While the Volkswagen group is in full discussion to part ways with Bugatti, Lamborghini and Ducati, the brand's plans have been put on standby pending a decision.
Bugatti is going to be sold! We do not yet know when or how much, but we should not be long in being informed. Although a decision is not expected until next month, it seems that the strategy to follow is already having an impact on the models to come.
Speaking to Bloomberg, Bugatti chairman Stephan Winkelmann said the brand had "talked about a second model" but it was now "stuck due to the coronavirus crisis". He added that the company was no longer talking about what was to come.
Although Winkelmann blames the pandemic, this is not the only problem the Volkswagen Group is facing. The resulting economic slowdown has pushed companies to cut costs while facing the obligation to invest billions in the development of electric vehicles.
An electric Bugatti?
The development of electric vehicles is easy to justify for brands like Audi and Volkswagen, but more difficult for niche automakers who only sell a handful of models per year. Of course, if they don't switch to electric, they could potentially be banned in key markets such as California, which stops selling thermal vehicles by 2035.
Despite these pressures, Winkelmann said Bugatti is on track to deliver record revenue this year and has a strong sales book already 70-80% full for 2021. Given this, the immediate future of the company looks promising, but clouds are looming on the horizon.
A decision on Bugatti's future is expected in November, but reports suggest Volkswagen is considering selling the brand to Rimac Automobili. Winkelmann declined to comment on these rumors, but if the brand were to be bought by Rimac, stopping development is probably not a bad idea since the Croatian firm could well transform Bugatti into a specialist in electric hypercar.