Rivian, the electric vehicle manufacturer, who is backed by Amazon, is aiming to raise between $5bn and $8bn through their IPO according to Reuters. Proceeds from their IPO look set to fuel expansion away from their plant in Illinois. If Rivian, dubbed the ‘Tesla Killer’ by some, hit their targets, it would make it the fourth largest offering in the past decade in the US. Read more here.
Next week sees the start of the Munich Motor Show (Officially called IAA Mobility). Most OEM powerhouses are present, showcasing their latest production cars and concept offerings. Leasing and fleet managers will be paying attention to several of the offerings as the industry continues its march towards alternate fuel. It’s rumored that BMW will unveil a new version of the 7 Series as well as a new version of their X5 called the iX5 Hydrogen, ready for production in 2022. Kia looks set to launch a new Sportage, Mercedes are looking to launch eight new vehicles, with Renault, Volkswagen and Porsche following up with new cars. You can find out more here.
The global semiconductor shortage that has impacted products from iPhones to Playstations has further impacted vehicle production. According to the BBC, Toyota, the world’s biggest car marker, has forecast 40% less vehicles to be produced in September, reducing output from 900,000 to 540,000. Last week, Volkswagen also warned that the supply of chips in Q3 may be “volatile and tight” leading to a follow on from their production cuts earlier in the year. Read more here.
As the global pandemic eases and economic activity resumes, the fleet industry is experiencing rapid change. There is pressure to respond to business growth with fleet renewal programmes and updates, but managers also have a strategic imperative to consider. Over the next decade, fleets around the world will be reshaped by the switch to electrification, as diesel and petrol engines are phased out in a bid to reduce global pollution.
This issue features 10 ways EVs are changing fleet management forever, an insight into commercial vehicles, interviews with key global fleet executives and upcoming dates for your fleet calendar.
The Ford F150 has been the top selling vehicle in any category in the US for decades. Commentators are calling this the most significant EV launch since the Tesla Model S and it is firmly targeted at US consumers while demonstrating Ford’s intention to electrify its whole range. The OEM is promising is promising a driving range of up to 230 miles on the standard battery and 300 miles for the extended model. Click here for more details.
Over the weekend, Mercedes-Benz announced their plans to move to an “emission-free and software driven” future. By 2022, the OEM will have battery electric vehicles (BEV) in all segments and from 2025 onwards, all newly launched vehicle architectures will be electric-only and customers will be able to choose an all-electric alternative for every model the company makes. Click here to read their press release.
Autonews.com are reporting that U.S. Commerce Secretary Gina Raimondo is holding a series of meetings with chip manufacturers to increase transparency on production. This in turn looks to promote a gradual increase in the supply of semiconductors to automotive players. The semiconductor crisis has been well publicized in the automotive world and according to Goldman Sachs, has had a $110 billion impact on the sector. Click here to read more.
A division of NIO, NIO POWER have announced they intend to have 5000 battery swap stations, globally, by the end of 2025 with 1000 of these outside of China. Currently, the EV manufacturer operate 301 stations focused around their innovative Battery-As-A-Service (BaaS) proposition. Click here to read more.
Welcome to the first edition of Fleet Future, our specialist insight series from Bynx looking at the latest developments in the industry.
As the fleet market goes through unprecedented change, this series of reports will consider some of the most pressing challenges facing fleet managers and their suppliers. The Coronavirus vaccine is helping to return the global
economy to full strength, but the business environment has changed significantly over the past year. Technology has been a vital lifeline for most businesses to maintain communication and enable employees to continue working from home while offices are closed. Now that restrictions are starting to ease, there is a unique opportunity to consider how these innovations can change the way we work in the long term.
Vehicle subscription models offer long-term monthly or weekly, all-inclusive rentals (often including insurance, maintenance and repairs). Vehicle subscription is a new kind of ‘car lease’, except it’s not a lease against a single vehicle, it’s a subscription – similar to a mobile phone service, with everything provided in one package for a single, monthly payment – and possibly for the use of multiple vehicles. The advantages for drivers are that they get all the benefits of car ownership (more accurate to say car “usership”) but without the hassle of having to find finance, insurance, breakdown cover and pay for servicing, repairs and a road fund licence, or be limited to one vehicle type – why not have a car for the working week, and a different vehicle for the weekend?
Fleet rightsizing is a proactive management strategy, by which fleet managers assemble a fleet that is suitable for purpose, whether delivery, passenger carrying, remote service engineers, a fleet of sandwich vans and so on, the fleet must be comprised of the right number of vehicles suitable for the purposes for which they are being used. The “size” of the fleet covers two distinct categories: (1) The size of each individual vehicle within the fleet i.e., small vans (such as the Citroen Berlingo with 1000kg load weight), large vans (like the Mercedes-Benz Sprinter with a 3500kg load weight), Luton vans, Minibuses, MPVs and so on. (2) The size of the fleet in terms of number of vehicles required to meet business demand.
As Business Contract Hire comes under pressure and (for some) loses its lustre, many companies are looking for ways to regain the best value from their contract hire relationships. One traditional acquisition method, more suited to the current economic climate, is gaining ground, and is once more in vogue. What is it and how does it work? Multi-bid fleet funding (also referred to as multi-supply fleet acquisition) is a way of preserving your relationship with the contract market and also helps in reducing fleet costs. How it works is that a prospective customer invites bids from multiple vehicle leasing companies, in a structured tendering exercise.
Returning to a new normal for vehicle fleet and mobility operators. We’ve brought together information, expert views and strategies that will help prepare your fleet, vehicle leasing and mobility business for a new future. The purpose is to help you navigate the uncertain journey that lies ahead as the world begins to ease pandemic lockdown. We’ve also included details about technology and fleet innovations that can support your transition as the demands and requirements of your business will undoubtedly change in the new world.