Its coming was never confirmed, but reports in the past year have pointed to plans for a production version of Audi's e-tron Detroit Concept. The new model was rumoured to be named the R4.
Now, a new report by German magazine Auto Motor und Sport suggests those plans have been thrown in the round file.
While the e-tron Detroit Concept is powered by an all-electric arrangement - making it less of a direct rival for the petrol and diesel-powered TT - the production R4 was expected to utilise Volkswagen's 2.0 litre turbocharged petrol engine.
If this latest report is to be believed, it is unclear what the future holds for Audi's Quattro concept, which was also believed to be headed for a market debut in the next few years.
The cuts continue, with the report adding that Volkswagen's BlueSport concept - with which the R4 and a similar Porsche offering were expected to share a platform - has also been cancelled due to cost concerns, both in development and in the showroom.
In Porsche form, the BlueSport platform was expected to help Porsche become a bigger player in Volkswagen's aim to be the world's top carmaker by 2018.
Audi's rumoured next-generation A2 is also understood to be on hold, with the Volkswagen Group preferring to put the gap-filling A2 on a shared platform rather than develop unique architecture.