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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.

Audi RS Q3 gets snarlier, hits 62 mph in 4.8 seconds [w/video]

Well, that was quick. A mere 20 months after its debut at the 2013 Geneva Motor Show, Audi has issued a fairly significant update to its RS Q3 crossover. A light exterior refresh - the most noticeable change is that the grille surround and headlights are now joined - belies more significant changes under the compact crossover's hood.
Power from the 2.5-liter, turbocharged five-cylinder has been boosted nicely from 310 horsepower to 340, while torque has jumped from 309 pound-feet to 332 lb-ft. The result of this extra thrust is that the tiny CUV can now scamper to 62 miles per hour in a seriously quick 4.8 seconds, rather than the original RS Q3's 5.5-second sprint. A new fifth-generation multi-plate clutch is fitted to the seven-speed S-tronic dual-clutch transmission, which Audi claims will now deliver even quicker shifts.
Lighter brake rotors with ridiculous eight-piston calipers in the front provide what we imagine is a lot of stopping power, while Audi continues to offer an optional adaptive damper system. 19-inch wheels are standard while 20s are optional.

Audi planning RS Q7 performance crossover

Audi resisted getting into the crossover market altogether until it launched the original Q7 in 2005, and held back from producing a performance crossover until it caved first with the SQ5 and then with the RS Q3, both in 2013. And now that the tide has washed over it, Ingolstadt's next plan, according to Top Gear, is to launch a performance version of the new Q7. Though it remains unclear whether it would carry the S or RS badge, the performance-oriented version of the new Q7 will surely benefit from the hundreds of pounds in excess weight Audi managed to trim off the latest model over the one it replaces. Also unclear is whether said hi-po Q7 would go with a diesel or a gasoline engine. The diesel option would more likely go the S route than the full RS, but wouldn't be likely to make it to the States if it were only offered as a diesel. With the SQ5, it's worth noting, Audi offers a TDI diesel version in Europe and a gasoline TSI in North America, so we wouldn't be surprised to see it take a similar approach with the larger model as well. Whatever it does pack under the hood, though, the SQ7 or RS Q7 would be facing some stiff competition from the likes of the Mercedes GL63 AMG, BMW X5 M and Range Rover Sport SVR – not to mention corporate cousins like the Porsche Cayenne Turbo and upcoming Bentley Bentayga – while giving the Volkswagen group a bigger slice of that exclusive but expanding pie.