat ads in the US try to play up the exotic, sexy side of Italian culture. On the home front in Italy, however, passenger-vehicle sales are marked by something less edgy and quite a bit more practical: the growth of compressed-natural-gas (CNG) powered car sales. In fact, Italy is leading a group of European countries where CNG sales are on the upswing and may be benefiting automakers like VW, Fiat and Mercedes-Benz, according to Automotive News. VW started sales of its Golf TGI natural-gas vehicle this year – the company's fourth in Europe – while Mercedes-Benz added a natural-gas B-class model. Fiat accounts for about 50 percent of CNG vehicles sold on the continent. In all, Europe's CNG sales through September totaled about 67,000, up seven percent from a year earlier, Automotive News Europe says, citing research firm JATO Dynamics. And the number of CNG vehicles on Europe's roads could jump tenfold within the next decade. The draw is a combination of lower refueling prices and a CNG drivetrain that typically emits less CO2 than diesel vehicles. As for Italy, about five percent of new-vehicle sales are CNG. To put that into perspective, hybrids, battery-electric vehicles, plug-in hybrids and diesels combined to account for about 4.2 percent of US vehicle sales last year. News Source: Automotive News - sub. req.Image Credit: Volkswagen Green Fiat Mercedes-Benz Volkswagen Natural Gas Vehicles CNG