Faraday Future, a new electric vehicle (EV) start-up that has not yet presented its production vehicle proposal, is reported to be in talks with the city of Vallejo, California, regarding repurposing a former naval shipyard into a factory. According to media reports, including the Los Angeles Times, the Vallejo City Council approved a six-month exclusive negotiating contract with a subsidiary of Faraday Future. Faraday has six months to solidify its proposal and present it to third-party lawyers and consultants representing the city. In addition, Faraday will pay the city's legal and consulting fees, plus a USD200,000 non-refundable negotiation fee. Website Arstechnica.com cites a Faraday statement saying, "The goal is to have a second manufacturing facility, business offices, a customer experience center, and a vehicle delivery destination. This location will allow us to connect with customers on a premium and engaged level." Other than to say that it was "estimated in the hundreds of millions of dollars," Faraday Future declined to comment on the amount of the investment or the potential number of jobs created.
Significance: Faraday Future is an EV start-up funded largely by LeEco in China. The company has already started building a plant in Nevada. The company explained its vision for EVs in vague terms at an event in January. The company had already indicated plans to launch a production vehicle by 2020, but the recent reports on the California site also indicate Faraday is looking to move its timetable forward. Faraday is looking to play in a similar space as Tesla, a premium EV trading on a unique, upscale persona. However, when Faraday arrives, the company will face a more competitive environment than Tesla launched into, in that traditional automakers are increasing their efforts in the EV space.
