On October 31, Faraday Future announced that the company had received the net proceeds of the previously announced $30 million committed financing. This infusion of funds, sourced from investors in the Middle East, the United States, and Asia, undoubtedly serves as a shot in the arm for FF. Officials stated that this funding will be used to support the delivery of the flagship model FF91, the gradual recovery of the supply chain, and to provide financial support for the second brand FX project.

Before the financing was completed, FF had increased the annual base salary of company founder Jia Yueting from $450,000 to $680,000, a 50% increase.

Jia Yueting personally commented on the $30 million financing, stating that while it may not seem like a large amount for traditional automakers, it is of great significance for FF and the second brand FX, especially in accelerating the advancement of FX. FF mentioned in its announcement that in addition to the recently completed financing, the company has also reached agreements with several key suppliers. These agreements not only strengthen FF's operational partnerships but also support the company's commitment to continuously optimizing cost efficiency in formulating its dual-brand strategy.

Image from Faraday Future Automobile official

On October 21, FF announced that its two FX 5/FX 6 models under the second brand will offer both "EREV AIEV" and "BEV AIEV" power configurations, and plan to roll off the first model by the end of next year, provided that the necessary funds are obtained.

Jia Yueting expressed regret over Tesla's potential elimination of smart electric vehicles priced below $25,000, viewing it as a significant loss for the US electric vehicle market. He emphasized that the US automotive industry should vigorously promote smart electric vehicles priced below $25,000, similar to the Chinese automotive industry, to drive industrial change.

Jia Yueting then stated that since Tesla is not making smart electric vehicles priced below $25,000, FX will fill this market gap. FX plans to address the pain points of US electric vehicle consumers, such as purchase costs, usage costs, and range anxiety, by launching a product portfolio of EREVs and BEVs priced between $20,000 and $30,000.

Jia Yueting also stated that currently, EREVs have gradually gained recognition from the US automotive industry and mainstream OEMs. FX aims to create and popularize "twice the performance, half the price" ultra-intelligent electric vehicle products in the US market, striving to become the Toyota of the smart electric vehicle era.

Although Jia Yueting's FF mass-produced vehicles have not exceeded 20 units to date, the company continues to receive funding, which speaks volumes about Jia Yueting's fundraising capabilities. Currently, Jia Yueting seems to be pinning his hopes on the second brand FX to capture market share in the US smart electric vehicle market in the mid-to-low end. However, the first mass-produced FX vehicle will not be available until the end of 2025, and whether it can be smoothly mass-produced remains uncertain.

While ambitious, FF's plan also faces multiple challenges in terms of funding, technology, and market. In today's increasingly competitive electric vehicle market, whether FF can achieve a breakthrough with the FX project remains to be seen over time.

Source: Leitech