Slate Auto Secures $650M for Affordable EV Truck Development
▼ Summary
– Slate Auto has raised $650 million in a Series C funding round led by TWG Global, bringing its total funding to roughly $1.4 billion.
– The company has strong ties to Amazon, with leadership and investors including former Amazon executives like new CEO Peter Faricy.
– It plans to begin production of an affordable electric pickup truck by the end of 2026, targeting a starting price in the mid-$20,000s.
– The funding comes during a challenging U.S. EV market, where major automakers are scaling back plans and sales for companies like Tesla have declined.
– Slate Auto has over 160,000 refundable reservations and is renovating a factory in Indiana for production.
Securing $650 million in new funding, electric vehicle startup Slate Auto is accelerating its mission to bring an affordable electric pickup to market by late 2026. This latest capital infusion, a Series C round led by TWG Global, brings the company’s total funding to approximately $1.4 billion. While the company acknowledged its “visionary investors,” it did not disclose other participants beyond the lead firm, which is managed by Guggenheim Partners CEO Mark Walter and investor Thomas Tull.
The substantial funding arrives during a period of significant recalibration for the broader EV sector. Major automakers have scaled back ambitious electrification plans, particularly following the expiration of a key federal tax credit last year. Established players like Tesla have seen sales dip, while newer entrants such as Rivian and Lucid Motors continue to grapple with achieving profitable scale, despite launching more budget-friendly models this year.
In this challenging climate, Slate Auto is pursuing a distinct strategy focused squarely on affordability. Founded in 2022, the company aims for the market’s value segment with a no-frills electric truck projected to start in the mid-$20,000 range. The business model allows customers to personalize their vehicle with various upgrades for additional cost, including an SUV conversion kit priced around $5,000. While initial plans suggested a $27,000 base price, promotional materials last year indicated a potential starting point under $20,000 after applying the now-expired federal incentive. The firm has stated final pricing will be announced in June.
Despite the loss of the tax credit, consumer interest remains strong, with over 160,000 refundable reservations placed for the vehicle. This backlog is a key priority for new CEO Peter Faricy, a former Amazon Marketplace VP, who was recently appointed to help convert those reservations into firm orders. The company’s deep ties to Amazon extend beyond Faricy, including co-founder and former Amazon Consumer CEO Jeff Wilke and numerous other executives from the e-commerce giant in leadership roles. Investor support also features notable Amazon connections, including Jeff Bezos’ family office and former executive Diego Piacentini.
To support production, Slate Auto is investing hundreds of millions of dollars to retrofit a former printing facility in Indiana into its manufacturing hub. This move underscores the company’s transition from a concept to a production-ready automaker as it works toward its late-2026 delivery goal.
(Source: TechCrunch)
