#GIMS: Audi To Concentrate On High End EV Market Leaving Others To Scrap It Out At The Bottom Of The Segment

German carmakers are shifting their focus towards high-end electric vehicles such as the Audi R8 e-tron and away from cheaper city cars in the latest effort to revive environmentally-friendly but unpopular zero-emission vehicles.

At the Geneva auto show this week, Audi unveiled an emission-free version of its 165,000 euro ($184,619) R8 that can drive 450 kilometers (280 miles) before needing to recharge, which takes less than two hours.

It marks a new departure for Audi, which has wavered over whether to launch a range of electric vehicles.

Battery-powered cars have failed to live up to their initial hype, with drivers put off by the slow rollout of recharging stations, and limited range -- despite generous sales incentives in some markets.

**Special thanks to Mircea from INAUTONEWS for providing us with these shots LIVE from the 2015 Geneva Motor Show floor!

Geneva Motor Show #GIMS

Geneva Motor Show #GIMS

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TheSteve - 3/4/2015 2:41:04 PM

+1 Boost

Probably a wise decision. Tesla chose to do premium EVs only, and they're now perceived to be a world leader. Apple entered the mobile phone market when it was practically owned by Blackberry, and they chose to compete only in the premium segment. Today, Apple takes about nine tenths of mobile phone profit, even though Samsung (brand) outsells them by units, and Android (OS) outsells them by units by a wide margin.

Corporations' health is measured by sustained profitability (and assets, on the short term). It just good makes sense to go where the money is, rather than trying to compete on price and a lot of bullets on a feature sheet (the GM way).

The question in my mind is whether they are enough people with deep pockets who want a premium EV, or whether that market will level off and decline soon. If I had millions behind me, I'd rather get a gasoline powered R8 than an EV version. But that's just me.

TheSteve - 3/4/2015 2:50:18 PM

+1 Boost

Something else worth noting is that Audi's Q5 is available in North America as:
- 2.0 liter 4 cyl gasoline Turbo
- 3.0 liter V6 gasoline Turbo
- 3.0 liter V6 diesel Turbo
- 2.0 liter 4 cyl gasoline Turbo HYBRID

The best real-world fuel economy (combined or highway) comes from the 3.0 Diesel. The Hybrid does a little better in the city and frequent stop-and-go scenarios.

EVs vary significantly in terms of driving range and Total Cost of Ownership (TCO), so Audi has yet to prove themselves in this arena.

MDarringer - 3/4/2015 7:47:57 PM

-4 Boost

If Audi can do tasty E-trons around the price of what Tesla does, Tesla will lose the race.

GermanNut - 3/4/2015 8:52:24 PM

-4 Boost

Audi is certainly capable of doing tasty E-Trons (electric vehicles) around the price of what Tesla does. Audi's R8 eTron shows that Audi has the capability to also do an EV sedan like Tesla.

The below line is directly from the Audi R8 eTron press release:

"Audi uses the electrical high-performance sports car primarily as a mobile high-tech laboratory. Accordingly, the findings from the R8 e-tron help in creating a vehicle with a sedan character."

With Audi's brand image, reputation, history, economies of scale, and technological capabilities, I would view the R8 eTron as a warning shot for the rest of the EV market. Audi has the capability, the only question is if and when it chooses to expand.

w222 - 3/4/2015 11:40:04 PM

-1 Boost

It's really not a matter of focusing on the higher end. They have no choice, and neither does Tesla. Cost are still high for producing electric cars with decent range. Eventually the technology will trickle down to lower end models as cost declines.
By the way, the R8 e-tron looks stunning.