Updated: Mar 22
Fisker is setting to colaborate with Foxconn; Foxconn Technology is a Taiwanese multinational electronics contract manufacturer. Do you know who else has a contract with Foxconn? Apple, yes you heard that right, Foxconn builds iPhones for Apple. What's even more exciting is this article by Benzinga on "Foxconn in Talks To make Batteries, EV parts With Vietnam's VinFast". So yes, Fisker has its EV manufacturing in safe hands.
Foxconn may be practicing its EV manufacturing skills on Fisker before they even have an EV contract with Apple. Foxconn is extremely bullish that it requires its own DD and an article on how you can invest in them.
Back to the topic of Fisker; Fisker CEO Henrik Fisker has said in an interview that his goal is to deliver EV faster than his rivals.
Now, when it comes to technology and innovation, Fisker does not have an advantage over Tesla. Unless Fisker manages to provide significantly cheaper vehicles than Tesla without compromising on quality.
Although Fisker loves making Luxury EVs, they have recently decided to create an EV that is more attainable by the average consumer. Fisker has decided to create a compact SUV called Fisker Ocean; with a starting price of $38,000 starting delivery in 2022.
The problem I see Fisker facing right now is that the market they're trying to get into is extremely saturated. With Tesla dominating the market and other large vehicle manufacturers like Ford and Cadillac making their own EV SUVs. Fisker has a tough road ahead of itself.
The bigger problem with Fisker is that it's CEO is not a Business man nor an engineer. He's a famous car designer that created his own company and failed. Now he's coming again relaunching his Fisker company again with a different twist. And just because Fisker made a deal with Foxconn doesn't make it a win, till we actually see cars being delivered.
When it comes to the stock market. Fisker has great potential to rise higher because of the EV hype in the short term. But in terms of long-term investment (3 years +), I would personally steer away.