Lucid wants to sell a lot more than just cars

Yahoo

13-02-2025

Lucid Motors is ready to carve out a new path for electric vehicle makers in the industry. CEO Peter Rawlinson envisions a future where only 20% of the company's business comes from selling cars while the other 80% is focused on licensing its electric vehicle technology to automakers looking to improve and release their EV offerings quickly.
At the BloombergNEF Summit in San Francisco, Rawlinson compared Lucid's ambitions to Intel's role in the computing industry. 'Just as there's an Intel inside your laptop, there's a Lucid inside a Honda or a Toyota,' he said.Lucid's luxury EVs aren't just meant to be sold, they're meant to showcase what's possible with the company's powertrains. 'People think, 'Oh, why didn't you just be a supplier, Peter?' Because we need the cars as a shop window for our product,' Rawlinson said.
The company aims to scale production from about 9,000 cars in 2024 to 1 million per year by the early 2030s. But even at that level, the goal isn't to flood the market with Lucid-branded vehicles—it's to demonstrate how efficient and powerful Lucid's technology can be.Lucid has already established itself as an innovator in EV efficiency. The company's first model, the Air sedan, was the first EV to surpass 500 miles of range. The top-tier Air Sapphire boasts 1,234 horsepower and can hit 60 mph in under two seconds—all while maintaining an EPA-estimated 427 miles per charge.
That efficiency extends beyond range and power. Rawlinson emphasized 'miles per kilowatt-hour' as a key advantage, pointing out that Lucid's cars can achieve superior performance with fewer costly battery cells. This efficiency-first approach could be a major selling point for automakers looking to cut EV production costs.Lucid's transition into a technology supplier is already underway. The company signed a $450 million deal with Aston Martin to provide motors, battery tech, and charging components. Under this agreement, Lucid will manufacture parts in Arizona before shipping them to the U.K.
But Rawlinson sees Lucid's business future differently. Instead of manufacturing components for every customer, he envisions a model where automakers license Lucid's tech and produce components in-house while Lucid retains control of the encrypted software that powers them.
Rawlinson remains cautious about setting expectations, emphasizing that the 80-20 split is more of a vision than a guaranteed business plan. However, he believes that if larger automakers slow their EV development due to shifting policies, Lucid will be well-positioned to step in as the go-to supplier.If competitors slow down EV development due to reduced clean-car incentives, Lucid could stand to benefit. 'In a few years' time, there'll be this realization—'Oh my god, we're going to have to go to a sustainable mode of transportation'—well, then we will be in a much better position to offer those companies that haven't invested in the technology our technology through licensing,' Rawlinson said.
With earnings on the horizon, Lucid is still in the early stages of proving this strategy will work. But if Rawlinson's vision comes true, Lucid won't just be another EV startup—it'll be the Intel of electric cars.