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FACE THE CHANGE Go Electric Let’s talk about range. Surely anyone who wants to become a leading e-mobility services provider must have their own battery production? KAGERMANN In my view, the complete battery technology, in particular the battery cells, is the core competence. The battery is the critical factor for quality, costs, and performance. In the future, it will be just as crucial as the engine is today. It’s encouraging to see that Volkswagen is already producing battery packs in Salzgitter. If we look at battery cell production, on the other hand, we see a different picture. And yet this is a strategic factor. EICHHORN We have already been running a battery lab for decades – although we haven’t yet started mass production. Battery packs are undoubtedly an integral part of an EV. We produce them ourselves, for instance in Brunswick, or purchase them from suppliers. In-depth expertise about battery cells is a must. As a car manufacturer we need to understand how battery cells behave in the vehicle, even at a temperature of minus 15° Celsius. On the other hand, going into mass production is first and foremost a question of cost- effectiveness. The Volkswagen Group is not currently focusing exclusively on e-mobility, but rather on a drivetrain mix which also includes Euro 6 diesel engines and CNG powertrains. Is that half- hearted or clever? EICHHORN Above all, it is realistic and caters for the fact that, today, vehicles with internal combustion engines are genuine all-rounders. For buses and trucks, diesel is not only the most efficient solution, it’s also the cleanest – particularly for long-haul journeys. And as far as cars are concerned, our present-generation EA 288 TDI engines rank among the cleanest there are. We have got the upper hand when it comes to pollutant emissions – and it’s important to remember that the diesel engine has significant benefits as regards CO₂. The reason we are backing CNG is that we will soon be able to produce synthetic natural gas from sustainable sources. Audi operates a plant near Cloppenburg that converts wind power into synthetic methane. That makes CNG vehicles carbon neutral. I believe that in the foreseeable future we will have a drivetrain mix where electric drives take the place of the internal combustion engine. By 2025, one-quarter of the Learning from IT: Ex-SAP executive Henning Kagermann (left) believes software firms have the edge when it comes to teamwork. vehicles we sell will be pure electric models. And this also means that, by that time, we need a solid infrastructure to be able to produce 2.5 million vehicles. Obviously, drivetrains are important. But don’t car manufacturers also need to step on the gas when it comes to connectivity? There’s a software update for cell phones every few weeks. EICHHORN We can only follow that approach to a certain extent. Let’s say a cell phone has just been updated and then some of the features no longer function properly or the phone simply switches off. That’s nothing like as dangerous as it would be if the same thing were to happen in a car. When it comes to testing and validation, we are talking about a totally different scale. To what extent is connectivity redefining the mobility sector? KAGERMANN The challenge isn’t so much creating a link between the car and the internet. That’s easy. In my view, it is mobility platforms that 9

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