Eugene, Ore.-based company Arcimoto plans to start production of the three-wheeled Pulse this fall. The two-seater is 100 percent electric. (Arcimoto)
It might not seem like a good time to start a car company. But the people at Arcimoto disagree.
The Eugene, Ore.-based startup is one of several boutique automakers defying conventional wisdom and attempting to design revolutionary electric cars quickly and profitably.
Startups
- Startup electric vehicle companies tend to build cars in one of two categories -- inexpensive commuter cars or high-performance cars. Here are some examples:
- Commuter cars
- Arcimoto Pulse (production in fall 2010)
- Price: under $20,000
- Top speed: 55 mph
- Battery range: 40-50 miles
- Wheego Whip (produced since 2009)
- Price: $19,000
- Top speed: 35 mph
- Battery range: 40 miles
- High-performance cars
- Fisker Karma (June 2010)
- Price: $87,900
- Top speed: 125 mph
- Battery range: 50 miles of pure electric
- Tesla Roadster (produced since 2008)
- Price: $109,000
- Top speed: 125 mph
- Battery range: 244 miles
"It's the perfect time to start a car company," says Quinn Reilly, Arcimoto's vice president of marketing. He predicts that the struggles of big automakers will only help sales of the company's debut car, the Pulse, a sub-$20,000 all-electric car scheduled to go into production this fall.
The futuristic three-wheeled two-seater is capable of traveling highway speeds for 40-50 miles on a single charge. The battery can be charged with a standard wall outlet and a simple extension cord in about six hours.
Like other small startups, Arcimoto uses its size to its advantage. Small production lines mean the company can get new technology into the hands of consumers quickly -- which is especially important when dealing with the rapidly evolving battery and electric motor industries.
Its location in the Pacific Northwest is also an advantage. Markets such as Seattle and Portland have been early adopters of electric vehicles. Seattle is among the leading U.S. cities per capita in EV ownership; it has mild weather, a tech-savvy population and an appreciation for nature, says Reilly.
"It's an ideal EV market," he says.
Other EV startups are popping up along the West Coast, far from the traditional Rust Belt manufacturing hubs such as Detroit.
The list includes Bay Area-based Tesla Motors, which is already producing its battery-powered Roadster, and Irvine, Calif.-based Fisker Automotive, which plans to launch the plug-in hybrid Karma this summer.
Since many of Arcimoto's early customers will originate in the Northwest, it made sense to build the car locally, sourcing talent and materials close to home, Reilly says.
Like Tesla, which sells cars from boutique shops in urban areas, Arcimoto will sell its cars differently. Many of its first models will be sold to customers straight from its Eugene factory floor.
Arcimoto projects that its first 400 cars will be pre-sold before production even begins, and that the company will be profitable in three to four years.
"The EV industry is here to stay," says Reilly, "and no doubt a boutique (automaker) will survive."
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