ignition switch
Yup, its the ignition switch; happen to me about 1 month ago. Bought the replacement switch for $35 at an Audi dealer. Took me a couple hours; its a DIY, easier if you are small and flexible (need to replace from under the dash). Most of my difficulty was reinstalling the air duct, had trouble aligning both sides and snapping it back in place. Took alot of patience.
Search this site for ignition switch, youll find very good instructions.
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