Subscription recap: Latest moves by Autonomy, Kyte and FINN

This week has been another busy week for companies that operate in alternatives to vehicle ownership, as announcements have arrived from Autonomy, Kyte and FINN.

Starting first with Autonomy, the electric vehicle subscription company offering consumers what executives say is the cheapest, fastest and easiest way to get into a Tesla Model 3 is now expanding its service to the San Francisco Bay Area in California.

The company announced that it now has scheduled pickup points in San Jose and San Francisco.

“Northern California is known as an early adopter market embracing disruptive new technologies that improve quality of life, Autonomy CEO and Founder Scott Painter said in a press release.

“We launched commercially in Los Angeles in January and immediately saw a third of our demand in the San Francisco Bay Area,” Painter continued. “Our digital-first, electric-vehicle-centric approach to mobility has clearly struck a chord, so it made sense to expand our operations and footprint.”

Autonomy has also rolled out new pricing, offering an even lower monthly subscription for a Tesla Model 3, which the company says now costs less than Tesla’s own lease or an installment contract.

Autonomy said subscribers can reserve the Model 3 through Autonomy’s app or website with a $100 refundable deposit. The new subscription price includes a fixed monthly payment of $490 and a starting payment of $4,900.

Consumers also have the option to use Autonomy’s payment dial to customize their payment structure starting at $490 per month with a starting payment of $4,900 to $1,000 per month and a starting payment too lower than $1,000.

Autonomy said a $500 refundable security deposit is required upon subscription activation.

The company noted that Autonomy’s subscription includes traditional ownership costs, including annual registration and license fees, routine maintenance, roadside assistance costs and tire wear, so that consumers would have to bear all these costs for a lease or a loan.

“The savings become even greater if we consider fuel costs for a gasoline-powered vehicle,” Autonomy said. “With average California gasoline prices at $5.79, a consumer driving a 25 mpg ICE vehicle at 15,000 miles per year will spend $281 on fuel each month, or $3,376 per year.

“For comparison, the electricity expense for an EV is $0.248 per kWh, which is $77.50 per month or $930 per year, or a 72.5% fuel savings,” said sued the company. “When you add the monthly payment to the monthly gas bill, plus routine maintenance and other fees, a Tesla Model 3 Autonomy subscription is a savings of about $500 per month.”

In addition to the potential lower price and savings, Autonomy pointed out that it also offers consumers the option of monthly subscription after only a three-month hold period.

Autonomy added that it has vehicles in stock and available for delivery, so consumers don’t have to wait six to nine months like they do for a new Model 3.

“Cheaper, faster and easier are values ​​that resonate with every consumer,” said Georg Bauer, co-founder and president of Autonomy. “Our new, lower prices are driving increased adoption of electric vehicles and have paved the way for expansion in the San Francisco Bay Area today, as well as other markets outside of California in the weeks and the coming months.”

Autonomy recently received $83 million in debt and equity financing to support the expansion.

Kyte secures $200 million asset-backed financing facility

Kyte, the pioneer of vehicles delivered to users on demand, announced the closing of an asset-backed credit financing of up to $200 million from Goldman Sachs and the alternative credit team of Ares Global Management

According to a press release, the facility will accelerate the company’s fleet growth and margin expansion.

Kyte and its finance providers said they would create a more robust travel economy that serves a more demanding customer with a shared vision of an electrified, self-driving future.

“We are building a real business with real real-world assets. To achieve this, we needed a debt capital provider who shared our ambitious vision and could put real money into it. The Goldman and Ares credit facility will catalyze our growth as we move into the future of transportation,” Kyte co-founder Ludwig Schoenack said in the press release.

“The problem Kyte is solving is bringing cars to people who live in cities. These cars are a core element that we wanted to get right, and we are committed to being a leader in customer focus and excellence. based on technology,” continued Schoenack.

Kyte explained that customer expectations have risen dramatically in recent years as more convenient, on-demand options have replaced incumbents in grocery stores, restaurants and FMCG spaces.

Building on the same set of assumptions, Kyte explained that it creates a more accessible solution for people to get a vehicle on demand and bridges the huge gap between high consumer expectations and frustrating existing experiences.

An end-to-end product, Kyte said it redefines transportation by delivering and collecting vehicles, bypassing the “inconvenience of owning a car, renting a car and the familiar hassles of renting a traditional car”.

Kyte insisted that the next 10 years will see a dramatic shift in vehicle sales towards electric fleets. As a result, Kyte said it will regularly introduce new vehicle models into its fleet, and this funding secures the capital to evolve with the industry while expanding its state-of-the-art product offering.

Currently operational in over a dozen cities, Kyte was founded in 2019 by Schoenack, Nikolaus Volk and Francesco Wiedemann

“We are excited to support Kyte in its next phase of growth,” said Felix Zhang, Managing Director of Ares Alternative Credit. “With a shared vision for the future of the transportation industry, this capital solution demonstrates Ares’ focus on innovative companies that disrupt traditional business models.”

FINN will expand its presence in the United States

FINN, one of Europe’s fastest growing vehicle subscription platforms, has announced that it will expand its offering to western Pennsylvania, Massachusetts, Connecticut and Washington DC, following its initial deployment to the United States in December.

The company initially launched in eastern Pennsylvania and New Jersey late last year. And according to a press release, FINN said it will continue to expand into other markets throughout this year.

FINN said it was trying to transform the new vehicle experience through its innovative subscription model, making it fun, sustainable and convenient to change vehicles every six or 12 months.

In addition, FINN said it uniquely offers customers the ability to purchase a wide selection of new vehicles with no hidden costs, as the online price includes insurance, maintenance, roadside assistance and miscellaneous duration options.

Through FINN’s vehicle subscription service, customers will have access to different car brands, including but not limited to Tesla, Jeep, Chevrolet and Nissan.

“Just a few months after the launch of FINN in the United States, we are seeing significant demand for our services and we are excited to bring our offerings to more Americans who are looking for the freedom to choose a vehicle that matches their lifestyle. evolving life,” FINN CEO and Founder Max-Josef Meier said in the press release.

“We developed FINN as a way to bring online shopping convenience to the automotive industry and are committed to providing the most convenient new car experience for our users; this expansion will help do just that,” Meier continued.

FINN’s expansion into the US follows a successful year in Germany, with the mobility platform reaching 10,000 subscriptions.

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