#R7d

According to sources who spoke to Reuters, Volkswagen Group has more interest in pursuing technological relationships with new partners, especially Ford, than continuing on with Audi as its main development hub. At least for a while.

VW CEO Herbert Diess will reportedly unveil a 10-year plan to his company’s board later this month, part of an efficiency initiative born of diesel fines and the need to stay ahead of rivals. While the move would lessen Audi’s importance in the group, VW would stand to save big on R&D costs. Meanwhile, Ford might get access to VW’s electric vehicle architecture.

Volkswagen has a very steep, very tough hill to climb, and Volkswagen’s incoming chairman said the emissions scandal that affects 11 million cars is “a threat to the firm’s viability albeit a surmountable one,” reports Reuters.

Dieter Pötsch, who will soon take the chairman spot at Volkswagen Group AG, described the challenges ahead as an “existence-threatening crisis for the company” during a corporate meeting with employees in Wolfsburg, Germany’s Welt am Sonntag reported.

In order to take on those challenges, Volkswagen needs to fund the repairs of some 11 million vehicles, meaning cuts may be made to the company’s 100 billion euro R&D investment budget that was expected to last until 2018.

A cut in R&D spending is seen as a way to avoid a downgrade of the company’s credit ratings, a source close to the company’s board told Reuters.