Slate Auto Surpasses 100,000 Reservations for its Affordable Electric Pickup Truck

Buzzy new EV startup Slate Auto has racked up more than 100,000 reservations for its customizable low-cost electric pickup truck, the company has confirmed to TechCrunch.

Slate crossed the milestone over the weekend, just a little more than two weeks after coming out of stealth mode and unveiling the truck at an event in Los Angeles, California. The company has said the truck will start below $20,000 after applying the $7,500 federal EV tax credit and plans to build the vehicles at a former printing plant in Warsaw, Indiana, as TechCrunch first reported.

“We are truly humbled by America’s response to Slate’s brand launch and the launch of our truck,” Slate’s chief commercial officer Jeremy Snyder said in a statement to TechCrunch. “We are excited for what the future holds.”

Collecting 100,000 reservations so quickly is one sign of how much interest there has been in Slate since it revealed the truck, but it’s no guarantee those reservations will translate to sales. The company is only asking prospective buyers to plop down $50 to reserve their place in line to eventually order the truck; the fee is refundable.

Many other EV startups have touted reservations in the past only to fail to live up to the expectations of such big, round numbers. Fisker filed for bankruptcy having sold just a few thousand Ocean SUVs despite once claiming more than 60,000 reservations. Lordstown Motors, meanwhile, was charged by the Securities and Exchange Commission (SEC) for misleading investors about the number of “preorders” for its own electric pickup truck. (Lordstown Motors similarly filed for bankruptcy and ultimately settled with the SEC.)

Slate has big goals for its truck, which — for a currently undisclosed price — can also be transformed into an SUV. The company says it will have capacity to make as many as 150,000 vehicles by the end of 2027 at the Indiana factory. And it has big backers helping Slate try to reach that goal, including Jeff Bezos (through his family office, Bezos Expeditions), Guggenheim Partners CEO Mark Walter, and VC firm General Catalyst.

The Rise of Slate Auto: An Electric Vehicle Startup to Watch

The electric vehicle (EV) market is rapidly evolving, with new players constantly emerging to challenge established giants like Tesla. Among these newcomers, Slate Auto has quickly captured attention with its promise of an affordable, customizable electric pickup truck. The company's recent announcement that it has secured over 100,000 reservations in just two weeks is a testament to the strong consumer interest in its offering.

Key Highlights of Slate Auto's Success

• Rapid Reservation Growth: Surpassing 100,000 reservations shortly after launch indicates significant market demand.
• Affordable Pricing: The target price of under $20,000 after the federal EV tax credit makes it an attractive option for budget-conscious buyers.
• Strategic Location: Plans to manufacture in Warsaw, Indiana, leverage existing infrastructure and create local jobs.
• Strong Backing: Support from high-profile investors like Jeff Bezos adds credibility and financial stability.

A Closer Look at Slate Auto's Electric Pickup Truck

Slate Auto's electric pickup truck is designed to be both practical and customizable, appealing to a wide range of consumers. While specific details about the truck's features and performance are still emerging, the company has emphasized its commitment to affordability and versatility.

Customization Options

One of the key selling points of Slate Auto's truck is its customizable nature. This allows buyers to tailor the vehicle to their specific needs and preferences, whether for work or leisure. The ability to transform the pickup into an SUV further enhances its appeal.

Affordable Price Point

With a target price of under $20,000 after the $7,500 federal EV tax credit, Slate Auto aims to undercut many of its competitors in the electric truck market. This affordability could be a major driver of its early success in attracting reservations.

Manufacturing Plans

Slate Auto plans to produce its vehicles at a former printing plant in Warsaw, Indiana. This location offers several advantages, including access to a skilled workforce and existing infrastructure. The company aims to reach a production capacity of 150,000 vehicles by the end of 2027.

The Challenges Ahead: Can Slate Auto Deliver?

While Slate Auto's initial success is encouraging, the company faces significant challenges in bringing its electric pickup truck to market. The EV industry is highly competitive, and many startups have struggled to transition from generating buzz to delivering actual vehicles.

Production Hurdles

Scaling up production to meet the demand indicated by the 100,000+ reservations will be a major undertaking. Slate Auto needs to secure reliable supply chains, establish efficient manufacturing processes, and ensure quality control to avoid delays and defects.

Competition

The electric truck market is becoming increasingly crowded, with established automakers and other startups vying for market share. Slate Auto will need to differentiate itself through innovative features, competitive pricing, and effective marketing to stand out from the competition.

Past Failures of EV Startups

The article rightly points out the cautionary tales of Fisker and Lordstown Motors. Both companies generated significant initial interest and high reservation numbers but ultimately failed to deliver on their promises. Fisker filed for bankruptcy after selling only a few thousand vehicles, while Lordstown Motors faced SEC charges for misleading investors about preorders.

The Role of Investors: Bezos, Guggenheim, and General Catalyst

Slate Auto's impressive list of investors provides it with a significant advantage. Jeff Bezos, through his family office Bezos Expeditions, brings not only financial resources but also a wealth of business expertise. Guggenheim Partners CEO Mark Walter and VC firm General Catalyst add further credibility and access to capital.

The Future of Electric Pickup Trucks: A Market Overview

The electric pickup truck market is poised for substantial growth in the coming years, driven by increasing consumer demand for EVs and government incentives to promote their adoption. Several factors are contributing to this trend:

• Environmental Concerns: Growing awareness of climate change and the need to reduce emissions is driving demand for EVs.
• Government Incentives: Tax credits and other incentives make EVs more affordable for consumers.
• Technological Advancements: Improvements in battery technology are increasing the range and performance of EVs.
• Lower Operating Costs: EVs typically have lower fuel and maintenance costs compared to gasoline-powered vehicles.

Key Players in the Electric Pickup Truck Market

Besides Slate Auto, several other companies are competing in the electric pickup truck market:

• Tesla: The Cybertruck is one of the most highly anticipated electric trucks, known for its futuristic design and advanced technology.
• Rivian: The R1T has received positive reviews for its performance, off-road capabilities, and luxurious features.
• Ford: The F-150 Lightning is an electric version of America's best-selling pickup truck, offering a familiar design and proven reliability.
• GM: The GMC Hummer EV is a powerful and capable electric truck with a distinctive design and advanced features.

Conclusion: Is Slate Auto the Next Big Thing in EVs?

Slate Auto's rapid reservation growth and strong investor backing suggest that it has the potential to become a significant player in the electric vehicle market. However, the company faces numerous challenges in scaling up production, competing with established automakers, and delivering on its promises. The cautionary tales of Fisker and Lordstown Motors serve as a reminder that generating initial buzz is not enough; Slate Auto must execute its plans effectively to achieve long-term success.