Photo: Faraday Future
The story of Faraday Future is a sad one, but it also shows how a company that seemingly set off from a much better position than others (read Tesla) can be a lot less successful.
With backing from Chinese billionaire Jia Yueting and his LeEco empire, there was a moment when Faraday Future looked like the closest thing to a competitor that Tesla will get. The company was busy hiring people with experience in the industry, it spoke of a promising prototype and also had plans for a $1 billion plant in Nevada.
One by one, all these have fallen apart, and while a shortage of cash was probably the biggest reason behind Faraday Future's downturn, you can't help feel there was some bad management involved as well. Now, the company sits on a promising vehicle but has no money to build it with and no factory to build it in.
Recent scandals that led to the departure of the CFO - which also resulted in a lawsuit - suggest the crisis is far from over, but at least there's some good news as well for the ailing carmaker wannabe. A report from Chinese media claims that Tata Motors, the largest car manufacturer in India, is ready to invest $900 million in Faraday Future, potentially kickstarting a comeback.
The news claims the cash infusion represents the acquisition of 10 percent of Faraday Future shares, which places the evaluation of the entire company at a surprisingly high $9 billion. While we wouldn't say that's peanuts money for Tata Motors, it won't dent its budget either and what it gets in return might prove much more valuable.
Jaguar Land Rover is also under the tutelage of Tata Motors, and the British brand announced very ambitious plans for its presence in the EV segment. The Jaguar I-PACE is just around the corner, but it won't stop there. Perhaps not everyone is convinced about the design of Faraday Future's FF 91 crossover, but its drivetrain is definitely worth some attention.
In an attempt to grab some attention - and sway investors - Faraday Future took the prototype to Pikes Peak this year where it managed to set a new record for production EVs (though it's not technically a production car) despite having some technical problems.
The R&D cost to come up with this technology - not to mention the time it would take - probably convinced Tata Motors to make the payment. As for Faraday Future, it remains to be seen whether it continues to push for a market launch or will simply cut its losses, take the money and run.
One by one, all these have fallen apart, and while a shortage of cash was probably the biggest reason behind Faraday Future's downturn, you can't help feel there was some bad management involved as well. Now, the company sits on a promising vehicle but has no money to build it with and no factory to build it in.
Recent scandals that led to the departure of the CFO - which also resulted in a lawsuit - suggest the crisis is far from over, but at least there's some good news as well for the ailing carmaker wannabe. A report from Chinese media claims that Tata Motors, the largest car manufacturer in India, is ready to invest $900 million in Faraday Future, potentially kickstarting a comeback.
The news claims the cash infusion represents the acquisition of 10 percent of Faraday Future shares, which places the evaluation of the entire company at a surprisingly high $9 billion. While we wouldn't say that's peanuts money for Tata Motors, it won't dent its budget either and what it gets in return might prove much more valuable.
Jaguar Land Rover is also under the tutelage of Tata Motors, and the British brand announced very ambitious plans for its presence in the EV segment. The Jaguar I-PACE is just around the corner, but it won't stop there. Perhaps not everyone is convinced about the design of Faraday Future's FF 91 crossover, but its drivetrain is definitely worth some attention.
In an attempt to grab some attention - and sway investors - Faraday Future took the prototype to Pikes Peak this year where it managed to set a new record for production EVs (though it's not technically a production car) despite having some technical problems.
The R&D cost to come up with this technology - not to mention the time it would take - probably convinced Tata Motors to make the payment. As for Faraday Future, it remains to be seen whether it continues to push for a market launch or will simply cut its losses, take the money and run.
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