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Is Audi getting complacent and suffering from brain drain?

The argument is made in a Reuters article: Audi is falling behind other luxury brands, such as Mercedes-Benz and BMW, due to a lack of research-and-development spending and "brain drain," or the migration of top executives and R&D chiefs to other parts of the Volkswagen Group. Reuters notes that Audi's current R&D chief is the third in 16 months.
Audi, which contributed to 40 percent of VW Group's $11.6 billion in profit the first nine months of the year, is delivering cars at a record pace: 1.31 million were delivered from January to October 2013 versus BMW's 1.35 million. Yet Audi, Reuters reports, doesn't have a halo car akin to BMW's new electrified i3 and i8 or an answer to Mercedes' plug-in-hybrid S-Class, and the R&D spending at Audi is less than BMW and Mercedes by a fair margin. It's noted in the article, however, that Audi benefits from other R&D spending within VW Group.
Reuters mentions that BMW "trumpets its new 'i' series" and the new Mercedes CLA and GLA ranges are winning "rave reviews" as part of its argument that Audi's recent lack of technological innovation could hurt future sales. Those cars do pack tons of new technology, some of which are firsts for mainstream production cars. But last time we checked, the i3 could be causing BMW's stock to slide, the CLA isn't receiving the rave reviews that Reuters would have you believe and the GLA hasn't been reviewed yet.

BMW 2 Series, X5 get their M Performance parts on

BMW models come in a number of flavors, from their standard guises to M Sport variants and M Performance models to full-on M muscle machines. But if you want to pick and choose the degree to which you want your Bimmer upgraded along the path to M, BMW automaker offers its M Performance Parts line. The Bavarian automaker already offers these performance and stylistic add-ons for a number of models, and has now released new kits for both the 2 Series Coupe and the latest X5 crossover.
The catalog for the 2 Series includes an available lowered suspension kit, upgraded brakes, new alloys, carbon aero kit and interior trim enhancements. There's also a power kit available for the 220d model that squeezes out an extra 16 horsepower for a total of 200, and a limited-slip differential and exhaust silencer for the M235i.
Upgrades to the X5 crossover, meanwhile, also include a carbon aero kit and interior trim package. The X5 xDrive35i model also gets a power kit boosting output by 20 ponies to 326 hp and an exhaust silencer. Scope out the details in the pair of press releases below and the pair of high-resolution image galleries top and bottom.

BMW working on 2 Series Active Hybrid Tourer

The cover may have officially been pulled off the BMW 2 Series Active Tourer at the Geneva Motor Show, but BMW has apparently continued working on other variants behind closed doors. While at first glance this prototype looks like any other Active Tourer, the "Hybrid Test Vehicle" stickers on the passenger door and rear bumper give it away as something a little different.
Details about the hybrid Active Tourer are somewhat sketchy at the moment, but BMW indicated its likely direction for the electrified hatchback in the earlier Concept Active Tourer. It used a hybridized 1.5-liter turbocharged three-cylinder engine coupled with an electric motor with a total system output of 190 horsepower and 147 pound-feet of torque. The company claimed that it had a roughly 19-mile electric range and could hit 62 miles per hour in under 8 seconds. However, the Bavarian automaker hasn't said yet whether this powertrain would be used in the production version.
The internal combustion 2 Series Active Tourer is rumored to come to the US in 2015. Given the nearly complete look of the test car, the hybrid might not be too far behind.