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Company History

Audi History: Founding, Growth & Key Milestones

Founded 1909 in Zwickau, Germany

When was Audi founded?

Audi was founded in 1909 in Zwickau, Germany by August Horch, making it 117 years old.

Founded
1909
Founding place
Zwickau, Germany
Founders
August Horch
Headquarters today
Ingolstadt, Bavaria, Germany
Milestones documented
20 (1909–2026)
Current CEO
Gernot Döllner
Acquisitions
4
YearEvent
1909Founding in Zwickau
1910The Audi name is registered
1932Auto Union AG is formed
1949Auto Union is re-established in Ingolstadt
1958Daimler-Benz takes control
1965Volkswagen takes over and the Audi name returns
1968The Audi 100 is developed without approval
1969Merger with NSU
1980quattro all-wheel drive is unveiled
1985The company is renamed AUDI AG
1994A8 introduces the aluminium Space Frame
1998Lamborghini is acquired
2000The Le Mans run begins
2015Diesel emissions scandal reaches Audi's V6 TDI
2018An ~$904 million (800 million euro) order and a CEO resignation
2020Volkswagen buys out the last Audi shareholders
2023Gernot Döllner becomes CEO
2024First Premium Platform Electric model
2025Restructuring agreement and a China-only brand
2026Formula 1 debut
Where was Audi founded?
Audi was founded in Zwickau, Germany in 1909. wikidata.org
Who founded Audi?
Audi was founded by August Horch.
When did Audi start?
Audi was founded in 1909.
How old is Audi?
Audi is 117 years old as of 2026.

Founding Story

August Horch trained at the Technical Academy in Mittweida and ran motor vehicle production as operations manager at Carl Benz's company in Mannheim before founding A. Horch & Cie. in Cologne on 14 November 1899. He moved the business to Reichenbach in Saxony in 1902 and to Zwickau in 1904, and left it in 1909 after disagreements with his board. He immediately started a second car company in the same town, but was barred from trading under his own surname. By the account Audi still tells, the son of a business partner was doing Latin homework in the room where the naming question was being argued and pointed out that Horch means listen in German, so the name could simply be translated into Latin: Audi. Audi Automobilwerke GmbH Zwickau was registered in 1910.

Founders

August Horch

Audi does not begin with a single founding moment but with a corporate split and a forced rename. August Horch, one of Germany's automotive pioneers, founded A. Horch & Cie. in Cologne on 14 November 1899 after working as operations manager for motor vehicle production at Carl Benz's company in Mannheim. He moved the firm to Reichenbach in Saxony in 1902, registered it as a joint-stock company and relocated to Zwickau in 1904, and left in 1909 after disagreements with his board. He immediately started a second car company in Zwickau, but was legally barred from trading under his own surname. By the account Audi still tells, the son of a business partner was doing Latin homework in the room where the naming question was being argued and pointed out that Horch means listen in German, so the name could be translated into Latin: Audi. Audi Automobilwerke GmbH Zwickau was registered in 1910, and Audi cars won the Austrian Alpine Rally three years running from 1912 with the Type C. On 29 June 1932, at the initiative of Saxony's state bank, Audi merged with DKW, Horch and the car division of Wanderer Werke to form Auto Union AG, then the second largest motor manufacturer in Germany. The four interlocking rings on today's Audi grilles stand for those four companies. August Horch was born in 1868.

Key Milestones

1909

Founding in Zwickau

August Horch registers a new car company in Zwickau after leaving the firm that carried his own name, laying the foundation of the business that becomes Audi.

Source: audi.com
1910

The Audi name is registered

Barred by a court from trading under his surname, Horch registers Audi Automobilwerke GmbH Zwickau, using the Latin imperative that translates the German word Horch, meaning listen.

Source: audi.com
1932

Auto Union AG is formed

On 29 June 1932, at the initiative of Saxony's state bank, Audi, DKW, Horch and the car division of Wanderer Werke merge into Auto Union AG, then the second largest motor manufacturer in Germany. The four interlocking rings stand for the four companies.

Source: audi.com
1949

Auto Union is re-established in Ingolstadt

After the Saxon plants are expropriated by the Soviet occupation authorities and Auto Union AG is struck from the Chemnitz commercial register in 1948, managers who fled west establish Auto Union GmbH in Ingolstadt on 3 September 1949 and begin building DKW vans and motorcycles.

Source: audi.com
1958

Daimler-Benz takes control

Daimler-Benz AG acquires 88 percent of Auto Union GmbH in April 1958 and makes it a wholly owned subsidiary the following year.

Source: audi.com
1965

Volkswagen takes over and the Audi name returns

Volkswagenwerk AG takes over Auto Union in 1965. The same year the company launches its first post-war model with a four-stroke engine, the F103 series, under the revived Audi name.

Source: audi.com
1968

The Audi 100 is developed without approval

Development chief Ludwig Kraus designs a larger car in secret, against the wishes of Volkswagen management. Presented in Ingolstadt in November 1968 as the Audi 100, its success secures Auto Union's independence inside the Volkswagen Group.

Source: audi.com
1969

Merger with NSU

Auto Union GmbH and NSU merge to form AUDI NSU AUTO UNION AG within the Volkswagen Group.

Source: audi.com
1980

quattro all-wheel drive is unveiled

The Audi quattro, with permanent all-wheel drive and two manually lockable differentials, is shown at the Geneva Motor Show in March 1980. It goes on to win the World Rally Championship manufacturers' title in 1982 and both titles in 1984.

Source: audi.com
1985

The company is renamed AUDI AG

AUDI NSU AUTO UNION AG becomes AUDI AG, with its head office in Ingolstadt, and sales responsibility moves from Volkswagen to Audi as part of the move upmarket.

Source: audi.com
1994

A8 introduces the aluminium Space Frame

Audi enters the luxury segment with the A8, the first volume production car built on the aluminium Audi Space Frame.

Source: audi.com
1998

Lamborghini is acquired

Audi acquires Automobili Lamborghini S.p.A. on 10 July 1998 after learning through an engine enquiry that the brand was for sale. Press reports at the time put the price at about 110 million US dollars.

Source: volkswagen-group.com
2000

The Le Mans run begins

Audi takes the first of 13 wins at the 24 Hours of Le Mans between 2000 and 2014, including the first victory for a diesel car with the R10 TDI and later wins with the R18 e-tron quattro hybrid.

Source: audi.com
2015

Diesel emissions scandal reaches Audi's V6 TDI

United States regulators find defeat-device software in the 3.0-litre V6 TDI engine family developed by Audi and fitted to Volkswagen, Audi and Porsche models. A settlement worth at least 1.2 billion dollars covering about 78,000 vehicles receives final approval in May 2017.

Source: ftc.gov
2018

An ~$904 million (800 million euro) order and a CEO resignation

Munich II prosecutors impose an ~$904 million (800 million euro) administrative order on AUDI AG over the diesel engines, and Audi accepts it. CEO Rupert Stadler resigns the same year after being arrested; he is convicted of fraud by negligence in 2023.

Source: bbc.co.uk
2020

Volkswagen buys out the last Audi shareholders

Volkswagen AG, holding about 99.64 percent of the share capital, carries out a squeeze-out of the remaining 0.36 percent of AUDI AG shares, ending Audi's stock market listing.

Source: volkswagen-group.com
2023

Gernot Döllner becomes CEO

The Supervisory Board appoints Gernot Döllner chairman of the Board of Management effective 1 September 2023, succeeding Markus Duesmann. He is confirmed for a further five years in autumn 2025.

Source: audi.com
2024

First Premium Platform Electric model

The Audi Q6 e-tron, the first production model on the 800-volt Premium Platform Electric developed with Porsche, reaches the market and becomes the first fully electric Audi built in Ingolstadt.

Source: audi.com
2025

Restructuring agreement and a China-only brand

Audi and its works council sign an agreement for the future that removes up to 6,000 German jobs by 2027 while ruling out operational layoffs to the end of 2033. The first model of the China-exclusive AUDI brand, the E5 Sportback, goes on sale, and fully electric deliveries reach a record 223,032 cars.

Source: audi.com
2026

Formula 1 debut

Audi enters Formula 1 as the Audi Revolut F1 Team, racing from the season opener in Australia on 8 March 2026 with a power unit developed at its motorsport site in Neuburg.

Source: audi.com

Major Acquisitions

Automobili Lamborghini S.p.A.

1998

Volkswagen learned that Lamborghini was available when its owners approached Audi for an engine for a prototype, and Automobili Lamborghini S.p.A. was acquired on 10 July 1998, with Audi given operational responsibility. The aim was a halo brand for the group's premium end and an outlet for shared high-performance engineering. Press reports at the time put the price at about 110 million US dollars; Audi did not confirm a figure.

Ducati Motor Holding S.p.A.

2012

The Volkswagen Group acquired the Italian premium motorcycle maker in 2012, with operational responsibility assigned to Audi, to extend the group's premium positioning into two wheels and share engineering in high-performance combustion engines, lightweight materials and rider assistance electronics.

Italdesign Giugiaro S.p.A.

2010

On 9 August 2010 Audi took a 90.1 percent stake in the Turin design and engineering house Italdesign Giugiaro, including the brand rights and patents, through its Italian subsidiary Lamborghini Holding. The aim was to bring styling, rapid prototyping and low-volume engineering capacity inside the group rather than buying it from third parties. Audi acquired the remaining 9.9 percent on 28 June 2015, when Giorgetto Giugiaro left the firm. Neither price was disclosed.

Sauber Group

2024

Audi announced its Formula 1 entry in 2022, took an initial stake in the Swiss Sauber team in 2023, and in March 2024 said it would take a 100 percent stake in the Sauber Group, turning the Hinwil operation into its own works team. The purpose was to field a factory entry under the 2026 power unit rules, with the engine built at Audi's motorsport site in Neuburg. The price was not disclosed.

Keep researching Audi

Audi Company History FAQ

What were the major eras in Audi's history from 1909 to 1965?

Founded in 1909 by August Horch, Audi merged into Auto Union in 1932 (creating the four rings), dominated 1930s Grand Prix racing with Silver Arrows, relocated to Ingolstadt after WWII, and was revived by Volkswagen in 1965.

How did the 1980 Audi Quattro change global automotive engineering and rally racing?

Unveiled at the 1980 Geneva Motor Show, the permanent all-wheel-drive Audi Quattro dominated the World Rally Championship (winning titles with Michèle Mouton, Hannu Mikkola, Stig Blomqvist, and Walter Röhrl) and proved AWD superiority on road cars.

What was the landmark aerodynamic breakthrough of the 1982 Audi 100 (C3)?

Engineered under Ferdinand Piëch, the 1982 Audi 100 featured flush glass and a record-low drag coefficient of 0.30, transforming automotive aerodynamic design and winning the European Car of the Year award.

When was the Audi A8 luxury flagship introduced with the aluminum Space Frame?

In 1994, Audi launched the first-generation Audi A8 luxury sedan, pioneering the 100% aluminum Audi Space Frame (ASF) unibody to directly challenge the Mercedes-Benz S-Class and BMW 7 Series.

How did Audi dominate the 24 Hours of Le Mans endurance race between 2000 and 2014?

Audi won the prestigious 24 Hours of Le Mans a record 13 times in 15 years, pioneering direct fuel injection (TFSI in R8), Le Mans diesel racing (TDI in R10), and hybrid all-wheel-drive (e-tron quattro in R18).

When did Audi launch the mid-engine R8 supercar?

In 2006, Audi introduced the high-performance R8 mid-engine supercar (sharing platform architecture with the Lamborghini Gallardo/Huracán), featuring full-LED headlights and exposed carbon fiber sideblades, elevating Audi's global supercar status.

When did Audi launch its first mass-production electric vehicle (Audi e-tron)?

In September 2018, Audi unveiled the fully electric Audi e-tron SUV (later renamed Q8 e-tron) in San Francisco, featuring virtual exterior side mirrors and dual-motor electric all-wheel drive, launching Audi's EV transition.

What are Audi's primary strategic priorities across electrification and motorsport in 2025 and beyond?

Audi is running out a compressed model offensive: Premium Platform Electric cars such as the Q6 e-tron and A6 e-tron, the Q9 flagship SUV and A2 e-tron family in 2026, and a Formula 1 works entry that began in March 2026. It dropped its fixed 2033 combustion-engine end date in June 2025 and now expects combustion and plug-in hybrid models to stay in the range for roughly another seven to ten years.

What do the four rings on Audi mean?

The iconic four interconnected rings represent the massive 1932 merger of four independent German automakers (Audi, DKW, Horch, and Wanderer) to form Auto Union.

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