Black Friday Sale! 50% Off All Access

This Company's Latest Strategy Features Electric Cars Audi will boost spending on digital technologies and electric cars over the next decade, sources at the German carmaker said.

By Reuters

Entrepreneur+ Black Friday Sale

Our biggest sale — Get unlimited access to Entrepreneur.com at an unbeatable price. Use code SAVE50 at checkout.*

Claim Offer

*Offer only available to new subscribers

This story originally appeared on Reuters

Anadolu Agency | Getty Images

Audi will boost spending on digital technologies and electric cars over the next decade, sources at the German carmaker said, as it follows parent Volkswagen in reshaping its business in the wake of the diesel emissions scandal.

Volkswagen's (VW) main profit contributor plans to invest about a third of its R&D budget which totaled 4.24 billion euros ($4.69 billion) in 2015, in digital services, electric cars and autonomous driving by 2025, two sources at Audi told Reuters late on Monday on condition they not be identified because the plans are still confidential.

Audi will offer on-demand mobility services for premium customers and increase the share of electric vehicles of its overall sales to about a fourth by 2025, the sources said. The Ingolstadt-based brand sold a record 1.8 million cars last year.

Chief Executive Rupert Stadler plans to outline details of Audi's new business roadmap to more than 2,000 managers on Wednesday at a closed-door conference in Munich, the sources said.

A spokesman at Audi declined comment. German business daily Handelsblatt reported late on Monday about Audi's transformation plans.

To free up funds for the new strategy, Audi plans retrenchments in its conventional car program including steps to reduce country-specific engine and transmission variants, the sources said, without being more specific.

The changes come as three U.S. states plan to unveil new lawsuits against Volkswagen on Tuesday tied to the automaker's sale of diesel vehicles with emissions-cheating software, even after they announced settlements with the German automaker in June.

VW last month announced plans to spend billions of euros on electric cars, ride-hailing and automated driving to become a world leader in green transport by 2025.

(Reporting by Andreas Cremer; Editing by Diane Craft)

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business News

The Two Richest People in the World Are Fighting on Social Media Again

Jeff Bezos and Elon Musk had a new, contentious exchange on X.

Science & Technology

I've Spent 20 Years Studying Focus. Here's How I Use AI to Multiply My Time and Save 21 Weeks of Work a Year

AI is supposed to save time, but 77% of employees say it often costs more time due to all the editing it requires. Instead of helping, it can become a distraction. But don't worry — there's a better way.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Real Estate

Why Real Estate Professionals Should Prioritize Social Responsibility

Integrating social responsibility into real estate can foster community change, build trust and drive long-term business success.

Leadership

Here's the One Trait You Need to Be a Successful Entrepreneur

Entrepreneurs are often lauded as being risk-takers. But there's a distinction between being a risk-taker and being brave — and only the latter is necessary for entrepreneurs.

Business News

Barbara Corcoran Says This Is the Interest Rate Magic Number That Will Make the Market 'Go Ballistic'

Corcoran said she praying for lower interest rates and people are "tired of waiting."