As electrification and self-driving throws the automotive industry into a Wild West state of transition, the ground has become fertile for a new breed of startups. Chinese utility vehicle maker Sokon intends to take advantage of this environment with a new US-based brand called SF Motors, which will build and sell electric passenger cars.
Signifying its intent, Sokon built its headquarters in Silicon Valley and a development facility in Ann Arbor, Michigan, and is on a hiring spree,advertising on its web site for positions ranging from a Supply Chain Manager to a Director of Autonomous Driving.
The time seems ripe for start-ups in the automotive space, as electrification increasingly takes hold through gasoline-electric hybrids, hydrogen fuel cell and battery electric powerplants. Self-driving development also represent another new avenue for the automotive industry. These changes have already lead to a crop of startup automotive technology companies and automakers, with Tesla being a leading example.
In China, Sokon builds small utility trucks, vans and buses with combustion engines, which doesn't make it look like a natural fit to develop electric cars for the US market. However, Sokon's market cap in China of 15.88 billion yuan ($2.3 billion) gives it plenty of capital.
Last year, the company bolstered its electric drive portfolio by acquiring California-based AC Propulsion, a developer of electric drive systems, along with two other electric drive companies. At the same time, Sokon signed Tesla cofounder Martin Eberhard to a two-year contract to help it launch its US brand.
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