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Auto Blog
4 days ago
- Automotive
- Auto Blog
Ford's $30K Electric Pickup Could Crush Jeff Bezos-Backed Rival
One's better for towing, and one uses less fuel but which one's the better truck overall? The electric crossover segment is home to some of the industry's top rivalries, including that of the Hyundai Ioniq 5 and Ford Mustang Mach-E. With a targeted price tag of just $30,000, the new battery-electric pickup Ford Motor Co. announced this week promises good news for buyers looking for an all-electric truck that won't break the bank. Costing barely half as much as the typical EV sold in the U.S. this year, Ford is betting it will position the automaker as one of the leaders in the EV market. Source: Ford That could be bad news for another brand focused solely on the affordable EV segment, the Jeff Bezos-backed Slate Auto, which in April revealed its own electric pickup it currently expects to start delivering next year at a starting price of $27,000. While Slate would appear to have an advantage when it comes to cost, Ford's 'Universal EV' has lots going for it, with Sam Abuelsamid, chief analyst at Telemetry Research, declaring 'Slate is cooked.' Wanted: an Affordable EV Cadillac Escalade IQ — Source: Cadillac After surging eightfold between 2019 and 2023, EV sales have since lost much of their momentum, market share sliding to just 8.6% at the end of the first half of 2025, according to Cox Automotive data. Part of the problem is that early adopters have largely already gotten the vehicles they want. Further growth depends upon targeting more mainstream buyers. That isn't easy, however, when the average transaction price for an EV was $55,689 in July, according to Kelley Blue Book. For all new vehicles sold in the U.S. last month, the average, or ATP, was $48,401. Complicating matters: the $7,500 federal tax credit many EV customers depended on will go away at the end of the September due to the federal budget bill enacted last month. To kickstart the market, analysts widely agree, means bringing out more new EVs priced in the low $30,000 range, and even below that figure. Universal EV Rendering shows Ford's flexible EV platform which will first be used for a midsize electric pickup. — Source: Ford Ford says it's on track to get there thanks to the secret 'skunkworks' program it set up in Long Beach, California three years ago. A small product development team came up with what they're calling the 'Universal EV.' Echoing what happened when founder Henry Ford switched on his first moving assembly line in 1913, Ford is setting up a completely new manufacturing process at a plant in Louisville, Kentucky. The ultimate goal is to produce an extended family of low-price battery-electric vehicles. In 2027 that will begin with a 4-door pickup with a 'targeted price,' said Ford, of $30,000. Details have yet to be released but Kumar Galhotra, Ford's Chief Operating Officer, made it clear the truck won't be just an econobox. 'We do not believe that you need to strip out features, functionality, screens or even seats to make a vehicle affordable. We will achieve affordability by radically simplifying parts and process.' Slate Has Its Own Plan Slate Auto Skater — Source: Slate Auto Ford is by no means the only automaker feverishly working to shave EV prices. General Motors is readying an all-new version of the Chevrolet Bolt, its first long-range all-electric model set to debut this year. Kia has the EV4 coming, Nissan is finishing work on the next-generation Leaf and Tesla keeps promising its own entry model Then there's Slate Auto, based in the Detroit suburb of Troy. 'We are building the affordable vehicle that has long been promised but never delivered,' CEO Chris Barman said in April as she pulled the cover off an all-electric 2-door pickup. Slate Truck and SUV — Source: Slate Auto As with its more established rival, the Slate team poured over every aspect of automotive design, engineering and manufacturing. The truck's body will be made of unpainted gray polypropylene, rather than the normal steel or aluminum, for one thing. Unlike Ford's electric truck, meanwhile, the Slate model will be the ultimate example of stripping things down to their bare essentials. There'll be no radio, for example, and you'll have to supply the smartphone or tablet if you want an infotainment system. Even the windows will be hand-cranked. Who Has the Edge? 'I like simplifying things and making a lot of things optional for customers,' said analyst Abuelsamid, 'But they've gone too far.' He believes Slate yet may find some buyers looking for hyper-customization – with scores of aftermarket options available, including a cut to convert the pickup into a 2-door SUV. But Abuelsamid and other analysts Autoblog spoke to think most potential buyers will opt for the better-equipped, and only slightly more expensive Ford truck. Just the fact that it has two more doors should be a big plus at a time when 2-door products have all but vanished from the U.S. market. 'That does make Slate a much more difficult proposition,' added Stephanie Brinley, lead auto analyst with S&P Global Mobility. There Could be Surprises While Ford may seem better positioned, industry-watchers aren't ready to count Slate out. For one thing, it is expected to make it to market as much as a year ahead of Ford. And the start-up does have the backing of Amazon founder Jeff Bezos and other mega-investors who've so far filled the company's coffers to the tune of around $700 million, according to federal financial documentation. Ford Universal EV production line. But one also has to take the promises made by both companies with a healthy dose of skepticism, cautioned Brinley. 'How many times have we seen automakers set a price target but then end up coming in at $2,000, $3,000, even $5,000 more.' And it remains to be seen, she added, whether either company will meet its planned production date. That's a common problem across the auto industry and Tesla has shown that this is particularly problematic for start-ups. Ford, for its part, is confident it can deliver, and then gain a real leg up on its competitors in the bid to drive down EV prices. The number two U.S. manufacturer is particularly hopeful the Universal EV project will allow it to challenge the domestic Chinese automakers gaining so much traction around the world. Slate isn't ready to concede defeat. Far from it, the start-up automaker claiming to have so far recorded over 100,000 advance reservations for its truck. But there seems little doubt Ford has now changed the rules of the game in the emerging market for truly affordable EVs. About the Author Paul Eisenstein View Profile
Yahoo
4 days ago
- Automotive
- Yahoo
Does This Make Slate's Electric Truck Dead on Arrival?
Key Points Slate Auto captured customer interest with its $20,000 electric truck. The automaker was one of many competitors to raise prices recently. Ford's upcoming $30,000 electric truck should draw some attention. 10 stocks we like better than Ford Motor Company › At a time when the global automotive industry is contemplating how to deal with highly advanced and highly affordable Chinese electric vehicles (EVs) slowly spanning more of the globe, Slate Auto has been slowly growing in Detroit. The young automaker -- just founded in 2022 -- seemingly came out of nowhere to take hold of the market's intrigue, especially with the backing of Amazon's Jeff Bezos, with its mid-$20,000 priced electric truck. But with a couple of new developments, is it dead on arrival? Bad timing It sure seems like a rough time to launch an EV start-up company, with the Trump administration's steadfast desire to roll back EV incentives and even remove penalties for companies not meeting emissions standards. On the flip side, you could argue that it's a great time for Slate Auto to launch, as it tackles the industry's primary hurdle: Affordability. Switch Auto Insurance and Save Today! Affordable Auto Insurance, Customized for You The Insurance Savings You Expect Great Rates and Award-Winning Service As previously mentioned, Slate Auto became the latest company to raise the price of its vehicles before even delivering its first. One of the big selling points of the Slate truck was that you could configure a vehicle for under $20,000, including incentives and tax credits. However, with the EV tax credit going away, and the increased cost from tariffs on imported parts, the cost is now in the mid-$20,000s. "People are looking at Slate because it's a throwback, with roll-up windows and no radio," said Sam Fiorani, vice president of global vehicle forecasting at AutoForecast Solutions, according to Automotive News. The company hopes buyers "will pay a little more for a better wrap, accessory panels, or anything that adds profit." It's an impressive feat to produce a truck at such a price tag, much less an electric truck. Slate Auto deserves its applause, but in losing the EV tax credit and raising its price tag, it's now going to compete with a selection of combustion engine vehicles and hybrids at or around $30,000 with far more technology and equipment packed in. One big-time example If you're wondering what some of the competition could look like, take a quick glance at what Ford Motor Company (NYSE: F) has been up to recently. The company developed a small "skunkworks" team based in California that was dedicated to making a universal low-cost EV platform. Ford is certainly hyping what's to come, calling Monday's announcement and unveiling a "Model T moment." Ford's first vehicle to launch on the new EV platform will be a midsize electric truck, closer to the size of the Maverick than the Ranger, due in 2027. It will be the first of potentially eight EV models to launch on the platform, and -- most importantly -- Ford says the $30,000 four-door electric truck will be profitable. The company also made massive adjustments to its production process and changed its assembly line to be an "assembly tree," where three sub-assembly lines will run simultaneously before combining the parts at the end. It's a process that, along with other optimizations, should enable the plant to assemble the new EV platform 15% faster than current vehicles. It reduces parts by 20% versus a typical vehicle, with 25% and 40% fewer fasteners and workstations in the plant. This is important to generate profits from such a low-priced vehicle. Dead on arrival? Slate Auto and its vehicle are an intriguing development within the EV industry. Its bare-bones approach was refreshing, and there's little doubt it'll find a target consumer, although it's possible that it'll be more niche than mainstream. Slate said it has over 100,000 reservations in the U.S., but as reservations are secured with only a $50 refundable deposit, there's a good chance only a small percentage will be converted into orders. Not only is Ford soon to release a highly competitive electric truck in 2027, both Rivian Automotive and Lucid Group are launching electric crossovers next year at prices between $45,000 and $50,000, tens of thousands of dollars lower than their original models. So, is Slate's truck dead on arrival? Without Slate being able to hold its core marketing selling point of a sub-$20,000 electric truck, the young EV maker might find it really difficult to gain traction in the increasingly competitive and more affordable EV market. It's not dead on arrival, but there are serious reasons for concern. 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Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 13, 2025 Daniel Miller has positions in Ford Motor Company. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy. Does This Make Slate's Electric Truck Dead on Arrival? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
