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How should Volkswagen deal with its diesel problems?

The hounds of hell are bearing down on Volkswagen in the wake of allegations of cheating on diesel emissions testing. In just a single day, Volkswagen's stock has dropped 23 percent and the German government has announced that it is going to investigate a far larger number of vehicles over emissions violations. The American storm is quickly becoming a global one. Volkswagen sells over a million diesel vehicles a year and also has more than 13 percent of the automotive market overall – it was the number one automaker in the world up until the scandal. Yet in a matter of hours, Volkswagen has also become a pariah with potential fines and recalls that may be dwarfed by how the alleged lies and deceit change how governments and consumers view the company. Consumers are really going to be the key to the company's survival. It's those consumers who are really going to be the key to the company's survival. Every single one of them now finds themselves with a product that was sold illegally and may not be registered until recall work is done. What's worse is that Volkswagen doesn't yet have a solution for the emissions issue to offer these customers. It should also be noted that this is not the first time Volkswagen has found itself in violation of EPA emission regulations. Volkswagen is in a world of trouble, so what now? As a car dealer and former financial analyst who took several companies public, I believe Volkswagen can and should consider three points of action that would make an enduring difference in the times to come. 1. Offer affected TDI owners a compelling reason to stay with the brand. Recall work and a cup of coffee at the dealership are not going to be enough to placate current owners. Volkswagen should provide compensation for customers at the earliest opportunity and offer some type of inducement that keeps them within the fold. This shouldn't be the industry's version of a Chuck E. Cheese coupon - a small discount on a new vehicle. Volkswagen needs to offer something along the lines of a strong warranty extension of the entire powertrain (not just the emissions system) or some type of valuable feature upgrade for these vehicles so that owners feel that they have been treated fairly. Perhaps a combination of a brand new navigation system, software upgrades for the infotainment components, or some type of basic free WiFi service would be a healthy act of generosity.

Audi says new 48 volt micro-hybrid system improves fuel economy, paves way for electrification

Most cars use a 12-volt system to power their electrical components. But, with more and more electric bits and bobs being added to new vehicles, a dozen volts is looking a bit weak these days. In fact, Audi says that standard 12-volt systems are being stretched "to their very limits." Enter 48 volts. If used in a car that gets 40 mpg, that would translate to around 43.5 mpg. Audi is testing a supplemental 48-volt electric system in two prototype vehicles – modified mild-hybrid versions of the A6 TDI and the RS 5 TDI – in order to add in more electric technology (an electric compressor, for example, to improve acceleration) and "convenience systems for dynamic chassis control." Audi says it has more applications in the pipeline, but the overall gist is that the German automaker sees 48 volts as an "important building block in electrification strategy." As you can see in the picture above (click to enlarge), the RS 5 TDI concept uses a li-ion battery installed in the back of the car and an alternator to provide 48 volts when the engine is off. Audi says that the 48-volt system can save up to 0.4 liters of fuel per 100 kilometers. To put that into US numbers, if used in a car that gets 40 miles per gallon today, that would translate into a bump up to around 43.5 mpg. The Advanced Lead Acid Battery Consortium (ALABC) is also working on a 48-volt system to improve fuel economy and we've got a deep dive of Audi's electric turbocharger here. Even more powerful and efficient – the new 48-volt technology from Audi Important building block in electrification strategy More voltage and more power for new technologies Scalable platform concept suitable for wide-ranging uses Ingolstadt, August 25, 2014 – Audi is to upgrade part of its vehicle electrical system from twelve to 48 volts. The move represents another technical building block for facilitating the integration of new automotive technologies while increasing the power and efficiency of its cars. "We are using the full bandwidth of electrification in our drive principles strategy. Running part of the vehicle electrical system at 48 volts plays a central role in this," commented Prof. Dr. Ulrich Hackenberg, Member of the Board of Management for Technical Development at Audi. "It enables us to make more energy available.

Audi reveals Prologue Allroad concept ahead of Shanghai

Audi kicked off the Prologue series of design studies with the coupe concept unveiled in LA, then followed up with the Prologue Avant wagon at the Geneva show. Now, we're seeing the third iteration in the form of the Prologue Allroad concept. Set to be unveiled next week at the 2015 Shanghai Motor Show, the Prologue Allroad picks up where the previous two left off, but takes it in a more rugged direction. At 16.8 feet, it's longer than both of the previous concepts, and stretches out to the same length as a standard-wheelbase A8. It also rides three inches higher than the Prologue Avant concept. Not only is it larger than the preceding showcars, it's also more powerful. Under the hood sits a hybrid powertrain that pairs a 4.0-liter twin-turbo V8 to an electric motor integrated into eight-speed automatic transmission. Together they produce a whopping 738 horsepower and 664 pound-feet of torque, driven to all four wheels to send the concept to 62 miles per hour in a scant 3.5 seconds – all the while returning a claimed equivalent of 98 miles per gallon. If that's not the best of both worlds, we don't know what is. Plus, the car packs an inductive charging system that Audi says it's developing for production. Massive 20-inch brake discs keep that performance in check, sitting inside 22-inch wheels, all mounted to an adaptive air suspension and four-wheel adaptive steering. Other exterior features include door lock sensors integrated into the window frame, Matrix laser headlights and LED taillights. Inside it's all angular yet elegant, swathed in dark blue, beige and brown. Display screens abound, stretching across the dashboard with a deployable OLED infotainment display in the center console. There's another OLED screen for the passengers in the pair of rear seats, who can also dock OLED tablets in the front seatbacks. A pop-up "sound spoiler" promises to envelop the cabin in music, and there's inductive charging for mobile devices as well. Together with its conceptual stablemates, the Prologue Allroad concept points towards a stylish and technologically advanced future for Ingolstadt, and we're looking forward to seeing this show car transition into production as the next A6 Allroad. In the meantime, you can scope out all the details in the press release below and view the concept from every angle, inside and out, in the slideshow above.