Could Lucid be up for sale?
Email This Page
Your email was sent successfully.
Electric car startup Faraday Future has made the headlines repeatedly in recent months, albeit for all the wrong reasons.
Given the lack of news concerning rival electric car startup Lucid, one might have assumed it’s all smooth sailing at the Silicon Valley-based company. That may not be the case, however.
Lucid needs to raise $700 million to set up its plant for the Air luxury sedan due in 2019, and it is currently in talks with potential investors, Chief Technology Officer Peter Rawlinson confirmed during April’s 2017 New York auto show.
But Bloomberg, citing people familiar with the matter, is reporting that a sale of the company is on the table after Lucid approached Ford about a possible takeover and was turned down. One of the people also said that Ford is still open to the possibility of a deal further down the road.
Ford has fallen behind the competition when it comes to electric cars, with its first battery-powered car with a usable range, an SUV with 300 miles of range, not due until 2020. The automaker in late 2015 committed $4.5 billion over five years to develop electric cars.
Acquiring Lucid could save Ford not only time but also big bucks by catapulting it to the forefront of the electric car world. Lucid’s Air is promised to have as much as 1,000 horsepower and 400 miles of range in top-level trim. A prototype was even clocked at 235 mph.
Lucid has also been developing self-driving technology, another area Ford is committed. Ford aims to have a Level 4 self-driving car ready by 2021, and just in February the automaker said it was investing $1 billion in Argo AI, a startup formed by ex-Google and Uber executives that is developing self-driving technology.
Stay tuned for an update.