Foxconn, one of the leading makers of iPhones for Apple, has taken another step in expanding its nascent electric vehicle (EV) ambitions by investing up to US$170mln (£147.8m) in US electric truck developer Lordstown Motors Corp and unveiling a new 'build your own EV' model.
Lordstown on Tuesday reported its third-quarter earnings and said it has started commercial production of its first vehicle, the Endurance pickup truck at the Foxconn Ohio assembly plant "at a very slow rate".
Taiwan-based Foxconn is providing lifting its stake in Lordstown up to 18% after last month setting out the ambition to grow its EV business to the point where it makes 40-45% of global production.
For Lordstown the funds come as it looks to ramp up production of the Endurance at the Foxconn plant, with 12 of the first batch of up to 500 units made so far, which will be up against Tesla's Cybertruck when that eventually rolls onto the market.
First deliveries are intended to be made in the current quarter, subject to "full homologation and required certification" that is expected in the coming weeks, with a total of 30 trucks expected to have been made by the end of 2022 with the remainder intended to be built in the first half of 2023.
The US company said it is seeking partnerships with other car manufacturers to scale up the Endurance roll-out and that 'pre-development work' has begun on its next vehicle in collaboration with "the Foxconn ecosystem", including the MIH consortium.
Lordstown is targeting year end cash and short-term investments of US$150-165mln, including the Foxconn initial investment, and excluding contingent liabilities and other financings.
Foxconn, which launched its EV business in 2019 and in 2020 led the founding of the MIH open platform with suppliers to develop joint software and hardware platforms, announced a timeline for the MIH's new 'Project X' vehicle built using the open platform that it says will "lower the entry barrier for companies entering the electric vehicle market to customize vehicles based on their needs".
The Project X timeline and exterior design is expected to produce a three-seater demo car using the BYOV (build your own vehicle) model by the end of 2023
Foxconn said the modular design approach and standardized interfaces means innovative products can be introduced "in less time and cost, fulfilling the needs of different audiences and enabling new business models for car sharing companies, mobility service providers, fleet operators, logistics service providers, and new EV brands".
Jack Cheng, CEO of the consortium said: “Project X is a demonstration of a new EV platform for the ecosystem. We’re not only making cars but also enabling the creation of more lifestyles.
“Thinking beyond the vehicles of today and by adopting the latest technologies such as artificial intelligence, autonomous driving, and Web3, this vehicle platform can create shared mobility, digital health care in a post-pandemic society, entertainment, and other future applications unimaginable today. Project X’s goal is to develop the world’s most iconic open EV platform for the innovators, by the innovators.”