Audi increases upfront expenditure for electric mobility
Consistently electric: plans for upfront expenditure totaling approximately €37 billion by 2024, thereof about €12 billion solely for electric mobility
AUDI AG has planned a total amount of approximately €37 billion for research and development expenditure and investment in property, plant and equipment over the next five years. Against the backdrop of its roadmap towards electrification, the manufacturer is planning upfront expenditure of €12 billion solely for electric mobility – more than ever before. The successful Audi Transformation Plan (ATP) is freeing up the necessary funds: Since the start of the program, the ATP has already contributed €4 billion to earnings. Furthermore, measures taken in the context of Audi.Zukunft are to free up approximately €6 billion for future investments by 2029.
In the context of its planning round, Audi has decided on upfront expenditure totaling approximately €37 billion for the years of 2020 through 2024. This amount comprises investment in property, plant and equipment as well as research and development expenditure. The current planning reflects a significant improvement in investment and cost discipline, as well as the strong prioritization of investments in electric mobility. “With our Consistently Audi strategy, we are accelerating our roadmap towards electrification. Our investment planning takes this into account,” says Alexander Seitz, Board of Management Member for Finance, China and Legal Affairs at AUDI AG. “At around €12 billion, we will spend more than ever before on electric mobility by 2024.”
By 2025, the Audi Group intends to have more than 30 electrified models in its product range – 20 of which will be fully electric. Audi intends to achieve about 40 percent of its worldwide unit sales with all-electric and hybridized automobiles by then. In order to achieve the rapid scaling of electric mobility, Audi is working with Porsche to develop the premium electrification architecture (PPE) for large electric cars, and the Modular E Drive System (MEB) is being developed together with Volkswagen. The cross-brand architectures will enable high Group synergies to be utilized in the future.