Nikola (NKLA) announced that the company and a partner have canceled an agreement to make electric garbage trucks and the reason they gave it is basically that it is very difficult.
Earlier this year, Nikola, who is best known for his hydrogen electric trucks, and Republic Services, a large United States-based waste disposal company, announced that they would work together to “design and build a fully-fledged garbage truck. integrated and industry pioneer in a zero-emission battery powered platform. ”
Today, they announced that they have discontinued collaboration.
In a press release, Nikola said it would be very long and expensive to build such a truck:
“After considerable collaboration and review, both companies determined that the combination of several new technologies and design concepts would result in longer than expected development times and unexpected costs. As a result, the program is being terminated resulting in the cancellation of the previously announced vehicle order. “
Several other companies are already working and have delivered electric waste management trucks.
BYD has a 3.9 ton battery-powered garbage truck capable of traveling 160 kilometers with electric autonomy.
Mack and Volvo also unveiled electric garbage trucks and Daimler recently announced that he would bring one to the market.
As we have reported in recent months, Nikola is currently in bad shape after a report by Hindenburg Research made several claims exposing the mistake of Nikola and its founder Trevor Milton, including several claims corroborated in previous reports from Electrek and Bloomberg.
Nikola issued a response to these allegations, but, as we reported, the response lacked any refutation of the main allegations of fraud by the company and its founder, Milton.
For the most striking, the claim that it falsified the first video of its hydrogen truck driving, the company even admitted it without issuing an apology and instead claimed that its mistake was good due to technicality.
Milton left the company when the pressure started to build.
Last month, GM canceled the deal to build Nikola’s hydrogen electric pickup truck, and the company ended up returning the deposits to reserve holders.
I know Nikola’s stock has dropped another 10% today after the news came out, but I’m still having a lot of trouble understanding the fact that the company is worth $ 6 billion.
I mean, the excuse they are giving here for this business to fail is basically that it is very difficult to make an electric garbage truck.
It may be very difficult for you, but other companies are doing it very well.
If you want my opinion, I would not be surprised if the Republic ended the deal because they wanted nothing to do with Nikola after being exposed.
Even a company that deals with garbage all the time doesn’t want to deal with Nikola.
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