I Was Wrong About Faraday Future’s Pricing. Or Was I?

18 Jan

In world of clickbait and fake news, it’s essential that any writer who aspires to credibility admit a mistake. I made a mistake. I based my recent op-ed “Faraday Future’s Killer $290,000 Feature Revealed” on a quote from Faraday backer Jia Yueting to a Chinese news outlet. In analyzing the $290k figure, I used US market pricing for competing models, thereby comparing apples with oranges.

Faraday deserves a fair shake. Let’s compare apples with apples.

Jia claimed the FF-91 would cost “less than ¥2,000,000”, which as of this writing is approximately $293,000. Faraday has confirmed that this figure includes Chinese market taxes and import duties. They also said the FF-91 “will be priced competitively in the premium electric vehicle segment.”

Chinese market taxes and import duties vary, but generously assuming a high end of 40% for a luxury vehicle like the FF-91, the U.S. market price would be around $175,800. Let’s place the Faraday among theoretical competitors one more time: Continue reading

Faraday Future’s Killer $290,000 Feature Revealed

16 Jan

Faraday Future

The saga of Faraday Future could fill a book, but every story needs an ending. Here’s one: Jia Yueting, CEO of LeEco and Faraday’s primary investor, just leaked the price of the FF-91, their first production vehicle.

It is $290,000.

I’ve said all along that Faraday’s problem isn’t their financing, it’s the car. I was wrong. It’s not just the car. It’s the management that demanded this Chinese Homer, a cost-no-object vehicle incorporating a laundry list of every conceivable feature except common sense. That decision could only have come from one man: Jia Yueting himself. In no universe would any of the auto industry veterans he hired approve of this monstrosity. Continue reading