Desperate for cash, Tesla competitor Faraday Future scales back plans yet again
Faraday Future’s future continues to fade.
The Chinese-funded, Gardena-based electric-car startup said Monday that it is scaling back its already scaled-back plans.
The potential Tesla competitor had abandoned plans to build a 3-million-square-foot factory in North Las Vegas, and said it would build a 1-million-square-foot plant instead. Now, the cash-starved company said it’s searching for an existing building to produce its luxury, technology-loaded FF 91 electric car.
The search for cash is more pressing, however. The company’s primary funder, Chinese entrepreneur Jia Yueting, is in deep financial trouble. Assets belonging to him and and his wide-ranging technology company, LeEco, have been frozen by courts in China and elsewhere in the face of unpaid loans.
Months ago, Faraday sought to publicize its search for $1 billion in new funding, apparently to no avail.
The company had planned a $1-billion plant in North Las Vegas, with subsidies from Nevada state government. Republican Gov. Brian Sandoval continued to support the project even as the state’s treasurer, Dan Schwartz, also a Republican, warned of fishy financing at Faraday after taking an investigative trip to China.
Meanwhile on Monday, another luxury electric-car startup in California â€" Lucid Motors, based in Menlo Park â€" said its plans to start selling its Lucid Air sedan in 2019 remain on track.
Twitter: @russ1mitchell
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