Audi 2015 Annual Report Download - page 20

PHOTOS : Dieter Roosen
Ideally before car manufacturers fi nd themselves under attack.
Mr. Keese, you write in your book that the Google Car could
completely transform the automotive industry. Why is that ?
KEESE : Because disruptive attacks generally lead to lower
prices for services and products alike. That will also a ect the
automotive industry because owning and driving a car today
is a very costly a air. In the future, the self-driving car won’t
sit around doing nothing for  percent of the time ; it will be
transporting other people around. That will noticeably reduce
the cost of ownership. STADLER : In  we launched the
Audi Urban Future Initiative mainly to fi nd solutions to tra c
congestion in major cities. We have to be engaged in these
solutions so that people will continue to buy cars and therefore
individual mobility in the future.
How can the automotive industry keep making money and
protect jobs in such a future, Mr. Stadler ?
STADLER : Human-machine interaction will take on an entirely
new form in the future. We will talk to our cars and give them
commands. While our car drives us to our destination, we can
busy ourselves with other matters. So the car will become a
new living space that gives us time for entertainment, work or
communication. The way we relate personally to this new living
space o ers scope for new business models.
Is that really a source of income for Audi ?
STADLER : Absolutely, and that’s why we have brought the
mobility product of Audi shared fl eet onto the market, for
example. It gives companies the opportunity to provide Audi
fl eet automobiles for their employees for a fee, like car sharing.
Reservations are organized via app. This enables us to reach
entirely new customers and become part of a new business
model. Bear in mind that for some people, having their own
car is not the best option because they are constantly traveling
for work or have the problem of fi nding parking spaces in cities.
All of our mobility services also meet the exceptional standards
of a premium brand. A robust business case is always a prereq-
uisite for our services. KEESE : The best option for the auto-
motive industry is for it to identify and exploit the value-added
streams of the future. That includes platforms that can also
be used for advertising and entertainment. And that’s where
you can make money.
But extremely short innovation cycles are a hallmark of Sili-
con Valley. Things are much slower-moving in the car industry .
Does that really go together ?
STADLER : I have absolutely no doubt about that. We are bring-
ing both worlds together and keeping certain features viable.
Then the customer will always be up to date, giving us scope
for new products, services and business. KEESE : My kids
like playing FIFA . But once FIFA  appears on the market,
FIFA  is old hat, an absolute disaster. So Dad always has
to have the new FIFA available in his car.
Is that enough to keep Germany’s fl agship industry afl oat,
Mr. Stadler ?
STADLER : The spread of Internet-based communication is
bringing greater price transparency. We therefore expect that
margins in classic sales will at least not rise. The value added is
increasingly shifting to a car’s phase of use. Based on our strong
core business, that gives us scope to access new areas of business.
Mr. Keese, would the German premium car manufacturers’
model for success work in California, too ?
KEESE : Californians are experts in high-margin businesses
that require little capital. We need to learn more in order to
be prepared for the digital economy.