Technology Diversity: One Size Fits None
Hybrid powertrains are not a single technology but a family of
solutions. Mild hybrids, plug-in hybrids, and range-extended
electric vehicles (EREV/REX) all address different market con-
ditions. Dedicated hybrid engines (DHE) already demonstrate
brake thermal efficiencies around 45 % in hybrid or range
extender applications, maximizing synergies between com-
bustion and electrification. Dedicated hybrid transmissions
(DHT) as the combining element between combustion engine
and electric powertrain are delivering a high degree of electric
driving capability while offering extended range and perfor-
mance in combination with DHE.
At the same time, modular multi-purpose platforms allow
OEMs to integrate hybrid solutions into both ICE and BEV
architectures, ensuring production flexibility. Range extenders
are gaining new momentum, particularly in China where they
more than double vehicle range while requiring only half the
battery size of a pure BEV.
Customer Challenges: Complexity and Cost
OEMs are facing rising complexity. Multiple possible pow-
ertrain topologies and component combinations must be
assessed in parallel. Development speed and cost pressure
are increasing, while quality and regulatory robustness remain
non-negotiable. Traditional silo-based optimization of sub-
systems is no longer sufficient. Customers need integrated,
virtualized development methods that shorten time to market
and reduce reliance on physical prototypes.
AVL’s Approach: Digital First
AVL is responding with a “digital first” approach backed by de-
cades of engineering experience in ICE, hybrid, and electrified
powertrains. As one of the few companies covering the entire
spectrum from concept to calibration, AVL combines deep
domain know-how with a powerful toolchain.
Using Software-in-the-Loop (SiL), Hardware-in-the-Loop (HiL),
and Model-in-the-Loop (MiL), AVL enables early validation
of architectures, components, and operation strategies. The
AVL Powertrain System Optimizer (PSO) can evaluate more
than 100,000 powertrain combinations within just four weeks,
balancing cost, emissions, efficiency, and performance.
This avoids silo thinking, creates a single source of truth for
development teams by applying (model-based) systems
engineering principles, and ensures that integration issues are
identified long before hardware is built.
By combining advanced simulation with intelligent automa-
tion, AVL reduces validation and verification costs by up to
30 % and shortens development time by around 20 %. These
savings are crucial in a market where both time to market and
quality standards are decisive.
Key Enablers: Efficiency, Modularity, Integration
High-efficiency combustion engines remain crucial, especial-
ly in hybrid contexts. Dedicated hybrid engines (DHE) push
thermal efficiency toward new limits. For range extender ap-
plications, modular designs allow battery downsizing without
compromising real-world range.
Predictive operation strategies, developed and validated virtu-
ally, ensure emission robustness and optimize efficiency under
all conditions. System-level integration – covering ICE, EDU
or transmission, battery, thermal management, and NVH – is
essential to achieve seamless performance.
Proof in Practice: From Premium to Volume
AVL’s expertise is proven in demanding customer projects
such as the Mercedes-AMG S 63 E PERFORMANCE, the most
powerful S-Class ever built, with 590 kW and 1,430 Nm com-
bined torque. Its P3 hybrid architecture, pairing a 4.0-liter V8
biturbo with a rear-axle electric motor, had to deliver extreme
performance while meeting global emission and comfort
standards.
AVL supported the program across multiple domains: cali-
bration of the hybrid powertrain, development of the hybrid
operation strategy, optimization of thermal management,
and definition and validation of the OBD system. More than
130,000 kilometers were simulated in multi-vECU SiL environ-
ments, covering virtually every driving scenario and identifying
issues long before physical prototypes were available. This re-
duced the number of prototypes required and made it possible
to launch the vehicle worldwide within only 14 months. At the
same time, the vehicle achieved compliance with European
RDE, China 6b, and ULEV 50 regulations in the United States.
The project illustrates AVL’s ability to deliver under tight
schedules, manage complex system integration, and provide
OEMs with the confidence to launch sophisticated hybrid
powertrains in multiple markets. With AVL’s mix of advanced
simulation, high-efficiency engine concepts, and modular
system solutions, OEMs can craft the right hybrid strategy
for each market. The outcome is faster development, reliable
compliance, and scalable solutions for global application.
“Hybrids and range
extenders should not
be seen as competitors,
but rather as important
contributors to
accelerating global
electrification.”
CHRISTIAN MARTIN
Global Director Product and Business Development, ICE-Based
Powertrain Incl. Hybrid for Passenger Car Powertrains
2025