Fisker cuts $24,000 off the price of its Ocean SUV in an attempt to stay alive
Fisker
- The most expensive Fisker Ocean is now cheaper than the average car.
- Deep discounts come as the EV startup desperately tries to avoid bankruptcy.
- Big price slashes can be very bad for resale values.
Fisker's pricey Ocean SUV just got a lot more affordable.
The embattled electric-vehicle startup said Tuesday it would reduce the price of the most expensive Ocean by nearly 40% to $37,499. That brings the price of the Ocean Extreme nearly $6,700 below the average price paid for any new vehicle this month.
Cheaper trims are also discounted, with the most affordable Ocean now selling for $24,999, Fisker said in a press release. That's a price point you can't often find on any new car lot these days
The aggressive price slashes come as Fisker is making desperate attempts to avoid bankruptcy. In the past month, Fisker has paused production, warned investors of a pending bankruptcy, and is facing a pending delisting of its stock.
Price cuts are not uncommon in the EV segment, where a price war waged by Elon Musk's Tesla has caused the average price paid for an EV to come down significantly in the past year. As EV shoppers become more frugal, car companies are placing a new focus on affordable electric models.
Bloomberg first reported on Fisker's discounts. The company told Bloomberg that discounts on the Ocean are designed to make the electric SUV "a more affordable and compelling EV choice."
But discounts of this magnitude can do significant damage to a company's resale values, which hurts owners who spent big bucks on the luxurious Fisker vehicles. Overnight, once coveted and rare EVs can lose half of their value.
Do you own a Fisker? Reach out to this reporter at nnaughton@insider.com.