On November 16, Volkswagen CEO Herbert Diess is set outline the group’s 10-year plan at a meeting of the German carmaker’s supervisory board, in which the main highlight, according to reports, is to slash research costs by working with rivals, a move that would most definitely hurt Audi’s position as the leading technology development centre for the group.
Following the emission scandal, Volkswagen is in a very delicate position, where cutting costs to ensure savings is an important part of the agenda. Getting the company back on tracks not the only major challenge before Volkswagen; it also has to ensure that its combustion engines comply with anti-emission rules.
As a result instead of the usual 5-year approach, Diess is now looking to present a 10-year plan to the carmaker’s supervisory board.
If reports are to believed, the German car manufacturing giant is explore possibilities of collaborating with its American counterpart, Ford, as well as with some other key players in the electric vehicles (EVs) and autonomous space. However, if this approach gets the green signal, it would go on to significantly sideline Audi and reduce its position
In 2017, the VW group spent a staggering $13.1 billion in pursuit of EVs and autonomous technology. Carmakers across the world are now exploring options to team up and collaborate to save the enormous amounts of money being spent on development.