After considering four different states, emerging electric vehicle manufacturer Faraday Future has picked Nevada for its new factory.
Faraday Future, which previously asked to be called FF, had also been talking with representatives in California, Georgia and Louisiana. Though its headquarters are based outside of Los Angeles in Gardena, it’s not surprising that FF selected Nevada for its factory. Last year, Nevada lawmakers offered $1.3 billion in incentives to entice Tesla Motors to build its Gigafactory within in the state.
FF’s agreement, according to a letter obtained by The Associated Press, is categorized as conditional at the moment as the company waits to see what tax credits and other incentives Nevada lawmakers will approve. Republican Assembly Majority Leader Paul Anderson said he will be drumming up support for a state-offered package for FF.
“I’m excited about the opportunity and I hope it works out,” Anderson said. “I look forward to working with people across the board to see if we can get these jobs created.”
Jia Yueting signed the letter on behalf of FF, reported The Associated Press. The CEO and founder of China’s popular video site Leshi TV, Jia has been compared to both Steve Jobs and Elon Musk, and has an estimated net worth of $7.9 billion. Only last month did the secretive FF reveal Jia as its financier.
“We plan to revolutionize the automobile industry by creating an integrated, intelligent mobility system that protects the earth and improves the living environment of mankind,” said Jia in his letter to Nevada officials.
The new factory will be just as advanced as its electric vehicle, FF said. Its size is estimated at 2.5 million square feet, which is about half the size of Tesla’s Fremont factory. If the agreement is solidified, FF is expected to select a 600-acre lot in the North Vegas Apex Industrial Park.
Critics say that even if FF is able to successfully bring its all-electric luxury vehicle to market, there is no guarantee of success.
“It could be tough going,” said Economics Professor Edward Leamer. “That whole electric vehicle marketplace is tough, with oil prices low.”
Stephanie Brinley, senior analyst with analysis firm IHS Automotive, also questioned FF’s remarks that its vehicle will be “revolutionary.”
“I’m not saying they can’t succeed, but they’re not going to be first,” she said. “The challenge they’ll have as a startup is that it’s been done before, and they’ll be coming to market late.”