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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.

Mercedes GLE Coupe spotted in almost undisguised AMG form

Say what you will regarding the form and function of the BMW X6, the bottom line is that BMW essentially pioneered a winning formula, sloping a roofline onto an existing model to make a new and highly lucrative) derivative. No wonder rival Mercedes-Benz is clamoring to follow suit with models like the one pictured here. Under development for some time now, the model originally slated to be called the MLC and now expected to be dubbed GLE Coupe looks about ready for its big debut. It's based on the replacement for the current M-Class (to be rechristened GLE) but with that vital sloping roofline to make it more rakish. This particular example seems to be an AMG version and was spied with only minimal camouflage around the front and rear bumpers while undergoing testing in snowy climes. That could be the full-on GLE63 AMG performance variant, or the new AMG Sport model destined to debut at the Detroit Auto Show next month. If it's the former, expect it to be packing the same 4.0-liter twin-turbo V8 as the new Mercedes-AMG GT, where it produces either 462 horsepower or 510 depending on spec - ready to take on the X6 M and whatever Audi is preparing to throw at it.

Daimler wants to cut EV research spending as it preps EQ

Daimler AG is hoping that the legwork it's done preparing its EQ electric-vehicle sub-brand will allow it to slightly reduce annual spending on plug-in vehicle technology. The Mercedes-Benz parent is looking to cut electric-vehicle research-and-development spending to $13.2 billion in 2017 from about $15.4 billion this year, Bloomberg News says, citing comments Daimler CEO Dieter Zetsche made to journalists in Hamburg, Germany, this week. Daimler's annual R&D spending is up from about $11.5 billion in both 2013 and 2014. Like its competitors – for example Audi and BMW and its i sub-brand – Daimler is aiming to have as much as 25 percent of its annual vehicle sales be battery-electric within the next 10 years as part of an effort to meet stricter greenhouse-gas emissions mandates in both Europe and North America. In fact, Mercedes-Benz and Daimler's Smart division collectively have at least 10 electric-vehicle models on their slates during the next few years, though Zetsche said the German automaker will continue to find ways to make its gas- and diesel-powered vehicles more fuel-efficient as well. Daimler introduced a concept version of the Generation EQ electric SUV at the Paris Motor Show late last month. It comes powered by two electric motors and is made up of a combination of steel, aluminum, and carbon fiber, and boasts a 311-mile single-charge range (on the relatively lenient European testing standards). The SUV also has 402 horsepower, and the ability to go from 0 to 60 miles per hour in less than five seconds. Zetsche said at the time that Daimler was prepping powertrains and platforms for electric sedans, wagons, coupes, and roadsters, in addition to SUVs. Additionally, Daimler's Deutsche Accumotive unit is producing the lithium-ion battery packs for the EQs. Featured Gallery Mercedes-Benz Generation EQ Concept: Paris 2016 View 19 Photos News Source: Bloomberg News via Automotive News-sub.req. Green Mercedes-Benz smart Electric eq mercedes eq