Volkswagen is one of the market leaders when it comes to car technology. Their wonderful inventions including the likes of Bluemotion amongst others are one of the main reasons why the company made such a tremendous profit last year.

Factory technology

Volkswagen also heavily invest in their factory technology helping to make their production of cars quicker and more efficient. The new technology in question will include that of developing 3.5 million Volkswagen vehicles. This will cut the production costs by an estimated 20 per cent. Assembly times will be reduced by 30 per cent it has been estimated.  It is expected to firstly roll out into Volkswagen’s factory located in Wolfsburg, Zwickau as well as Ingolstadt. The whole cost of developing such technology has been estimated at €15 billion.

Volkswagen’s pursuit of staying ahead with car and factory technology will essentially that this year they will not match record profits made in 2011, even if sales are expected to beat last year record.

Stay still for now then move forward in 2013

Operating profit last year was recorded at a staggering £9.4 billion. Volkswagen would like to at least match this figure in 2012 and then progress to adding to that figure by 2013. It is hoped technology investments will eventually pay dividends by then. Although profits may not increase by the end of the year, the company’s revenue may do.


It is ultimately essential that Volkswagen make back the money in which they have spent for start-up and initialisation costs for the newly introduced car technology. Steps have already been taken by the Volkswagen Group in that respect. When producing new vehicles there will a generalisation of platforms and parts amongst similar vehicles, meaning millions can be saved. In terms of compact cars, the axels and the chassis used will be amongst the parts shared.


We have already discussed the MQB (Translated to Modular Transverse Matrix). This is a type of platform sharing that Volkswagen has introduced in order to save costs. It has already been installed into the new generation of the Audi A3. Expect to hear more about it from us in other Volkswagen Group vehicles. Around three quarter of Volkswagen Group vehicles are expected to eventually adopt this technology.

Will Volkswagen reach their goal of becoming the world’s biggest car supplier by 2018?