Fisker CEO Delays Launch of Budget-Friendly Pear Electric Vehicle

Unnamed automaker in discussions for investment and electric vehicle co-development with company.

Fisker’s CEO, Henrik Fisker, announced that the progress for the budget-friendly Fisker Pear electric car has been put on hold. In the company’s recent earnings call, Fisker confirmed that the Pear, which was projected to be priced at under $30,000, will experience a delay while the company seeks financial backing from other car manufacturers.

According to Henrik Fisker, “Fisker is currently in discussions with a major automotive company regarding a potential deal that may involve a financial investment in Fisker, collaborative development of one or multiple electric vehicle platforms, and the establishment of manufacturing operations in North America.” Fisker shared this information with both investors and journalists.

The chief executive officer declined to disclose the specific company Fisker is currently negotiating with, although he did eliminate Foxconn from consideration, as they were previously a potential manufacturer of the Pear at their Ohio site.

CarBuzz reached out to Fisker in order to gather more details, and as soon as we receive a response, we will provide an update for this article.

Fisker pointed out that discussions came to a close, leading to the termination of the company’s partnership with Foxconn, who had been in charge of constructing the ill-fated Lordstown Endurance pickup truck.

The backing of a bigger and reputable automobile company may be the saving grace for Fisker. A boost in financial resources could open the door for them to create fresh electric automobiles, like the Pear and the Alaska pickup. Alternatively, the unidentified manufacturer stands to gain from collaborating on EVs, resulting in reduced development costs and the ability to offer more economical battery-powered cars.

Multiple car manufacturers, such as Renault and Volkswagen, are exploring the idea of small electric vehicles. Stellantis leader Carlos Tavares is convinced that this approach is crucial for Western automakers to combat the competition posed by affordable Chinese EVs.

The CEO stated, “We are committed to withholding any external spending for our upcoming projects until we secure a strategic OEM partnership.” Despite the delay of the Pear, Fisker will utilize its cash reserves towards the Ocean.

The electric vehicle manufacturer has announced its intentions to boost the production of the Ocean while also releasing software upgrades for their popular SUV. It is important to highlight that a number of customers have reported initial problems. As a result, Fisker has been working on over-the-air updates in order to resolve these issues and refine any minor imperfections.

Surprisingly, efforts for the Alaska pickup will persist, although Chief Financial Officer Geeta Gupta-Fisker stated that further progress depends on the brand’s ability to come to terms with the undisclosed car manufacturer.

In terms of financials, Fisker recorded a deficit of $463.6 million in the fourth quarter of 2023, resulting in a loss per share of $1.23. The company’s revenue for this time frame amounted to $200.1 million. A total of 4,789 Ocean vehicles were manufactured during this period, out of which 3,818 were shipped to customers. The overall production for the year 2023 stood at 10,193 units, with 4,929 being delivered over the course of 12 months.