• Porsche’s new CEO met with Audi’s leadership within days of taking the role.
  • Next Audi TT will be an EV based on the next-generation 718 Boxster platform.
  • Porsche is targeting up to 10 percent margins by using more Audi architectures.

Porsche and Audi have collaborated numerous times over the decades, but the relationship has often been fraught as engineers and executives butted heads over shared goals. Now, the two car companies are planning to deepen their ties, not just to cut costs but also to help ensure their survival.

The two companies are under increased pressure from declining demand, tariffs, and product strategy mistakes. Porsche has had a particularly trying time after backing away from its plan to target 80 percent EV sales by 2030, and amid a collapse in demand for its models in China.

Read: Porsche Profit Crash Suddenly Makes A New Sports Car Above The 911 Likely

Industry veteran Michael Leiters was recently named as Porsche’s new chief executive, and according to Auto News, he traveled to Audi’s headquarters to meet with boss Gernot Döllner within days. According to Leiters, “Audi is a key partner for us,” noting that “we want to leverage shared potential even more.”

More Shared Platforms

 Porsche Once Fought Audi Over A Shared Platform, Now It Wants More Of Them
Michael Leiters

Porsche is aiming to restore margins to as much as 10 percent as it shifts its focus back to combustion-powered vehicles, and hopes to do so by using more Audi platforms and parts. For example, the next-generation Macan – which will include ICE models – will share the same Premium Platform Combustion (PPC) architecture as the Audi Q5. Porsche also still has plans for an SUV to sit above the Cayenne, currently known as the K1, which itself will be derived from the upcoming Audi Q9.

The future of Porsche’s planned electric 718 Boxster and Cayman models is also important for Audi. While Porsche has backed away from its initial plans to sell these models as EVs only, switching to a multi-energy plan with combustion engines included, they’ll offer the platform for the next-generation Audi TT. The new TT will be sold exclusively as an EV with batteries placed behind the driver to allow for a lower seating position and mid-engined driving dynamics.

German Frictions

Porsche and Audi worked together on the Premium Platform Electric (PPE) underpinnings used by models like the Macan Electric, A6 e-tron, and Q6 e-tron, but according to reports, there was fierce internal rivalry between the companies and disputes over development leadership, forcing VW boss Oliver Blume to step in and act as mediator. Neither Porsche nor Audi can afford to have disputes like these moving forward.