Mass produced electric cars coming in 2008

Mass produced electric cars could soon be a reality if a company called Think Global has it’s way. The company is planning to launch it’s two-seater EV (Electric Vehicle) named Think City in the US by 2008. The mini car uses only battery power as its energy source and produces zero emissions. Vehicles that run on electricity have no tailpipe emissions. EVs have lower “fuel” and maintenance costs than gasoline-powered vehicles. The cost of an equivalent amount of fuel for EVs costs less than the price of gasoline. Also, maintenance for EVs is less—EVs have fewer moving parts to service and replace, although the batteries must be replaced every three to six years. The Think City is about 2 feet shorter than a Mini Cooper, though a bit taller. The car goes over 110 miles on a single charge and the battery can be charged using the electrical outlet at home. Top speed is currently capped at 62 mph. These cars will be internet-ready right out of the factory. The car does not need any regular maintenance such as oil changes, filter changes, etc.

Think Global CEO, Jan-Olaf Willus bought the company in a fire sale after Ford wanted out of the EV car business. Ford had originally bought a company called Pivco that designed the first generation of Think City cars.

The company plans to sell these vehicles entirely online with no showrooms. To test drive the vehicle, prospective customers will have to send a text message to a US short code number (yet to be assigned), receive the address of the nearest car sharing franchise. Once they test drive, they can go online and complete the order by customizing the vehicle.

Another innnovative concept that Think Global brings is that of leasing the battery instead of selling it. The reason for this is that the battery is the most expensive part of an EV car and costs upwards of $34,000. By leasing the battery, Think Global hopes to make it very attractive to early adopers and trend setters. Currently, the batteries are manufactured by a company called Zebra. The company has also signed an agreement with Tesla for Lithium Ion battery packs and hopes that mass production will lower the cost further. Tesla is the company that is making an EV sports car called the Roadster. This plug-in sports car accelerates from 0-60 mpg in 4 seconds and can go 200 miles on a single charge, with a top speed of over 130 mph.

Among the investors include Rockport Capital Partners and DFJ Element, both of whom are known as “Clean Tech” investors in the US. The company has raised over $60 million in working capital from various sources. Ford had spent over $150 million into this venture before selling it to Think Global. This gives the company a great start at a fraction of the cost of what it would take to do it from scratch.

For more information on how EV cars work, watch this video:

This article was inspired by the Business 2.0 article titled Have you driven a Fjord lately?