Tesla’s competitor, Faraday is running low on cash. It already owes more than $300m to various parties and trying to build a $1 billion plant in Nevada may seem an up hill struggle.
“Faraday Future, the company hoping to beat Tesla in the electric car game, had to halt building its factory in order to afford its glitzy CES press event, the firm told the BBC.
The company broke ground on its enormous plant in the Nevada desert in April last year – but work halted in October amid reports the company was in dire financial straits.
Speaking on the record for the first time about the firm’s money woes, Faraday Future’s senior vice president of research and design, Nick Sampson, acknowledged the company was facing “challenges”.
“Clearly something like [CES] requires funding and some resources,” Mr Sampson told me. “We are resource-limited at times. [It’s] just a matter of keeping the cash flow balance between the different projects we’re trying to do.”
No date has been set for work on the site to recommence. “Things like [CES] have to take priority at this point in time. We’ll be starting again [on the factory] very shortly,” he said.
The company was spinning several financial plates, he argued.
“The challenge of building a new company is that it’s not just doing the engineering and R&D work, we’ve got manufacturing to keep aligned, we’ve also got the whole sales and marketing, branding and imaging.”
Source: BBC
