Lucid Group Inc. has said it will cut 400 jobs by the end of the year to save money and make more profit. The company has already delivered 1,967 vehicles this year and aims to deliver 9,000 in total. But because it didn’t do well last year and the electric vehicle market is slowing down, it’s making changes to save money.
Lucid Motors started in California in 2007. It makes electric cars and works on battery technology. Some people from Tesla also work there. The company started making its first car in 2014. It’s called the Air and it’s a luxury electric car. The company is also working on a new SUV called the Gravity. It’s also making batteries that other companies, like Aston Martin, will use in the future.
The company plans to cut about 6% of its workers, which is around 400 people. They will lose their jobs by the end of September 2024. The company will spend about $21 million to $25 million on this plan. It wants to get ready for the Gravity SUV, which should be out by the end of the year.
Last year wasn’t good for Lucid. It planned to make 10,000 cars but only made about 8,400. It didn’t make as much money as it hoped. It lost a lot of money for each car it made, much more than other companies like Rivian.
But things can get better. Lucid got $1 billion from the Saudi Private Investment Fund, so it has enough money to keep going. It’s now aiming to make 9,000 cars this year. It’s still working on new cars like the Lucid Earth, which should come out in 2026. It might take a few years, but the company hopes things will improve, especially as more electric cars come out and more charging stations are built.
