All things 'eco' has
been the macro-economic mantra ever since the Kyoto Summit over
twenty-five years ago.
Whilst Japan had been
ecologically and sustainability minded because of its limited natural
resources for many years, and had long been developing a low-carbon
ideology, it wasn't until the efforts of America's Al Gore (with his
scaremongering graph of near exponential CO2 growth into an 'untamed'
future) that the West started to take 'climate change' seriously.
That stance now somewhat undermined by John Kerry's recent visit to
Paris, this era of cheap oil and US shale-gas reserves effectively
promoting the use of fossil fuels as a critical element of economic
expansion.
However, this new
propensity for socio-economic, and critically industrial 'eco' change
still underpins 21st century perspectives, and is driven
as much by the desire to leverage the West's technical advantage
compared to advancing developing EM regions dependence to date upon
older methods, as it was about the desire to stabilise the quality of
the air we collectively breath and the water we drink.
However, as now seen
again with Kerry's stance, given its reliance on fossil fuels to
power its 20th century ingrained economy, it was no
surprise that America lagged the good intent of others, such as the
Japan and Scandinavia. The former with research/development prowess
and the latter with natural hydro-powered resources had good reason
to promote the ecological ideology. Behind Gore's campaigning was no
doubt the strength of Wall Street, America's global soft power
advantage to have the US$ directed where necessary to buy-in foreign
know-how where the previous technological limits of American
capabilities fell short.
That said, whilst other
nations had somewhat esoteric technical leads, the USA had and has
the power of its own industrial history, its enormous domestic scale
and its commercial ties across the rest of the world.
That has meant a
resuscitation of old, yet meaningful industrial strengths, most
notably a recasting of the 1950s 'futurama' dream centred around the
beneficial properties of lightweight aluminium. Ford's step-change
decision to re-engineer the body structure of its new F-150 is a
subtler yet far more commercially powerful evocation of “new
future” promise made by Airstream (leisure trailers/caravans) soon
after WW2.
American big business
then - depending upon its domestic and global strategies – is in a
necessarily slow manner, undertaking its own reformation process,
from Ford's scale use of aluminium to General Electric's scoping of
small-scale, early-phase development ventures for applications in
aero-engineering.
The investment
communities located in Wall St, Palo Alto, The City, Amsterdam,
Paris, Frankfurt and Milan – aswell as further afield – are
trying to keep ahead of the 'ecological curve', yet are all to aware
of the “ecological curve-balls” induced by wrongly backed
technologies and companies that could be ultimately value destructive
to the private equity interests of Sovereign Wealth Funds,
Institutional Investors and HNW groups.
The transmogrification
of the Transport Sector, through both evolutionary technical
development and technical sector disruption is one of the primary
fields for research, analysis and recommendation by investment
luminaries. Yet whilst such 'future forecasting' investment minds are
able to digest what is on the development horizon - Jim Mellon a good
representative – the ability to predict and help guide such change
to deliver prosperous futures for societal stakeholders and investors
alike is another challenge altogether.
Especially so when, as
history demonstrates, any such new desire for socio-economic change
(itself under-pinned by technological progress can be a band-wagon
upon which many decide to ride, from the wholly optimistic and naïve
to the snake-oil sales-people promising much and delivering little if
anything.
Given its immense
importance to society, along with energy, life-sciences etc, the
transport sector – and specifically the personal transportation
device (from car to bicycle) is an arena that has always been seen as
ripe for re-invention.
The lightweight,
fuel-sipping and affordable new car the seeming ideal – today of
course with aligned ecological impetus.
The early success of
the Edwardian quadricycle car (eg Ford and Morgan) to the further
'democratisation' of the 'car' in the form of Voisin's tiny
Scootamobile, its enclosed British counterpart the Peel Trident, the
BMW Isetta to the long-lasting success of the Ligier micro-car brand
(thanks to historical precedence of the French regulatory
environment).
But as ever, given a
combination of the public's automotive fascination, the influence of
social trends and the immense financial value of the automotive
marketplace, domestically and globally. there is always the
“visioneer entrepreneur”, many it seems originating from the West
Coast of the USA with disruptive vehicle models as well as disruptive
business models.
Whilst the reach into
new sectors by the Californian 'IT Technocracy' is best exemplified
by Tesla Motors' efforts with its pure EV sportscar, sedan and yet
launched SUV, far from its Fremont factory is another far less known
hopeful who likewise seeks to change the mode of personal transport,
in a 'radically conventional' manner
A radical form,
conventionally propelled.
Elio Motors -
Established in 2008,
this start-up has sought to propose what at first appears to be
rational eco solution for today's and tomorrow's rapidly growing
urban and suburban dwellers; firstly across the USA and latterly
elsewhere.
The proposition itself
appears notionally futuristic given its unconventional 3 wheel
configuration., but infact could be viewed in the realm of
'retro-futurism' given its ancestral forebears. This appreciation
with a commercial model centred upon the reconfiguration of cheaply
available components means that it could be said to have the
philosophical overtones of 'steam-punk' if far from its aesthetics.
Most importantly, with
its HQ in Phoenix, Arizona, the start-up firm has specifically chosen
to mimic the central message of the now legendary 1965 film 'Flight
of the Phoenix'. Done so in its central business model by
reconfiguring off-the-shelf components available from a standard
compact hatchback or sedan into a new overall redesigned and adapted
conceptually new proposition.
Just as the crew and
passengers of the ill-fated cargo plane in the film combined to
produce their own phoenix to escape the Libyan desert, so the board
and staff of Elio Motors continue to hope that it can create its own
'white space' innovation in what it sees as the contemporary desert
of vehicle invention.
[NB this but one
example of how Hollywood's once fictional output has had such an
effect on the public consciousness that US money-men seek to leverage
that associative relationship in new enterprise].
The Elio vehicle itself
appears part car, part motorcycle given its 3-wheeler configuration,
whereby two lead wheels are followed by a trailing single wheel.
This intentionally done
so as to fit with regulations that allow those with either a
motorcycle or car licence to drive. This then seen as casting
a wide net over theoretical potential buyers, especially the young
who are reported to be less inclined to undertake the efforts to gain
a car licence, and indeed run a car, given their increased urban
lifestyles and compressed income levels. Instead more likely to ride
a bicycle, scooter or motorcycle, and so in turn more likely to view
the Elio with greater favour.
This the perceived
theory at least.
The 3-wheeled vehicle
itself is best described as a fully enclosed, fuselage based, tandem
2-seater, with front engine located FWD. So utilising a direct
technology transfer from the small car segment, itself in use for the
last 40 years. As seen by the accompanying photo, to the lay-person
however the foot-print and over appearance is far from the norm.
Likewise, the Elio
re-deploys the usual comforts of a small car, such as steering wheel,
power windows, full seats, and safety systems such as air-bags.
The firm's website
seeks to convince of the proposition, espousing the low price point
of $6,800 , the 84mpg fuel efficiency and being American made.
However, attraction
statements such as “gas prices constantly spiking” and comparison
to the average “flatulent cow” are flawed.
Presently crude and
sweet oil is at record lows, and with good margins at the pumps for
integrated oil companies and the political desire to maintain low gas
prices the idea of price spikes is an anathema. Likewise, comparison
to a cow is disingenuous, since a the typical dairy cow (being a
ruminant) actually emits a great deal of green-house gas per head,
hence the concern about the global effect of milk and meat
production.
A far truer description
is given about the re-engineering of the vehicle, its fit for purpose
approach and the design for manufacture and cost approach.
Yet realistically, Elio
has chosen to effectively bolt-on the front 'cradle' (engine,
gearbox, sub-frame suspension, brakes and wheels/tyres) to the front
of its 'fuselage'. Combined these components make up a large 'module'
and can be sourced from used cars or obviously from suppliers as
discrete elements. Thus say the front end of a previous generation
Chevrolet Spark, Ford Ka or Chrysler/Lancia Ypsilon could be used, or
even something larger from the Compact category in the USA.
Historical Re-Cap -
Both 'old time'
engineers and investors will state that “nothing under the sun is
new”.
The motorised tricycle
(or trike) is as as old a format as the 4-wheeled quadri-cycle. In
fact what many consider as possibly the first automobile, Cugnot's
steam dray wagon of 1769 was itself a 'trike', with single front
wheel at the front (with boiler beyond), the layout of many
motorcycle based trikes from the Victorian era onward.
The layout has been
historically successful in the commercial utility realm, initially in
farm tractors (eg Farm-All, John Deere and many more). Then as a
small high mobility utility tractor unit for both trailers and with
extended rear as a mini-truck. Typically within relatively confined
spaces (eg dock-sides, railway freight depots, and general
ware-houses), the models from Germany's Hanomag and Britain's Scammel
best known from the 1920s through to the 1960s. Similarly, with a
lighter payload and GVW is the Piaggio Ape, in city-truck and
passenger guises, later licensed by various Indian (and other)
manufacturers to produce the now legendary 'tuk tuk' taxi.
However, in the private
passenger car arena the layout has (understandably) been less
favoured.
It has been effectively
understood that whilst the Edwardian Morgan and its Euro- American
counterparts attracted early motorists for on low-level price and
running costs - based largely upon motorcycle parts – as soon as
“proper” small cars were made available both new and critically
second-hand, the very formula of the motorised trike was deemed to
rudimentary, and so by-passed by the vast majority of the car buying
public. Hence, the public's preference for the Austin Seven or
Peugeot Bebe of the 1920s and 1930s and the Austin Mini or FIAT
Cinquecento of the 1960s, etc.
Nevertheless there have
been various efforts to create an all conquering 3-wheeled private
vehicle for the masses, well before the Elio. Many failures, and a
few moderate successes.
The Single Front Wheel
Configuration -
The high mobility
enjoyed by the likes of the Hanomag and Scammel tractor and truck
workhorses was also touted as a new USP for potential private
vehicles, none more so than during the late 1940s with Davis Divan
car on the USA.
Billed as 'the future'
for somewhat cash-strapped consumers and returning service-men, its
wheel layout was marketed as akin to that of the landing-gear for the
exciting new age of jet aircraft – the front wheel replacing the
trailing rear jockey-wheel. However, history demonstrates that its
apparent entrepreneur was far more interested in raising funding for
his own nefarious ends. The seed money and syndicated funds from 350
prospective dealers ultimately “absorbed” by a costly nationwide
publicity campaign and seemingly 'lost' on other start-up costs. With
only a few demonstrator cars built, it was recognised that the
innovation and novelty Mr Davis promised to the many, most despicably
using the public's goodwill towards servicemen, was little more than
a questionable business platform for his self-serving monetary
desires.
As regards the polar
opposite...
Far more creditable
were the efforts of Britain's Reliant Motor Co from 1935, through to
1956, 1973 and onto the early 1980s with the initial Regal, its
successor the Regal II and later (in)famous Robin models.
The Regal had been
created in 1935 (and followed similar other vehicles) specifically to
cater for the many people (typically men) who were restricted by a
motorcycle license. Those who sought their own self-trade delivery
vehicle, or could additionally be used within a larger firm's van
fleet, proving very successful. The design of the Regal II changed
markedly to become far more car-like in styling given its post-war
targeting of a new private car market. It was for those who had
either having ridden a motorbike all their lives or having learned
during the war and by 1953 with savings enough to either buy outright
or put a deposit on a couple's or small family car. Typically sold to
older folk, the Regal was also made available in van guise as a
successor to the Regal Mk1. This model went through six iterations
before the introduction in 1973 of the all new body Robin. Marketed
as 'all new', this saw 3 generations with engine displacement
increased and ongoing style and feature changes, ending UK production
at the Reliant Tamworth site in 1983, and elsewhere by 2002 under
different ownership. (Licensed for production in Greece between 1974
and 1978).
Cruelly named “the
plastic pig” in its dying years, given its lightweight fibre-glass
body construction, in its Regal guise (and in the early years of
Robin) the vehicle made complete sense as a small and economical trade
and private runabout. Although previously the BBC's Top Gear
programme abused and ridiculed the Robin, it was safe enough when
driven within its somewhat restricted limits compared to modern
vehicles. The most concerning dynamic being the vehicle pitch during
a braking turn, since the mass of the car is 'vectored' toward an
unsupported corner.
However, wholly unlike
the Davis Divan of America, it was born from necessity and
consistently gave its customers good service and proved for many
decades to be a sound business model for its private shareholders of
Reliant Motors. Rudimentary in character but demonstrating itself as
eminently capable in its limited capacity role.
Seeking to redeploy
their capabilities in new market sectors Reliant created the The Bond
Car Company and the 'Bond Bug' was launched in 1972, providing sporty
appeal, novelty entry system, updated 'wedge' styling in a small
2-seater body.
After the Vietnam war,
returning US servicemen who had become partially disabled or who had
lost part or all of full left limb, and who had previously been
bikers often (very understandably) chose to live the escapist dream –
at least part-time – of the counter-culture classic film 'Easy
Rider'. To do so a new trend for motorcycle based trikes was born,
often using the cheap rear engine and drive-train mechanicals of an
older VW Beetle for motive power. A trend which has continued in the
biker sub-culture to this day, and at times upon which major
manufacturers such as Harley Davidson and Honda have offered
officially approved, externally built versions.
Later the Vanderbrink
Carver was born using a self-tilt system for improved 'lean-in'
cornering to better balance the centre of gravity, aid traction and
provide new driver experience. However, with only a few sold
Vanderbrink fell into bankruptcy by 2009. the same system has since
been seen on BMW's CLEVER concept.
The Double Front Wheel
Configuration -
(As per Elio)
Quite obviously there
is far greater stability in having a layout which deploys two front
wheels and a single fixed rear*; seemingly even better if FWD to
ensure greater traction (as per the Elio).
[NB * the use of rear
steering akin to a fork-lift truck, very problematic when deployed at
anything above very low speeds].
As stated this double
front steer package perhaps first popularised in the UK by the early
Morgan Aero 3-wheeler. Itself re-produced more recently for the
marque's 'connoisseurs' and to add additional authenticity to the
brand.
Having seen the trend
for race drivers to drift the tail through corners with the belief
that overall speed was maintained, (often seen with raced Morgans),
in 1923 the Voisin Brothers of France (of aeronautical fame)
re-focused their experimental and progressive mindset upon cars:
creating the 'Laboritoire' grand prix car. This likewise had a “front
pincer” layout but used two closely coupled wheels at the rear
instead of a single to prove better 'to the limit' traction. It was
thus not built as a mass market car, but Voisin hoped it would
influence general vehicle packaging; but did not.
Likewise the
experimentalism of the period meant that by the forward-looking 1930s
the industrial designer R. Buckminster Fuller sought to apply his
heavily marketing derived, psuedo-scientific 'dymaxion principles',
to the car. Having already deployed them upon much from
domed-buildings to consumer packaging his team created the Dymaxion
Car: a radical conceptual proposition ostensibly derived from Eastern
European engineering principles (TATRA et al). It enjoyed 'forward
control' driving position and commodious cabin space, both assisted
by the rear engine, and even rear steering. The latter great in the
city at low speeds, but highly dubious (and indeed dangerous) at any
medium speed or above. Wholly infeasible for mass market, or indeed
niche market, production, it was created solely to demonstrate a
story of American creativity – even if actually adopted from
elsewhere – and was shown at the 1934 'Century of Progress' Fair in
Chicago.
By the late 1940s, with
post-war austerity across Europe, the age of experimentalism had long
passed. Instead European countries needed to mobilise its people for
reconstruction and to earn export income. It was this that lead to
Piaggio's revolutionary Vespa scooter. However, the fact that Germany
was virtually prohibited to build a standard automobile – seen as
an overtly “high value”, potentially high selling item meant that
it forced to re-look to the 3-wheeler cyclecar idea and small and
under-powered 4-wheeled micro-cars. (The only car exception was the
VW Beetle, initially in small numbers for use by the Allies).
However, this took far too many years to allow for immediate post-war
earnings, with many bubble cars not released until the mid and late
1950s.
The ex aeronautical
firms Heinkel, Messerschmidt and BMW, having given its advanced jet
technology to the Americans, British and Russians, had to restart
vehicle production far further down the 'value-added' scale, with
'bubble cars'. Best known are the Messerschmidt KR175 and KR200
between 1953-5 (ostensibly the same 'fuselage – tandem' layout of
the Elio, though rear engined), and Heinkel with the more bulbous
Kabine with side-by-side seating in 1956-8. BMW's Isetta was infact a
licensed product from Italian firm Iso, yet saw domestic popularity
between 1955-62 9also with a double rear wheel version). Fuldamobile
operated between 1950-69 and offered models such as the Alta, Attica
and 200 series. Many other micro car firms emerged, yet few actually
prospered given the short commercial lifespan of the micro-car
marketplace.
The 3 wheeler
effectively disappeared until the mid 1970s, when (as previously
stated) a new trend for trikes came to pass amongst disabled and
older bikers, often seeking greater convenience, comfort and carrying
capacity than offered by 2 wheels. In turn that trend was sought to
be commercialised by both motorcycle manufacturers in small volumes
and by other specially created niche build firms. To gain much needed
differentiation the likes of the TriHawk were created; echoing the
Morgan Aero single rear wheel configuration, but typically driven by
a rear mounted small engine and deploying more side by side seating.
Elio Motor's:
Re-Invention of the Forgotten Past -
The Story of the “La
Mathis VL333” -
Paul
Elio's vehicle development efforts represents a contemporary
re-invention of a general concept that has been a theme of
'visioneers' from the past, one of them the French Emile Mathis and
his 1940s venture. This perhaps a best fit parallel by way of the
brief history of the 'La Mathis VL333'.
This
taken from the Beaulieu
Encyclopedia of the Automobile:
“While
best known here in the States as the man who teamed up with Henry
Ford to build and sell FoMoCos in France (under name Matford), Emile
Mathis had a much more detailed, nuanced and altogether interesting
life in automobiles outside of his involvement with old Hank, from
1935 to 1938.
After
selling his shares of Matford, he tried to build marine engines in
the States under the Matam name, but after World War II, he returned
to Europe, where he began work on what would have been a fairly
revolutionary car. He called it the VL 333 – which stood for
voiture legere, three liters of fuel consumed for every 100
kilometers, three wheels and three seats. It had a unibody structure,
a Jean Andreau-designed body and front-wheel drive with a
front-mounted 700cc boxer engine.
Mathis
shopped the VL 333 around, but said that he couldn’t convince the
French government to allow him to produce it, thus negating the
question whether he could actually convince suppliers to help produce
it. It appears he made just the one VL 333.
This then highlights how even by the mid 1940s the western automotive
scene had been cast in stone, the standard architecture of the car as
we know it well entrenched for nigh on 30 years, with likewise the
market strength of large national and international firms; who
themselves would produce alternative radical concepts but see little
value is trying to disrupt the conventional model of mass private
transport. A model which sits at the heart of broad and complex
global economies.
Obvious Doubts Remain -
For all the examples of
3-wheelers over time, given the innate draw-backs of greater
instability, increased chance of loss of traction and reduced
packaging space, ultimately versus a comparable 4-wheeled car, the
reduced overall proposition has many more performance and
functionality deficiencies.
One old adage that
'trikers' and critics both agree upon is that given the centrally
located rear wheel, “if there is a pot-hole in the road you've got
three (not two) chances of meeting it”
The
innate problems with the trike has meant that when Peugeot (PSA),
sought to look into the world of urban light vehicle transport,
prompted by the advantages of scooters (in which another company
using the Peugeot brand operates), it chose another very different
'scooter - tandem' inspired concept.
The
Peugeot BB1 of 2009 is a small tandem arranged 4-seater, with a
necessary SWB, all-electric propulsion which critically offers 4
wheels. (Thus closer to a combined Daimler Smart ForTwo and ForFour,
with scooter seating).
Idealism
Over Reality ? -
As
with the progressive efforts of others such as Amory Lovins and his
hypercar concept (ultra lightweight and frugal, though conventionally
configured), it seems that Paul Elio is indeed “a man on a mission”
to revolutionise personal transport for the individual and, no doubt,
ideally the masses.
Whilst
his continued and undiminished optimism will likely gain applause
from those who consider themselves eco-warriors, experimental
consumers and technological early adopters, a car is very different
to a smart-phone, 'wearable' or new food craze.
Although
probably seen as the battling underdog versus the 'capitalist
machine' that is Detroit, it is very possible that Elio Motors,
beyond Paul Elio's own commercial desires, the 'white space' occupied
holds a place within a broader conceptual picture – of scenario
planning based potential outcomes – prompted by perhaps a fellow
board member or other influential figure.
From
its beginnings it seems that throughout commercial history the
relationship duality of inventor-innovator with seemingly supporting
commercial accomplice has been fraught with at first idealism, then
latterly friction. The theory of course, from partnerships upwards,
is that the commercially inclined and aware partner has the remit to
raise development, production and distribution funds by which the
innovators idea can be refined, marketed, launched and scaled-up into
production for roll-out across a sales base.
However,
all too typically, what seem the basis of a good partnership or
syndicate is obscured by the hidden true intent of the commercial
'activist'. Either, selfishly seeking an interim living for
themselves paid for by either the innovator's own funds, or with
early phase presentational success from a third party; and at worst
misrepresenting themselves as wholly 'on-side' with the founder
whilst in fact acting as an espionage agent for an already sector
entrenched competitor or rival start-up.
This
may not indeed be so within Elio Motors, but in the all too common
scenario whereby start-ups need business advisory from those with
broad network interests and influence, the likelihood is always
present.
It
is invariably the soundness of this “innovator - commercialiser”
relationship which underpins even the smallest chance of eventual
market success; and this without the invariable battle against the
ingrained norms of sector and consumer which in itself takes up so
much time and resource.
Board
Level Connections -
A
view of the website show that various board members have connections
to and experience of:
-
Motor Liquidation Company (the once 'toxic' assets separated from new
GM)
(hence
the Shreveport facility)
-
Daimler AG (via the previous Daimler-Chrysler entity)
-
New venture and EV networks (ie CarWorks and Next AutoWorks)
-
Supplier Networks (ie Lear Corp, etc)
-
Distribution and Sales (ie Daimler Smart via Penske Auto Group)
-
Commercial Real Estate (acquisition, leasing and re-purposing)
Concept
Vehicle or Investment Vehicle ? -
But
of course, beyond the high personal ideals of creating one's own car
company – all the better with socially relevant credentials - there
have been many occasions in the past whereby the generated publicity
of a new concept vehicle, has in fact been at least part of a façade
for the procurement of a factory site's freehold or long lease at low
cost.
Typically
acquired during the lowest point of an economic trough with the
capital value gain as the economy improves. With indeed the
possibility of the entire start-up business model re-orientated to
take advantage of alternative 'new opportunities'.
This
appears to have been one of the hidden aims of the now legendary
Preston Tucker in post WW2 America.
He
portrayed himself as a man who seemingly hell-bent upon the technical
advancement of the mass passenger car with his 'Tucker 48'
(popularised as the 'Torpedo').
He
sought to offer tomorrow's safety features of a pivoting central
headlight and under dashboard 'crash shelter' – both little more
than publicity exercises given their true functionality. On the
production side he specified cheaply bought, and not very well
performing, surplus aviation engines, once again for marketing hype
given patriotic and hi-tech overtones; which reduced the BOM (bill of
materials).
However,
unlike his very well self-funded, aeronautically inclined, notional
counter-part Howard Hughes, when Preston Tucker sought the purchase
of a massive war surplus factory, the sheer scale of the empty
facility made those in the auto-industry question his wholly
unrealistic ambition, if the site was indeed to be used, as stated,
for the venture's own small manufacturing volumes.
Tucker
sought to partly use (as he did) and thereafter sub-lease the
facility to other auto-related firms. But few others were tempted.
His back-stop, or possible real ambition, to 'flip' (ie sell-on) his
interest in the all too large facility in better economic times also
crumbled, given its enormous size.
The
true intentions behind this seemingly wholly illogical decision
regards scale were further blurred, or made clear, by his 'Pre-Order'
accessories scheme. In post-WW2 America, those civilians who bought
and paid for pre-ordered feature items and merchandising items could
reserve a vehicle and not be bumped-down the order list by the
official, and much publicly condoned, sales preference to returning
service-men. This then obviously bringing-in early phase income.
Tucker's
salesmanship and aligned business gambits were of course of their
time, yet the post 2008 credit crisis also provided a once in a
lifetime opportunity to purchase large, low value plant facilities,
none more so than through the Motors Liquidation Company.
This
time, as Fox News reported in January 2013, such properties were
commercially handled by the RACER Trust, with dozens of ex-General
Motors' sites on its books after GM's Chapter 11 restructuring. Yet a
spokesman for the RACER Trust denied knowledge of the Elio proposal
at the time. (The truth behind the innate politicking between
negotiating parties was/is hard to ratify).
Elio
Motor's targeted production site is Shreveport, Louisana, a 3.1m sq
ft plant that previously produced GM pickup trucks and the mid-size
truck based Hummer H3. Paul Elio wholly admits that the site is
indeed overtly large and to help off-set costs seeks to create
discrete partitions by which other companies can take up operations.
By
January 2015 (Wikipedia states that) $65m had been secured, a further
$230m was required, of which a hoped for portion worth £185m to come
through the Dept of Energy's 'Advanced Vehicle Manufacturing' budget.
The Italian tool and plant supplier Comau (a subsidiary of FCA Group)
is said to be fitting-out Shreveport for Elio Motors' use.
Yet,
to date, postponement of what may be called achieved 'project
gateways', and it seems capturing of funds, means that little true
apparent progress has been made.
It
appears that the RACER Trust is well aware of the future potential of
Shreveport and its many other sites (eg Livonia, Flint etc), and has
a remit to ensure that it is able to capture both a substantive
valuation increase of the worth of its real estate, and critically
that any new use (auto-related or otherwise) is able to offer
economic regeneration to the locale.
Hence
RACER will be naturally weary of any firm that seeks to potentially
buy and flip its stewarded properties.
Engine
Timing -
Likewise,
the intended 3 cylinder engine, apparently engineered by IAV has not
come into fruition, so delaying the product and process time-lines.
Moreover,
it appears odd that such a small-scale start-up venture would seek to
create either its own engine, or chose to heavily modify what should
be an 'off-the-shelf' unit. Indeed given the lightweight body
construction, any number of readily available 3 or 2 cylinder engines
could be feasibly used from other car or motorcycle manufacturers or
direct from OEM suppliers, standard 'crated' units procured as
necessary.
To
End -
As
seen throughout automotive history, there have been visionary
dreamers who seek to revolutionise the everyday norm, from Karl
Benz's first creation of the car through to Clive Sinclair's efforts
with his C5 electric trike, and today beyond, some with
semi-realistic aims and others with fantasist ideas.
However,
the problem with those semi-realistic aims, with obviously Elio
Motors at the margins of this envelope, is that the reality of
creating a start-up alternative car company is fraught with problems,
from product acceptance by the public and its massive costs of a
marketing campaign, through to the sourcing of identical and near
identical components and modules when up and running as a serious
operation.
[NB
the tribulations of the UK's niche vehicle industry in securing
bought-in parts has often been a major contributing factor to product
and business demise].
Alternately,
as seen with Preston Tucker, either the all too commercially aware
inventor themselves, a partner or influential internal/external
figure, may be using the business as little more than a smoke-screen
to actually acquire assets – typically real estate – at a low
price. With the intention of being seen to attempt to run a
respectable business, while in effect the auto-business model is set
up to gain government aid (special enterprise zones for employment or
eco-tech and ideally both), create a trickle of produced cars, and
ultimately fold with the prized asset(s) sold off via a separate
entity to ensure a cash windfall. Such an example today would see the
any such large plant sold off to the FDI interests of a serious,
large foreign entrant (most likely Japan [assisted by Abenomics],
S.Korea, China or India).
This
may well be the view the RACER Trust takes of Elio Motors and other
similar efforts across the USA like it, simply an intermediary
buyer-seller.
Only
time will tell if Elio Motors has indeed caught or created the
beginnings of a light-trike age for a new generation mindset, or if
the diplomatic interests under-pinning FDI into the USA succeed.
Even
if the latter, Paul Elio, if backers see a true possibility, he has
the opportunity to fly his automotive phoenix elsewhere across the
USA.
Perhaps
looking at another 'bird' before doing so...the 'TriHawk' and its use
of more cost effective, fuel efficient motorcycle technology. Only
because little exists in this world which is “neither fish nor
fowl”.
