Audi are said to delay certain technology projects in order to cut costs due to parent company’s financial issues as well as their own need to focus on electric and autonomous systems.

The Ingolstadt-based automaker will scale back its conventional car program in order to finalize a strategic shift towards green vehicle and digital services through 2025 as they can’t afford to fall behind their two main competitors, Mercedes-Benz and BMW.

Sources say that cutbacks are expected to affect next-generation tech projects which would have helped Audi clean up their image in the wake of VW’s emissions scandal. Among the projects that Audi will postpone is a test-track for self-driving vehicles as well as facilities to make batteries and concept cars.

An Audi spokesman stated that one postponement will involve a planned technology park at the company’s home in Ingolstadt, Germany – which is now on hold for the foreseeable future.

Evercore ISI analyst Arndt Ellinghorst told Autonews that there was still “room for improvement” at Audi in terms of cutting the costs of physical assets. “We welcome the fact that all parts of VW are looking to lower their excessively high costs.”

Despite these efforts, some analysts still feel that Audi invests more cash overall in property, plant and equipment than BMW and Mercedes.