Fisker, an electric vehicle startup based in the US, filed for bankruptcy on June 18, 2024.
Fisker's sole product is the Ocean electric SUV which faced quality issues due to software from different suppliers.
The company had previously warned that it might not have enough funds to survive another year and was in discussions with investors about additional funding.
Fisker, an electric vehicle startup based in the US, filed for bankruptcy on June 18, 2024. The company had previously warned that it might not have enough funds to survive another year and was in discussions with investors about additional funding. Fisker's sole product is the Ocean electric SUV, which faced quality issues due to software from different suppliers. These problems were highlighted in a review by American YouTuber Marques Brownlee, titled
The company listed between $500 million and $1 billion of assets, and between $100 million and $500 million of liabilities, in its petition filed in Delaware.
Fisker is the second EV company started by Henrik Fisker to end up in bankruptcy.
Combining with a SPAC sponsored by Apollo Global Management Inc. left Fisker with roughly $1 billion in cash and helped the company land a deal with Magna International Inc. subsidiary.
Fisker Ocean SUV production started on schedule in November 2022, but lacked basic features including cruise control.
Software bugs ended up slowing production for months, leading Fisker to repeatedly slash its forecasts.
Accuracy
Influential YouTuber Marques Brownlee produced a video summarizing issues he experienced with the Ocean SUV which has racked up over 5.7 million views.
Fisker produced 10,193 Oceans last year but delivered only 4,929 vehicles to customers.
Fisker attempted a dramatic pivot in early January seeking out partnerships with franchised dealers in North America and away from selling SUVs directly to consumers.
By February, Fisker warned there was substantial doubt about its ability to continue operating.
Fisker secured $150 million from an existing lender but talks with an unidentified automaker for further investment ended without a deal.
Magna executives said during an earnings call that the company’s updated outlook for this year assumed no further production of Ocean SUVs.
Deception
(30%)
The article contains selective reporting as it only mentions the issues with Fisker's Ocean SUV and does not mention any potential positives or progress the company may have made. The authors also use emotional manipulation by describing the Ocean SUV as 'oft-malfunctioning' and 'glitchy'. There is no clear editorializing from the authors, but they do present information in a way that may sway readers against Fisker.
Fisker produced 10,193 Oceans last year but delivered only 4,929 vehicles to customers.
Software bugs ended up slowing production for months, leading Fisker to repeatedly slash its forecasts.
The first SUVs lacked basic features including cruise control.
Fisker Automotive filed for Chapter 11 bankruptcy protection on June 17, 2024
Talks with a big automaker for investment failed, denying Fisker $350 million in funding
Fisker Ocean SUV faced software and hardware issues, under regulatory investigation for braking issues and other modes failure
Accuracy
Fisker Ocean SUV faced software and hardware issues
Talks with a big automaker for investment failed
Fisker turned to dealership-based distribution model but still failed to clear inventory of more than 5,000 cars
Deception
(100%)
None Found At Time Of
Publication
Fallacies
(75%)
The article contains several examples of fallacies. The author makes a dichotomous depiction by stating that Fisker got further than some EV startups like Proterra and Lordstown, but it just didn't have enough juice to overcome weakening demand, fundraising issues and global supply chain constraints (appeal to pity). Additionally, the author uses inflammatory rhetoric when referring to Tesla as 'the Apple of the auto industry' for Henrik Fisker. There are also examples of appeals to authority when citing sources such as Reuters and Automotive News. However, no logical fallacies were found in the direct quotes or statements made by anyone other than Andy Kalmowitz.
Fisker got further than some EV startups like Proterra and Lordstown, but it just didn't have enough juice to overcome weakening demand, fundraising issues and global supply chain constraints.
Henrik Fisker - a former design consultant for Tesla - had said at the time of the listing that Fisker wanted to be the Apple of the auto industry by outsourcing manufacturing of its cars.
