In Brief
The head of Bugatti, Mate Rimac, proposes a strategic break for European car brands in the face of Chinese competition: stop chasing technology, screens, and ever more features, and return to the luxuries that truly matter—noble materials and simple, tactile controls. He urges automakers to lean into a niche, high-end offering, akin to Swiss watchmakers. This approach would aim to capture the bulk of profits with restrained production, rather than trying to compete with the Chinese on their own terms. He says this is the key to securing a future for European luxury brands within the automotive sector.
On Instagram, the clip lasts only a few minutes, but the message lands with force. A prominent Bugatti executive explains how, in his view, he can save Europe’s car brands. And his recipe rests on one radical idea: stop chasing screen technology. And stop chasing the race to charging speed against Chinese manufacturers. For someone who runs Bugatti, the Rimac Group, and Bugatti Rimac, the take is hardly subtle.
In this video, filmed aboard a vintage Rolls-Royce, the executive describes a European auto industry he sees as struggling—obsessed with consultants and with how to answer the Chinese offensive. He rails against the fashion for giant screens, the disappearance of physical buttons, and the escalation of EV charging times. Then he promises to “help them save” money by offering a completely different path. Behind this blunt talk is, plainly, Mate Rimac’s vision for the future of Europe’s brands, a plan that echoes Swiss luxury-watch logic more than anything else.
Less Screen Time, More Leather: The Bugatti Boss’s Bold Plan
In the video, Mate Rimac lays out his case with no sugarcoating: “The European automotive industry is in trouble, and now they’re running around paying tens of millions or hundreds of millions to consultants to get out of it. I’ll save you that money. What you must not do is try to do what everyone else does—and what the Chinese are exceptionally good at beating you at—the biggest screens, fewer buttons, faster charging times. Don’t do that. But I won’t just tell you what not to do; I’ll tell you what to do. Just do this. This… this… this… this… Take leather, real materials, real things. Things like this. And yes, you can say, ‘Well, it’s a luxury car; it’s not for everyone.’ They’re supposed to make a car for everyone.’ That’s where we’re not in agreement. I think you can’t do that. We must find our niche, just like the Swiss did with watchmaking. They don’t produce a watch for everyone, but that’s where the profits lie. They produce only about 5% of the world’s watches, but capture 90% of watch profits. It’s either that, or—I think—there won’t be a future, because it will be very hard to outdo the Chinese by doing the same thing they’re trying to do. There you go; I’ve just saved you a lot of money.”
As he speaks, Mate Rimac taps the wood veneer and leather of this vintage Rolls-Royce to illustrate what he calls the “real substance”. His message to European brands is blunt: rather than fighting over giant screens and overactive electronics, they should return to tangible luxury built from noble materials and straightforward, robust controls—including physical buttons. He accepts the idea that these cars won’t appeal to everyone and that the brand may have to court a smaller, but wealthier, clientele—but it’s a price he says is worth paying.
A European Auto Industry Inspired by Swiss Watchmaking?
For Mate Rimac, the Swiss watch analogy serves as a compass. In his view, Swiss watchmakers don’t produce a large share of the world’s watches, but they capture the lion’s share of profits in the sector. He urges European luxury brands to follow that playbook: stop striving to build a car for every potential customer, and instead cultivate a strong identity, an exceptionally high level of craftsmanship, and an experience that feels truly special. His warning is clear: trying to outdo the Chinese on their home turf of technology and connectivity may be a near-impossible challenge.
That raises a question that runs through the piece: how far can such a strategy extend for Europe’s large automotive groups, whose sales include family SUVs, sedans, and high-volume compact models? Embracing Rimac’s approach would, for a portion of the market, mean fewer screens at the top of the dashboard and more emphasis on sustainable materials, simpler, more intuitive interfaces, and tougher, more tactile controls. And that would directly touch ordinary European drivers, who have grown accustomed to each new generation of cars bringing an ever-widening array of screens and connected features.
Comparative Table
| Share of global volume | Share of global profits (Swiss watchmaking) |
|---|---|
| 5% | 90% |
Key Takeaways
- Mate Rimac advocates a return to tangible luxury for European cars.
- He warns against chasing screen tech and aggressive electronics in the face of Chinese competition.
- The proposed approach draws on Swiss watchmaking: low volume, majority of profits.
- The plan targets a high-end market, not a mass audience.
- Emphasis on real materials, high-end finishing, and physical controls.
- Implementing this vision would require rethinking how European automakers design and market traditional luxury vehicles.
FAQ
What is the radical solution proposed by the Bugatti boss?
He urges abandoning the race for screens and technology to focus on noble materials and an authentic luxury experience.
Why does Mate Rimac advise against directly challenging Chinese brands?
He believes it would be exceedingly difficult to beat the Chinese on screen technology and charging times, advocating instead for an approach centered on traditional luxury.
How does the Swiss watchmaking example inspire this strategy?
Swiss watchmaking accounts for a small share of world watches but captures the vast majority of sector profits through premium positioning.
Is this vision aimed at every segment of the automotive market?
No — it targets a niche market willing to pay a premium for a superior experience and premium materials.
What changes would this strategy require for European cars?
Fewer screens and connected features, more durable materials, and simpler, more robust controls.
