What it seems VW has a goal to overtake Toyota in US market ... Therefore they started to offer US-specific products (like eg, that failed van based on was it Chrysler?), and will do it even more: they announced they would build a factory in US, where a US specific sedan will be built. Passat won't be sold in US market, but that new car (larger than Passat) will be sold there instead. And they are developing a new Phaeton - which I guess - will be larger than that US-specific VW new sedan. Meaning: Phaeton will indeed be a LARGE car, and perhaps also priced above A8, 7er , and even s-class. Not need to mention LS, XJ & Panamera.
Again they are doing the same mistake ... VW can't offer products in premium segments. VAG has enough premium brands in portfolio to do that job (Audi, Porsche, Bentley, Bugatti) - absolutely no need for VW to be there as well.
But ... That's Piech's obsession ... and his warrior (Martin Winterkorn) is the CEO of VAG (and now also the Porsche SE !!!) ... so be sure Piech's dreams will be realized again. Another super-duper Bugatti model, more "premium" VWs, Audi sports cars over Porsche sports cars etc.
Remember the Piech's move: when he put VW, Skoda, Bentley & Bugatti in one box (premium box), and Audi, Lamborghini & Seat in the other box (sporty box). What a delusion!
Sorry to say that ... but Piech is like Adolf H. ... a fierce mad man with strange grandiose visions & goals, with oddly huge charisma attracting oddly a lot followers. And with this move now (Piech's victory over Porsche clan) is analog to H's appointment as Chancellor. Piech EGO is now bigger than universe, and he will not be stopped. Until the bitter end. I hope at least the Qataris will be bold enough to stop him. Otherwise Piech will do to VAG what Schrempp did to DaimlerBenz: transforming a mighty one into a crippled one.