An axle assembly with a motor, a differential assembly, a housing, a transmission and a reduction gearset. The transmission has a first and second planetary gearsets that have associated (i.e., first and second) ring gears, planet carriers and sun gears. The first planet carrier is coupled to a differential carrier of the differential assembly for common rotation. The second ring gear is non-rotatably coupled to the housing. The second planet carrier is coupled to the second differential output for common rotation. The second sun gear is coupled to the first sun gear for common rotation. The reduction gearset is disposed between an output shaft of the motor and the first ring gear and includes a first gear, which is coupled to the output shaft for rotation therewith, and a second gear that is coupled to the first ring gear for rotation therewith.