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Business

VW plans for a world after car ownership

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Business

VW plans for a world after car ownership

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00:00:01
>> VW shifting gears. Chief Executive Matthias Muller on Thursday setting out what he says is the company's biggest ever change in strategy. After the Diesel Gate scandal it's now eyeing a big move into electric vehicles. But, also planing for world after car ownership. VW says it'll become the norm to share self-driving cars that can be hailed when necessary.
00:00:24
Reuters correspondent Georgina Prodhan in Frankfurt was following the press briefing.>> This will be a massive transformation if Volkswagen manages to pull it off. It wants to become a leader in new mobility services, like ride-hailing, and car-sharing, and electric vehicles. It's calling it the biggest change process in its history.
00:00:42
And it's hard to argue with that.>> Making the vision reality will be expensive. VW saying it plans to invest double digit billions of euros by 2025. That could require the company to list its notoriously low profit margins, especially at its namesake Volkswagen brand. Analysts disappointed to see little detail today on how that might be done.
00:01:06
>> Underlying it though are some very ambitious cost cutting targets. And that's why we didn't hear too much detail today. Volkswagen needs to talk to the trade unions first and it will tell us more in November.>> Little update Thursday on Diesel Gate, the W still in negotiations with authorities on both sides of the Atlantic.
00:01:26
It's all ready set aside $18 billion to cover the cost of vehicle refits and legal settlements. Now the new strategy envisions up to 3 million electric vehicle sales per year within a decade. For those cars at least, emissions cheating won't be an issue.