*break even :)

Good points! Much of the Aptera's production will be outsourced. So the cost of machines, robotics, buildings, and infrastructure is distributed to Aptera's suppliers and vendors. This lower overhead combines with a relative simplicity of assembly so that the actual overhead for producing the Aptera is tiny compared to all other EV automakers. Aptera is only building the solar panels (and later battery packs), and they have to buy the assembly line equipment, and staff the assembly. But some of that cost is taken up by the CA grant, and tax subsidies/waivers. So the $200 million number that comes from selling the first 6,000 Aptera EVs has the possibility of breaking even. With the larger benefit of Aptera being that they could be potentially profitable after a year or two. And once Aptera is in the black it will drive other investments (like federal loans and the IPO) to support expansion to fill the rest of the Aptera orders, and beyond.

@ccibinel

Ай бұрын

Outsourcing components is however a double edged sword. Aptera is a the mercy of a long supply chain with few vendor alternatives for many components.

@shrimptopian3392

Ай бұрын

Outsourcing is very expensive.

@ccibinel

Ай бұрын

@@shrimptopian3392 Vertical integration is also expensive. Tesla has all the money and engineering talent they could want and yet still uses primarily Panasonic batteries. To make everything themselves would make the first vehicle off the line cost tens of billions of dollars. Long term aptera could make more of their own components and have their own presses but in the near term it wouldn't help get units produced profitably.

@shrimptopian3392

Ай бұрын

@@deanmcmanis9398 Per vehicle outsourcing is much expensive To set up vertical integration is much more expensive, but much cheaper per vehicle...

All this hinges on the composite parts not being too expensive, and the inherently seem more expensive to build than very high volume metal parts. There is a volume cost trade-off that I hope Aptera has positioned themselves correctly for initial market demand. If they are successful, the next generation vehicle might need to be designed very differently for higher volumes.

@spankeyfish

Ай бұрын

I was surprised that they didn't opt for soft tooling for the first production run, it'd be a lot cheaper.

@madmotorcyclist

Ай бұрын

It would be interesting to see the contract between Aptera and the Italians to know what those body parts cost. The upfront cost of those molds and presses had to be substantial considering the size of the parts.

Two major factors make it possible for them to break even at 6,000 units. Fewer parts as brought up, cheaper parts (much of it due to less labor involved), and, again, less labor needed due to, again, fewer parts.

"IF the US capital goes raise goes the way that we expect it to go..." The "IF" part is huge. I want this to happen so bad. I actually thought they were a lot closer to signing an actual deal then they are. I was under the impression that they were just dotting i's and crossing t's but based on what they said this is not the case. Is this gong to cause more delays? What are the chances it does NOT go the way they expect? I'm 100% hopeful and 100% concerned. I think I will feel better once the PI builds are made and being tested. Independent crash test ratings. Independent reviews from people who are not invested. Carwow, Throttle House etc.

@freepower1082

Ай бұрын

I believe they already have the funds for the PI build and are trying to get the money for the first 6 thousand vehicles . However they may be expecting US Capital to come through with big investors to do more than 6 thousand vehicles . 😎

@Fairburne69

Ай бұрын

@@freepower1082 I think you are correct. All we can do is hope for the best. I'm always shocked that someone hasn't invested already. I believe that 3 wheels, 2 seats and unique design scare away investors. Hopefully US Capital can overcome these obstacles. I want Aptera to succeed so badly it hurts. Even if there is no AWD for the LE.

Let’s Go Aptera!!

I really want it to happen but, we have not heard anything about price. Break even can’t be calculated without price.

@robinpettit7827

Ай бұрын

Price is on their website. It may very well change. $26K up to $45K for the 1,000 mile version and everything else.

@freepower1082

Ай бұрын

That’s why they have the 6 thousand brake even already calculated because they have the price for each vehicle and how much it’s going to cost to make them . 😎

@madmotorcyclist

Ай бұрын

They mentioned several times in various videos that they have seen the price of their components fall, but who knows given the economy.

Almost there William. Thank you for keeping us updated.

@freepower1082

Ай бұрын

So close now , I can see me with my Aptera now ! 😎

You don't want to break the brakes ...

I actually did watch it yesterday:-) I'm so hoping it's as bug free as possible... to many break downs ect and the brand reputation will hit the skids. :(

I believe they do have some equity funding through US Capital in line. It just isn't the full amount. So they are working to get more equity funders in the bag. Any remaining left over needs will have to be filled with debt funding which is undesirable.

@freepower1082

Ай бұрын

As long as they keep the cost of producing the vehicles down we don’t have to worry about of our Aptera going up , that’s what I like ! 😎

6000 @ 35k @ 10% margin is 6k X 3500. That’s $21M in operating cost. It makes no sense.

@DSC800

Ай бұрын

drink some Aptera koolaid and get back to us.

@billsmith5960

Ай бұрын

It makes perfect sense. If it didn't, Blake would not make the claim. He knows what he's doing.

It is not a verifiable number and they are trying to not upset people when they fail to ramp up to ten thousand units. Put it this way, they lay claim to not being able to tell you a price but you believe they can determine how many units to be profitable. That is not how it works.

@williammann7247

Ай бұрын

Trolls will be trolls....read and listen. Aptera doesn't need a huge factory and staff to build a car with only 10 major assemblies.

@rw6262

Ай бұрын

@@williammann7247 Try to read what he said. You cannot have a break even number without a price.

@hallynch2196

Ай бұрын

Yes. A key factor in break even is price. I am not a denier. I want my APTERA. However it does everyone a disservice to state 6000 vehicles is break even without giving the price. If they used the $32000 on the website, that’s good. However the price they used could be $50000. Still break even but a much more difficult sell

@danam0228

Ай бұрын

They used the LE price. Look it up

best of luck to aptera, i will buy one even when i don't need one

@3:23 fathom or phantom? Is that a joke?

Wrong brake. It’s not hard to FATHOM.

Honestly all the changes and tweeks are better with even less issues, all the right moves every time. I love it actually puts a lot of my concerns to a lot less. So far so good the loans take some time while testing is allso being done,less than a year things will take off sooner because of loans allready in the works, all other financial future investors will help with expansion. Things are actually moving along not much different from what I been thinking.

It makes a lot of sense. There is simply less work to be done to build an Aptera as opposed to a Model 3. I thought 6,000 units was optimistic, but the guys building it seem convinced. I want to caution everybody that we still have a long road ahead but nothing worth doing is easy. I am confident we will get our SEVs sooner rather than later. This is just a fantastic drama to watch and I appreciate Aptera's candor as well as the community's excitement. It's just positivity all the way around!

6,000 vehicles to 'break' even. How?

@TomiasM911

Ай бұрын

$35k x 6000 = $210,000,000 Gross profit

SHOW US THE MOTORS

So they spent how much on their "GigaPress" that Munro said they had to get, only to say they will outsource production? Do you see how scammers work?

@danam0228

Ай бұрын

I see how trolls work

@murraymadness4674

Ай бұрын

@@danam0228 Yeah I saw how Elio would pay people to post on youtube how great they are etc etc. Every scammer knows how to scam.

@rw6262

Ай бұрын

@@danam0228 I see how fact deniers work.

@danam0228

Ай бұрын

@@rw6262 says blind

@danam0228

Ай бұрын

@@rw6262 yes, he is

Can't seem to build any. Lots of talk though. Sounds like Elio part 2. Like U to prove me wrong but nothing so far.

@n.brucenelson5920

Ай бұрын

Not even close to Elio in fact. Uninformed comment. *edit - among the major differences is that Elio never had more than a "kit car" with no production like features, nor any production tooling. They also had little IP (perhaps a patent on a seat reclining mechanism) Aptera has a significant IP portfolio, including a method to mass produce curved solar panels, and has also produced tool steel tools that are producing production intent body parts.

@billsmith5960

Ай бұрын

I agree. I have done my due diligence on both companies and both are quite similar. I have worked with startups and in automotive. So, there are a few others that are just like Elio and Aptera. What it comes down to is the market demand for both was not there and thus investors seen that and just walked away. The uninformed investor (aka crowdfunder) invest based on emotion. Thus, they believe it will just happen. Then there are a few other big issues. It's a lie that it takes 12 minutes to build the Aptera. Yet people believe it and just go on. It shows that faith over facts prevail for the crowdfunders and fans. With many other unsubstantiated claims from Aptera (just like with Elio) it becomes more difficult to believe anything the company says. Right now, everything should be locked in and they should have at least a dozen pre production prototypes out doing rigorous testing. Instead, they are still trying to get just the basics figured out and the company has become very non transparent. Again, just like what Elio did. I hope they make a turn for the better but time it running out for that to happen.

@DemaGeek

Ай бұрын

I completely agree with Bruce, Aptera is nothing like Elio. This is a knee-jerk reaction comment with no homework behind it.

@billsmith5960

Ай бұрын

@@DemaGeek - It's similar to Elio. Since Elio was a failure due to lack of demand and funding, we just act like it's not like Elio at all. If Elio was a success, then we'd be comparing it to them.

@murraymadness4674

Ай бұрын

Nothing like Elio? Promises Promises Promises, Excuses Excuses Excuses, Delays Delays Delays, Change of Plans Change of Plans, Need More Investment More More More, They Spend Spend Spend and produce Nothing, nothing nothing. How is this not like Elio? The can't even be as big a failure as FUV and actually produce and sell some cars before they fail. Even more like Elio, you have people like you who are so blind and stupid they can't see the fraud.