Slate Auto, the electric vehicle (EV) startup financially supported by billionaire Jeff Bezos, has officially disclosed the starting price for its debut electric truck. The vehicle will be available from $24,950, which equates to approximately £19,600, excluding various charges such as taxes, registration, and destination fees. Pre-orders for the truck commenced on Wednesday, marking a significant step for the company which emerged from stealth over a year ago.
A key update from Slate Auto is the enhancement of the base model's estimated range, now quoted at 205 miles, an increase from the previously stated 150 miles. This improvement, however, comes with the decision to discontinue plans for a larger 240-mile battery pack. The aggressive pricing strategy positions Slate Auto to target the more affordable end of the new car market, an area with limited electric vehicle competition. For context, comparable EVs like the Chevrolet Bolt start around $29,000, and the Nissan Leaf begins at approximately $32,000 in the US.
The design ethos behind Slate Auto's offering is one of radical simplicity and customisation. The vehicle initially presents as a two-seater pickup truck but can be modified into a five-seater SUV, with the SUV version starting at $29,950 (approximately £23,500). Slate Auto states that these conversions can be performed by professionals or by owners themselves, supported by 'Slate University' how-to videos. The vehicles are delivered with basic features, including hand-crank windows and no integrated infotainment system. All orders begin with a standard grey composite material, with buyers encouraged to customise their vehicles using wraps instead of traditional paint options, a strategy that likely reduces manufacturing costs significantly.
Slate Auto has indicated it will adopt a direct-to-consumer sales model, eschewing traditional dealerships, a similar approach taken by other EV manufacturers like Tesla. While specific details about the buying process remain limited, recent reports suggest a potential collaboration with online used car giant Carvana, which has reportedly been granted a warrant to purchase Slate Auto shares. This alliance could see Carvana expanding its business model to include the sale of new vehicles.
The startup has secured substantial investment, with approximately $1.4 billion raised across three funding rounds. Key investors include Jeff Bezos' family office, General Catalyst, and TWG Global, an entity linked to Guggenheim Partners CEO Mark Walter, who is also a significant shareholder in Carvana. Slate Auto's long-term ambition is to create an accessible vehicle akin to the Ford Model T or Volkswagen Beetle, with a target price point around $25,000 having been a consistent aim.
However, the company's journey has faced challenges, particularly in the US market, where shifts in policy, such as loosened emissions standards and the removal of a federal EV tax credit, have led some major automakers to delay or cancel EV plans. Despite these headwinds, Slate Auto continues to pursue its goal of delivering an affordable, customisable electric vehicle.
Source: TechCrunch