Is Nikola truck still in business?
Is Nikola truck still in business? In 2016, Nikola Motor Company (NMC) announced plans to build an electric semi truck in the United States. The NMC truck was designed to rival Tesla’s electric semi-truck, which will be released sometime in 2019. However, over the last few months there have been some questions about whether or not NMC has abandoned their plans and if the company is still in business. To answer these questions, we’re going to take an in-depth look at Nikola Truck’s funding situation and its likelihood of success. [ Next slide ]
Nikola Truck is a company based out of Salt Lake City, Utah that specializes in long-haul trucks. Nikola Truck was founded by a man named Nikola Tesla and his namesake is the same as the famous scientist and inventor who helped pave the way for modern electricity. The company’s original concept was to create an electric vehicle that could travel up to 1,200 miles on one charge. The engine and battery technology wasn’t quite there yet when the company first got started so they pivoted to create a heavy duty, long-haul diesel powered truck instead. However, after some time of research and development, Nikola Truck has developed their own hybrid diesel electric system which allows them to travel up to 800 miles on one charge.
The Company’s Struggles
The company was founded by a tech entrepreneur who had a vision of creating the world’s first hydrogen-electric semi-truck. After years of spending on research and development, it found itself running out of money and struggling to make payroll. Nikola Truck seems to have given up the ghost this week with its founder now saying he is currently evaluating strategic alternatives.
The story behind Nikola Truck began when Tesla co-founder and CEO Elon Musk tweeted about his idea for an electric semi-truck back in 2013. Several companies took notice, including Nikola Truck founder Trevor Milton who immediately set off on his own journey to create the world’s first hydrogen-electric semi-truck.
The Department of Justice’s Investigation
The Department of Justice is investigating the Nikola Truck Company. The company and its founder, Dr. Trevor Milton, are being investigated by the DOJ over allegations that it defrauded customers through false advertising and deceptive business practices. The allegations stem from claims made by two former employees who claimed that they were pressured to manipulate test data on the Nikola One, which was supposed to be a zero-emission truck with a range of 1,200 miles on one tank of gas. This would have been an incredible breakthrough for clean energy transport systems because it would have eliminated the need for diesel trucks on the road – an environmental disaster waiting to happen given their heavy reliance on fossil fuels. The Tesla Semi has garnered similar attention from environmentalists because it can run 500 miles per charge thanks to its battery pack.
The U.S. Securities and Exchange Commission’s Investigation
The Commission’s investigation found that Nikola Truck may have violated federal securities laws because it didn’t disclose the extent of its financial problems to investors. The SEC also said that Nikola Truck could be liable for substantial financial penalties if it doesn’t comply with a cease-and-desist order. It is not known what will happen to Nikola Truck after this ruling. With all the financial trouble Nikola Truck has had, it might go out of business and end up being just another broken American company. However, Nikola Motor Corporation CEO Trevor Milton has refused to confirm or deny whether or not they are going out of business and insisted they would continue to work hard.
The Company’s Stock Price
This is a question I get asked often. And the answer is yes, Nikola Truck is still in business. In fact, it’s more successful now than ever before! It’s kind of crazy to think about how much time has passed since Nikola was founded back in 2014. I mean, when you look at this chart of our stock price for the past five years, it’s pretty clear that we’re on the up and up . If you had invested $10,000 into Nikola back in November 2014, your investment would be worth over $1.2 million right now. That’s not even including dividends!
The Nikola Truck company was supposed to revolutionize the way we transport goods and fuel. They wanted to eliminate the need for diesel powered trucks and instead use hydrogen fuel cells and a natural gas-powered turbine. The company also planned on using a battery system that would store excess energy from braking, which would be used later to power the engine when necessary. After 3 years of work, Nikola unveiled their first prototype at an event in Salt Lake City, Utah on November 12th, 2017. Their original goal was to have over 6,000 preorders by now so they could start production on their vehicles. However, it’s been almost 2 years since this announcement and there are only about 300 preorders so far with no definite date for when production will begin.