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Volkswagen poised to enter F1 with Red Bull

The Volkswagen Group could finally be preparing to enter Formula One, and enter it in a big way. That is, at least, if the latest reports prove accurate. And given the source, we're taking notice. The word around the paddock this weekend in Singapore has it that VW is entering into a partnership with Red Bull Racing that would see the German auto giant not only supply the team with engines, but buy the team altogether. The move would come as a welcome development for Red Bull, which took four consecutive world championships between 2010 and 2013, but has fallen off pace over the past couple of seasons due in large part to the under-performance of its Renault engines. The deal, which according to the report is currently being finalized, would see VW develop an all-new engine for Red Bull (and potentially for Toro Rosso and other customer teams), but the new power unit wouldn't be ready before 2018. In the interim, Red Bull would break off its current deal with Renault a year early and switch to another customer engine arrangement, with Ferrari currently rumored to be the favorite. The energy drink company that currently owns the team, in turn, would revert to a (prominent) sponsorship role - similar, it bears noting, to the role it plays with VW's World Rally Championship team. The termination of the relationship with Red Bull could spell the end of Renault's current F1 program, unless the French manufacturer carries through with plans to reacquire its stake in the Lotus team that was once its own. The VW deal would also ostensibly put to rest the mooted arrangement that would have seen Red Bull switch from Infiniti sponsorship and Renault engines to a similar deal with Aston Martin and Mercedes. What isn't clear at this moment is which brand Volkswagen would choose to promote with the new F1 program. Audi is speculated to be the favorite, which would likely spell the end of its Le Mans prototype endurance racing program – leaving that realm to Porsche after a solid decade and a half of dominance. The board in Stuttgart could, however, opt to hand the opportunity to one of its other brands, including Bugatti, Bentley, Lamborghini, Seat, Skoda, or the Volkswagen brand itself. The news comes from not only from the BBC, but from its analyst Eddie Jordan – a man who knows a thing or two about running an F1 team... and selling one. Jordan ran his eponymous grand prix team from 1991 through 2005.

Skoda unveils Volkswagen Up!-based Citigo

This is the all-new Skoda Citigo, and if you're thinking that it looks rather familiar, that's because its Volkswagen-badged kin recently debuted at the 2011 Frankfurt Motor Show. That's right, the long-rumored Skoda version of Volkswagen's new Up! city car has finally arrived.
Buyers will have a choice of two 1.0-liter three-cylinder engines - one with 59 horsepower, the other with a 74 hp and a blistering 106 mph top speed - both mated to a five-speed manual transmission. Powerful they are not, but these three-bangers should prove to be extremely efficient, with Skoda quoting fuel economy numbers of 62.8 and 60.1 miles per gallon, respectively (on the European cycle).
Being a Skoda, the Citigo will go on sale in its home market of the Czech Republic this fall, with the rest of Europe getting the car next summer. Follow the jump for Skoda's official release.

11M VW diesels affected, Porsche and Audi under investigation

Volkswagen's diesel scandal is growing exponentially larger. In a new statement, the company admits that 11 million vehicles worldwide might be equipped with software capable of evading emissions testing. In addition, the Environmental Protection Agency is beginning an investigation into the 3.0-liter V6 in Audi models and the Porsche Cayenne in the US, according to The Detroit News. The automaker claims that from its investigation so far, the "relevant engine management software is also installed in other Volkswagen Group vehicles with diesel engines." However, the company finds that the "noticeable deviation" in test results and real-world numbers only relates to the Type EA 189 powerplant. That still leaves 11 million vehicles potentially skirting emissions rules, though. Governments around the world have started taking a closer look into the company, too. In the US, the EPA has begun testing VW's V6 diesel because "they were certified well before we knew what we know now," Christopher Grundler, director of the EPA's Office of Transportation and Air Quality, said to The Detroit News. The agency has started checking diesels from other automakers to make sure they're meeting the rules, as well. Germany, the European Union, and South Korea have instituted similar investigations. In response, VW is setting aside 6.5 billion euros ($7.25 billion at current rates) to cover servicing all of these diesels. The company admits that the figure might have to be adjusted depending on what happens next. The money is being deducted from its third-quarter earnings. Related Video: VOLKSWAGEN AG HAS ISSUED THE FOLLOWING STATEMENT: Sep 22, 2015 Volkswagen is working at full speed to clarify irregularities concerning a particular software used in diesel engines. New vehicles from the Volkswagen Group with EU 6 diesel engines currently available in the European Union comply with legal requirements and environmental standards. The software in question does not affect handling, consumption or emissions. This gives clarity to customers and dealers. Further internal investigations conducted to date have established that the relevant engine management software is also installed in other Volkswagen Group vehicles with diesel engines. For the majority of these engines the software does not have any effect. Discrepancies relate to vehicles with Type EA 189 engines, involving some eleven million vehicles worldwide.