semi_infinite Monday, 09/14/20 03:31:08 PM Re: DewDiligence post# 22846 Post # of 22980 GM - ARK analyst scathing critique of GM-NKLA partnership. >>>> Is the Marketing Department Running GM? ARK Invest author By Sam Korus | @skorusARK Analyst This week GM and Nikola formed a strategic partnership. Nikola gave GM an 11% ownership stake valued at $2 billion, and in return GM agreed to engineer, validate, and build Nikola’s hydrogen and battery electric Badger pickup trucks on a cost-plus basis. Previously, ARK shared its research demonstrating that hydrogen fueled vehicles are more costly to operate than battery electric vehicles. In ARK’s opinion, the partnership with Nikola signals GM’s desperation, with management seemingly ceding control of corporate strategy to marketing and messaging. ARK has questioned management’s strategic directions ever since GM unveiled its autonomous electric strategy with the slogan “zero crashes, zero emissions, zero congestion,” none of which is true. Instead, we believe autonomous electric vehicles will result in fewer crashes, lower emissions, and increased congestion. Instead of focusing on the all-important battery platform, GM is changing the subject to hydrogen fuel cells and small-scale manufacturing. To survive in the transition to autonomous electric vehicles, ARK believes that GM must focus on technology, not marketing.