Audi considering mid-engine layout for next-gen TT?

Audi's next-gen TT may be getting a significant re-design, with a mid-engine placement if the swirling speculation around the interwebs is true. Now in its second-generation, the TT sits on Volkswagen's PQ35 platform (shared with the Volkswagen Eos and Tiguan) meaning customers are offered a front-engine chassis with a front- or all-wheel drive powertrain. When stacked against the front-engine BMW Z4 and mid-engine Porsche Boxster/Cayman, the current Audi TT holds its own... but that isn't keeping Ingolstadt engineers content. They realize that if they switch to a mid-engine design, like the one found on the amazing Audi R8, balance and handling will improve. Plus, Audi's quattro all-wheel drive system can be tailored with even more rearward torque bias. The third-gen TT, however, isn't set to debut until 2013. With Porsche moving closer to purchasing Volkswagen, a long lead may work to Audi's advantage as they'll have to convince the automaker from Stuttgart that a mid-engine TT won't chew into Boxster/Cayman sales.