Irvine, California-based Karma Automotive, manufacturer of high-end luxury vehicles and owned by Chinese automotive supply company Wanxiang Group, appears to be in difficulty if you can believe the anonymous sources in the trade press.
According to rumors and raw random data, the company's Chinese owner has reduced funding for the company and one should not be surprised by an additional layoff of the majority of the remaining employees in early May.
Some say that the many photos released to the media may have been one-off prototypes and the vehicles and components do not exist in a viable form to be manufactured or sold.
One media source claiming to report on the problems can be found here.
As Karma attempts to transform and reposition itself as a technology company rather than a more limited luxury car manufacturer, we are seeing the stresses and strains of this effort. Notably the past layoff of 260 workers, mostly at its Irvine, California headquarters, and a smaller number at its Moreno Valley, California manufacturing facility.
At the time, a company spokesperson noted...
“As Karma evolves beyond its initial birth as car company and emerges as a technology-focused innovator, there is a continuous need to adjust the size and skillset of its workforce to fulfill the task at hand.
The company has therefore determined it necessary to realign resources in some business functions so it can grow its capabilities beyond just creating and selling luxury electric vehicles. As Karma builds partnerships with other OEMs and start-ups to speed product development, we must staff appropriately to fully leverage and realize the kinds of efficiencies partnerships and collaborations can provide.
The result of that decision is some adjustments at Karma’s Global Headquarters in Irvine, Calif.; the Karma Innovation and Customization Center in Moreno Valley, Calif.; and our Detroit Technical Center in Troy, Mich. Although clearly regrettable for the individuals involved, this action is part of the natural trajectory of a start-up enterprise and underlines Karma’s commitment to remain lean, nimble, and focused on building partnerships to encourage success in a changing and hugely competitive marketplace."
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering