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VW makes $23K on every Porsche sold, more than Bentley or Lamborghini

It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.

Porsche would have entered F1 if Audi had blocked its Le Mans program

Go back a few years and you may have heard rumors of Porsche heading into Formula One. That never came to pass - or at least, it hasn't yet - but that doesn't mean that it wasn't close to happening. That's how committed to returning to top-level motorsport competition Porsche has become recently.
Autosport reports that just as Porsche was merging fully into the Volkswagen Group, Zuffenhausen was weighing its options for a factory racing program. Le Mans was its favorite, which makes sense, as it remains far and away the most successful constructor in the history of the famous endurance race. But the strategists at Porsche were worried that its new corporate overlords at Volkswagen wouldn't support two LMP1 programs and would favor Audi, which has positively dominated the modern era of endurance racing, coming second only to Porsche in the number of Le Mans victories it has scored to date.
Porsche's Plan B was reportedly to head into Formula One, although it isn't clear if the German automaker was intent on starting its own team, buying an existing one or merely providing engines to other teams. Porsche fielded its own cars in F1 in the late 1950s and early 60s, and returned as an engine supplier with TAG to power McLaren in the 1980s, powering Niki Lauda and Alain Prost to the World Championship in 1984 and 1985.

Next Audi R8 E-Tron could have 280-mile range

Just 265 miles of range on a single charge? Meh. That's what the folks at Audi might be saying about the Tesla Model S and its estimated range. Because the German automaker says the next iteration of the R8 E-Tron could go 450 kilometers on a charge, or about 281 miles. This information comes from Automotive News, which cites a presentation from Audi technology chief Ulrich Hackenberg at the company's annual press conference. The fact that the car will soon be available "upon request" is also news. The project was thought to be shelved until reports came out late last year saying that Audi figured out a way to upgrade its lithium-ion battery technology to double its range. Audi spokesman Brad Stertz said the company wasn't disclosing details related to if or when the car would reach North America or how much it would cost (we're guessing a really large number of dollars) but he did say it was notable that the project was back on track. Audi made news in the summer of 2012 when the R8 E-Tron set the "series production electric car" speed record with a 8:09.099 minute-time at Nurburgring thanks to a boosted top speed of more than 155 miles per hour.

Audi reveals revised RS5 DTM for 2014

There existed an era in German touring car racing between when the DTM series was revived in 2000 and when BMW rejoined in 2012. During that twelve-season span, the wins were pretty evenly divided between Audi and Mercedes-Benz, the only two manufacturers who took part. Audi won six drivers' titles in that time and Mercedes won six (although Benz won considerably more constructors' titles).
Now that BMW is back in the race, though, it's an entirely different game. BMW has won the lion's share of the races in the past two seasons, taking both titles in 2012 and the constructors' title last season. The winning driver last season, though, was driving the RS5, making Audi the only one that really stands a chance of putting up a fight against BMW. It undoubtedly hopes to extend that challenge in the coming season, and this is the car with which it aims to do so.
Taking on the Mercedes-AMG C-Class Coupe DTM and the new BMW M4 DTM will be the revised RS5 DTM you see here. Bearing a stronger resemblance to the road-going RS5 you can buy, Audi's new DTM challenger benefits from a revised aero package with more streamlined side mirrors, closed rear wheel arches and reprofiled side sills. The V8 engine carries over (much as it did from the previous A4 DTM and A5 DTM) with 456 horsepower driving the rear wheels through a six-speed sequential gearbox.

Audi leading rival BMW in worldwide luxury sales race

If you thought competition among the German luxury automakers was hot before, it looks like things are just getting started. For the first two months of the year, Audi has sold more cars than BMW worldwide by just 383 cars.
Audi claims to have sold 242,400 vehicles through February, up 9.3 percent from last year, compared to 242,017 units from BMW, up 8.9 percent, in the same period. While the advantage is tiny, its implications could be huge because Bimmer has been the leader in the premium car segment for the last nine consecutive years. Mercedes-Benz lags behind them somewhat at 229,630 vehicles through February. According to Bloomberg, at this time last year Audi had sold 429 fewer cars than BMW.
The growth is all part of Volkswagen Group's goal to become the world's largest automaker. It currently ranks in second when its heavy truck businesses are considered. The German automotive giant also wants to be the world's leading premium carmaker. "Competition in the premium segment is more intense than ever," said Audi CEO Rupert Stadler to Bloomberg.

Audi targeting hipsters with A3 launch parties

Audi is planning quite a shindig for the launch of the A3 sedan, and it only wants young folks to show up. The Four Rings' new entry-level model will begin hitting showrooms later this month, and it is planning a launch party on April 3 at all of its roughly 280 dealers aimed at youthful, influential buyers - hipsters, for lack of a better word.
According to Automotive News, the company has sent a 64-page party-planning guide to its dealers on how to appeal these tastemakers in their late-20s to early-40s. The guide says the audience "should reflect an uncompromising spirit in a generation that refuses to settle or sell out." Audi never specifically uses the h-word in its marketing, which is good because it carries some negative connotations. However, recommendations like serving craft beer and bacon doughnuts and playing indie bands like Chvrches, Empire of the Sun and M83 certainly show that the automaker would love to gain some hipster-cred.
It may seem odd for a free spirits to desire a new Audi, but the carmaker might be playing the long con with these parties. Maybe they can't afford an A3 yet, but the $30,000 compact is likely close enough within their financial reach to at least be realistic. If the brand can appeal to them early, then they could be more likely to come back later when it's affordable.

Felix Baumgartner parachutes into racing at N?rburgring 24

There are plenty of commonalities to be found between astronauts and racing drivers. Both are daredevils by definition (if not by trade), both subject themselves to unfathomable G forces and both face very real risks when strapped into machinery that makes the very best use of advanced propulsion, aerodynamics and composite construction technologies. Yet you don't find much crossover between the two. There was talk of Niki Lauda, himself an experienced pilot, training to go into space with Virgin Galactic (which itself was sister to an F1 team for a while in Richard Branson's empire), but that didn't seem to materialize. Now we're receiving news that Felix Baumgartner will contest the Nürburgring 24 Hours this year.
Felix Whomgartner, you ask? Felix Baumgartner. He's more of a skydiver than an astronaut, but he made history in 2012 when he jumped out of a space capsule and set the record for the highest altitude in a manned balloon, the parachute jump from the highest altitude, and the highest velocity freefall as part of the Red Bull Stratos initiative. In other words, he may as well be an astronaut, because he fell down to the earth's surface from the stratosphere.
For his next challenge, Baumgartner will be climbing into an Audi R8 LMS Ultra in an attempt to tackle the Nürburgring. Having contested a handful of spec races under the VW Group umbrella, he'll undertake several test sessions and practice races before the main event in June, in which he'll alternate behind the wheel with professional racing drivers Frank Biela, Marco Werner and Pierre Kaffer. The initiative is part of the Audi race experience program that allows gentleman racers to team up with seasoned pros to take part in real races. Baumgartner will undoubtedly prove its highest-profile participant.

Audi traffic light recognition could save 240 million gallons of fuel [UPDATE]

Any hypermiler will tell you that the way you drive your car has a huge impact on how much energy it uses. But these greenfoot drivers haven't had a car that's smart enough to tell them about the inner lives of traffic lights. That's what a prototype system in an Audi A6 Saloon that the German automaker recently tested in Las Vegas can do. Since the car can communicate with local traffic signals and is able to predict when lights will change, the car can help reduce CO2 emissions by up to 15 percent. Further, Audi says that the system could save some 238 million gallons of fuel (900 million liters), if deployed across Germany. We can only imagine what hypermilers could do with this. We got to drive the Audi Online traffic light information system prototype in January, but we focused more on how the system worked rather than the green aspect. Now that Audi has had a bit more time to crunch the numbers, it has released fuel economy information for the connected car. The key points for the eco-side of things are that the driver is told in the dashboard how fast/slow to go to hit the next green light. This can help prevent unnecessary speeding and or encourage drivers to go a bit faster in order to hit the green, thus preventing idling and wasted time. The system is too smart to let you idle for long. Except that Audi Online is too smart to let you idle for long. The Audi connect system can calculate how much longer the light will be red and can access the car's start-stop capabilities and will fire up the engine "five seconds before the green phase." That seems like an awful long time in a world where competitors have figured out ways to restart an engine in 0.35 seconds. We've asked Audi for an explanation on why this buffer is so lengthy, and will let you know what the reasoning is when we hear back. Despite the trials in the A6, Audi says the Audi Online traffic system could be integrated into any Audi model, "subject to the necessary government legislation." Aside from the Sin City tests, Audi is running trials of the connected car in Verona, Italy and Berlin, Germany. If you'd like to test it out yourself some day, take heart from this line in the press release, available below: "A market launch is currently the subject of intense analysis in the United States." *UPDATE: Audi's Mark Dahncke told AutoblogGreen that the five second window is meant, "To alert the driver that the light is about to turn green.

2015 Audi A3

The five-door Audi A3 hatchback, on sale in the States since the 2006 model year, never earned the respect it deserved. Despite possessing the automaker's well-regarded build quality and a range of strong powerplants (including an excellent diesel option), the entry-level model always played second fiddle to the rest of the Audi lineup, suffering from less innovative technologies and fewer premium options on its list. Many buyers considered it inferior to the rest of the models in the company's showroom. But those misconceptions could be about to change, as Audi is in the midst of introducing its third-generation A3 family to the States with expectations that the range will finally align with the rest of its portfolio.
First to arrive is this new sedan, notable as it is the first time the A3 has been offered as a compact four door. The new bodystyle is positioned as a premium C-segment offering, with its most obvious competitor being the new Mercedes-Benz CLA-Class (BMW has not officially announced a 2 Series Gran Coupe, which would be the third entrant in the segment). The automaker says its "A3/S3 models will be among the most technically advanced Audi products around" and there will be "no sacrificing Audi craftsmanship and premium appointments." To put the automaker's claims to the test, we spent a week with this new sedan in Southern California.

Audi considering turbo option for longer, wider Hurac?n-based R8

The debut of the Lamborghini Huracán was (and remains) big news in and of itself, but equally as exciting is the imminent arrival of the Audi R8, which the Huracán presages. While the two will share a common architecture, don't expect that new R8 will simply be a cheaper version of the Huracán (like the current one arguably is to the Gallardo).
For one, the next R8 will be larger than the Huracán. According to emerging intelligence, Audi will make its sports car both longer and wider than the Lamborghini version. It'll also share the new Lambo's innovative carbon-fiber structure that will replace both the firewall and central tunnel. But to power it all, Audi will get more creative.
The next R8 will, like the current model and like the Huracán, offer a V10 engine at the top of the range. It will also offer the same 4.2-liter V8 as the outgoing model. But that won't be the end of the matter. Word has it that Audi is also working on a smaller, turbocharged engine to offer in certain markets that mandate smaller-capacity engines.