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Here's Why Why EV Startup Companies Will Fail
The EV revolution presents a transformative opportunity for the automotive industry, enticing entrepreneurs with its potential impact. However, it's a challenging venture, far removed from the simplicity of starting an app or social media company. Building factories, designing vehicles, and getting around government hurdles require billions of dollars and strategic planning. Some turn to Special Purpose Acquisition Companies (SPACs) or crowd funding to raise funds, but underestimating capital costs is a common pitfall. Success stories like Tesla and BYD emulate strategies of industry giants like Ford and General Motors, but failures such as Fisker, Lordstown Motors, IndieEV, and WM highlight the difficulty of balancing innovation with industry traditions in this fiercely competitive market.
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