How Audi, BMW, Mercedes-Benz, and Porsche Plan to Shock Tesla

Audi, BMW, Mercedes-Benz, and Porsche are about to invest a combined 6 billion euros (about $7.5 billion) in new high-end electric vehicles and plug-in hybrids due out between 2018 and 2021. Their target: the American upstart from Silicon Valley.

Although Tesla’s ink is still red and the sales figures are comparatively modest, the predominantly German luxury-car establishment
is already feeling the squeeze in certain micromarkets such as Southern California and Norway, where the Tesla Model S attracts more affluent buyers than the S-Class, 7 Series, or A8.

In their counterattack, the four German premium car manufacturers are all pursuing similar goals: electric vehicles and plug-in hybrids. Instead of pooling resources and components, however, they’re heading down individual yet almost parallel avenues. The nomenclatures of the new models are by no means final, but the concepts are being firmed up as you read this. The first design previews may be seen as early as at the 2015 Frankfurt Auto Show. Like the BMW i8 or next year’s Audi R8 e-tron, their mission is to act as halo cars, technology showcases, and image leaders for wealthy, green-minded early adopters. Yet all of them are intended to be more than niche models; global target volumes are in the tens of thousands, and projected prices range from just below that of the Tesla Model S to more than $125,000. And they pave the way for an even broader range of more affordable German plug-in vehicles.

Tesla Targets

Tesla’s sales could grow by leaps and bounds once the promised follow-up cars to the Model S arrive.

Audi

A Q5-based crossover coupe.

In an ideal world, Audi would—just like Tesla—start its electric program with a clean sheet of paper. But a new architecture is complex and expensive, which is why the brand is instead inclined to modify an existing vehicle built in an existing facility.

Such ambitious goals will consume enormous engineering resources; the Q6 e-tron might take up to four years to materialize. In the meantime, Audi will kick off its green revolution with a bunch of plug-in hybrids based on the Q7, the A8, the next Q5, and the A6/A7 replacement. They will rely on a mix of 2.0-liter fours and 3.0-liter V-6s mated with a 122-hp electric motor. The Q7 and A8 will carry over conventional Quattro all-wheel-drive systems, in contrast to the Q6 e-tron’s purely electric system. Audi’s luxury electric crossover will likely cost between $80,000 and $100,000. Production will be somewhere in the five-digit range.

BMW

A sedan that might get the i Badge.

BMW’s Tesla fighter is based on the Chinese-market, longwheelbase 5 Series sedan and is due out in 2018. The plug-in hybrid four-door should contain enough electric power to justify the prestigious i suffix, particularly since the next i3 and i8 replacements are not expected to adhere quite as religiously to today’s exotic and expensive carbon-fiber/aluminum formula. That means the new sedan could also get away with being less radical and still earn an i5 or i7 badge.

Whatever it’s called, the BMW is being described as a low-emissions sport sedan featuring an innovative plug-in hybrid drivetrain. The extended wheelbase not only creates more room for passengers—important for both the North American and Chinese markets—but also for the batteries, which will be arranged in pouches between the axles.

Porsche

A sporty four-door.

“Rather than raising the floor, Porsche would jam batteries in every open space: the center tunnel, the bulkheads, the doorsills, the footwells, and the overhangs.”

To adapt the Panamera/Continental architecture to the needs of an EV is no mean feat. While the fl at-bottom Tesla features a long and wide battery pack that also functions as a floorpan and a structural reinforcement, the lower H-point and the sports-car stance postulated by Porsche would call for a so-called topologic battery installation. That’s a fancy way of saying that rather than raising the floor, Porsche would jam batteries in every open space: the center tunnel, the bulkheads, the doorsills, the footwells, and the overhangs. In total, a reported 108 battery pouches need to be packed into the body.

It is hard to judge whether Porsche’s provisional launch date of early 2019 is realistic or wishful thinking. The same applies to projected technical details, which, according to one insider, include three different e-power stages rated at 400, 500, and 600 hp. The average driving-range target is in excess of 300 miles. As a rule, there is one electric motor per axle. Together with the U.S. specialist supplier QuantumScape, Porsche (and VW/Audi) is developing a new induction charging process designed to match Tesla in speed and beat it in convenience. All versions of the 717 would feature all-wheel drive, all-wheel torque vectoring, and fourwheel steering. Because of the genetic link to the relatively conventional Panamera componentry, weight is bound to be an issue for the electric Porsche. At the same time, the Panamera connection may be essential to build more than 10,000 units a year at a profit.

A critical question is whether Porsche will be allowed to do its own thing. And would it not make more sense for Porsche to attack the Elon Musk enterprise with an electric sports car conceived to outshine the discontinued Tesla roadster? While Porsche’s head honcho acknowledged earlier this year that a sporty zeroemissions model would work well for the brand, the chief vehicle line engineer recently ruled out an electric 911, which raises the specter of a Boxster/Cayman EV. Alternatively, Porsche might be coaxed to join Audi in a crossover EV since creating a sportier Q6 e-tron derivative with a Macan badge would be relatively simple. But as far as the halo eff ect and brand image are concerned, the marque’s own 717 proposal is hard to beat.

Mercedes-Benz

Four models in two size classes.

Of the four Germans, Mercedes-Benz is plotting the most ambitious EV assault. It calls for an investment of more than $2 billion in a family of all-new, purpose-built vehicles, which make provisions for rear-wheel drive, all-wheel drive, and rear-wheel steering. The program, known internally as Ecoluxe, is tipped to produce four different product offerings. Two are crossovers, which should do well in most major markets and
generate strong profit margins.

“When in full swing, the Mercedes electric invasion will be able to pump out 80,000 vehicles a year. Better still, the modular architecture makes it very easy to generate”

The first model due to hit showrooms is a large, long-wheelbase crossover offered with five or seven seats. Known internally as Sport Utility Coupe, this GL-size vehicle will cost about $125,000 when fitted with the highest-performance powertrain. One year later, Mercedes is expected to unleash the first of two so-called sport-utility sedans, basically a stretched E-Class with the availability of three rows of seats. In both cases, the third row would be a rearfacing pop-up bench that can be accessed through extra-wide doors. Both top-of-theline models will stretch longer than 16 feet and would feature front and rear luggage compartments.

A pair of smaller and less expensive five-seat models—a conventional three-box sedan and a crossover—would complete the electric-vehicle portfolio. Although the launch cadence (like everything else about the project) is not yet cast in stone, the timing spans 2019 to 2021. Since these vehicles would share few parts with existing Mercedes models, they’d likely require a new factory located in Europe or North America.

Like Tesla, Mercedes will off er several options for power and battery range. Initially, we should see a version rated at 545 hp and a range topper delivering more than 610 hp. The driving range would be between 280 miles and 350 miles, depending on model and powertrain. All Ecoluxe vehicles will ride on electronically controlled, adaptive dampers and will have adjustable ride height. A host of driver assistance systems will also be part of the package.

When in full swing, the Mercedes electric invasion will be able to pump out 80,000 vehicles a year. Better still, the modular architecture makes it very easy to generate plug-in hybrid spinoff s; a split floor would house the fuel tank next to the battery elements. These models would off er a 60-mile zero-emissions range together with as much gasoline-powered grunt as marketing asks for.

Tesla Model S P85D

More for the Germans to worry about.

This D-type version of the Tesla Model S sedan doubles down on technology, with double the motors and double the driving wheels. Dual-motor all-wheel drive is available only on the Model S with the 85-kWh battery pack. The P85D’s rear motor is rated at 470 hp and 443 lb-ft of torque, and its front motor puts out 221 hpand 224 lb-ft of torque. The result is an all-wheel-drive sedan with 691 hp and 687 lb-ft of torque. It will go from zero to 60 mph in 3.2 seconds and through the quarter mile in 11.8 seconds, and Tesla engineers tell us that motor torque can be apportioned not only front to rear but also side to side. As a result, drivers have greater confidence to toss the Tesla Model S P85D into quick corners.

While financial analysts fret about Tesla’s balance sheet and the delay of the Model X launch, remember that Tesla built some 33,000 electric cars last year. It’s not just tightening emissions regulations, and it’s not just voyaging into a new automotive frontier—it’s that Tesla, that scrawny start-up from Silicon Valley, now has a surprising and exotic luxury sedan with a forward-thinking powertrain that scares Germany’s best sport sedans.