Fisker, the “Tesla killer,” files for bankruptcy

The American electric vehicle (EV) maker filed for Chapter 11 protections, marking the bitter end of an automaker once touted as a possible “Tesla” killer.

Electric vehicle maker Fisker had quite a decade, from casual references in Childish Gambino lyrics in 2014 to Chapter 11 only ten years later. The company met its end, unable to ween off the mounting pressures of the intensely competitive EV market.

“Like other companies in the electric vehicle industry, we have faced various market and macroeconomic headwinds that have impacted our ability to operate efficiently,” Fisker’s spokesperson said. “After evaluating all options for our business, we determined that proceeding with a sale of our assets under Chapter 11 is the most viable path forward for the company.”

According to Reuters, the company’s operating unit, Fiskers Group, controlled assets worth an estimated $500 million to $1 billion and liabilities of $100 million to $500 million.

The company’s 2023 result report indicates that it delivered 4,900 vehicles while producing 10,193 vehicles. The company lost $762 million, compared to sales of $273 million last year.

The company said its manufacturing pause, announced earlier in 2024, will remain in place. However, Fiskers Inc. and other US subsidiaries and subsidiaries outside the US were not included in the Chapter 11 filing.

The company was founded in 2007 by Danish automobile designer Henrik Fisker. The company promised to bring style to EVs, raising over $1 billion in funding.

The EV market has been under increasing pressure as new players enter it at scale. In January this year, Chinese automaker BYD sold more electric vehicles than Elon Musk’s Tesla, taking the crown away from Musk for the first time.

In late March, Chinese tech giant Xiaomi launched its EV, which reportedly sold out within 24 hours.