The situation at Fisker is deteriorating rapidly. With dwindling cash reserves, the company is resorting to drastic measures to generate revenue, slashing prices on its electric Ocean SUV and actively seeking a buyout. The financial management at Fisker appears to mirror its approach to handling warranty repairs, with reports emerging that the company is utilizing components from pre-production vehicles to address issues with cars already in the hands of customers.
According to sources cited by Business Insider, Fisker is dismantling existing vehicles to rectify issues in those that have already been sold. The Fisker Ocean has been a subject of numerous consumer grievances concerning quality and safety. The NHTSA is currently investigating three safety concerns associated with the vehicle. A backlog of service requests, exacerbated by parts shortages, has compelled Fisker to start salvaging components from cars in its storage facility.
2024 Fisker Ocean. Fisker
The company’s inventory comprises a mix of pre-production test vehicles and returned customer cars, along with unsold stock that serves as a parts reservoir. Allegedly, salvage operations have included components such as door handles, windshields, body control modules, and tires. Reports suggest that Fisker has been sourcing parts from these vehicles since June 2023, when deliveries commenced, and has relied on them for up to 15% of recent repairs. Fisker denies these allegations, as conveyed in a statement to Business Insider.
If Fisker fails to secure a buyer, the implications for owners could extend beyond shortcuts in warranty services. In the event of a company collapse, obtaining repairs might prove unfeasible due to an abrupt cessation of parts supply. The best recourse for Fisker owners currently hinges on a potential acquisition of the company or its assets, akin to Fisker’s prior attempt in the luxury electric car segment. Some situations appear persistently unchanged, don’t they?
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