Hyperdrive
VW CEO Delivers a Wake-Up Call on Capital Markets Dilemma
- Rich valuations give automotive disruptors a funding edge
- Herbert Diess sees VW in ‘more difficult situation’ than 2018
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The disruptive threats Herbert Diess saw coming for big, incumbent automakers soon after he took over the top job at Volkswagen AG are playing out as predicted -- only faster and in more dramatic fashion.
In an interview, the chief executive officer said additional cost reductions and a speedier overhaul of the German industrial giant are vital to withstand new rivals with superior financial firepower. He’s been reflecting not only on trying to keep pace with Tesla Inc. but on the risk that Apple Inc. adds another mighty competitor with almost unlimited resources to the automotive arena.