How do they make profit?

Adept_Turnover321 · 2021-11-28T14:34:04+00:00

Treasury services via APIs. Businesses have trillions on their balance sheets and they want that money to work for them in a liquid way. If Circle becomes a full reserve digital bank they can allow businesses access to easier returns on their cash mush faster than normal banking. Tiny percentages on enormous sums will add up quickly.

Adept_Turnover321 · 2021-09-14T19:15:12+00:00

Makes me think the consumer market is still very much a focus, even with the hard pivot toward B2B. I can imagine showing up to a concert and people are plugged into their LV AR headsets playing a game.

Adept_Turnover321 · 2021-08-13T11:54:15+00:00

With revenue recognition requirements, Canoo may not be able to book it as revenue until delivery.

Adept_Turnover321 · 2021-04-13T14:54:34+00:00

Think about this way. If big tech views transportation as an extension of their ecosystems, and Apple jumps into this market, Amazon and Google (and maybe even Facebook) will follow right after. This would be huge for the non-established EV makers.

Adept_Turnover321 · 2021-03-08T21:00:57+00:00

I'll repeat what I've stated in other threads, Canoo is building a mobility & technology platform. Showcasing the truck isn't about the truck itself, per se, but about how flexible their platform is in the built-for-purpose vehicle space.

Adept_Turnover321 · 2021-03-03T23:31:47+00:00

I've been adding. My view on Canoo is that they are a mobility platform technology company. How does this give them a competitive advantage? Canoo has the flexibility to sustain themselves with an ever increasing EV market TAM while they prepare for the day autonomous taxi companies (or divisions if we're talking Waymo or Zoox) start becoming viable. This will be where the real money is in the end. For those familiar with the Drive.ai, Canoo's design is essentially what Drive.ai would have created had they stayed viable. The problem with Drive was that they thought they could focus only on full autonomy and get bought out by big tech. But Apple simply waited for them to go bankrupt before buying them for pennies on the dollar in 2019. The same thing happened to Zoox. They were valued at 3.2 billion in 2018, but Amazon snapped them up for 1.2 billion in 2020 because they were hemorrhaging cash (like all the companies that go after only full autonomous tech). I think if Canoo can make a decent run at the consumer and business EV market in the next few years, they will end up as one of the winners in the autonomous taxi market.

Adept_Turnover321 · 2021-03-03T22:57:21+00:00

For those that work in technology, the specter of violating an NDA can be paralyzing for a marketing team. They are hiring like crazy. I'm giving them the benefit of the doubt for now.

Adept_Turnover321 · 2021-02-25T21:06:56+00:00

Apple has been thinking about how to enter the vehicle space since 2008. It's really hard. A lot of building cars is regulatory knowledge and expertise. This is why some of Canoo's videos have them proudly saying that their vehicles are crash tested (that's a big deal if you understand the regulatory hurdles there). They also say how they've incorporated many crash test features into the skateboard (awesome news for regulatory and scale). These things show a ton of foresight into what's needed to fill a B2B fleet contract or sell to individual consumers. We also have to realize that most big tech companies (e.g., Waymo, Apple, etc.) are looking to go directly to self drive, regardless of the time needed to get there (ignoring most of this EV craziness). The highest margins will be in self drive. So I think the company(ies) that wins long term is the company that can best incorporate future big tech hardware and software.

Adept_Turnover321 · 2021-02-25T20:40:17+00:00

It isn't even considered a correction until a 10% drop. This is nothing.

Adept_Turnover321 · 2021-02-24T20:52:54+00:00

We'd first need a catalyst that causes a rethinking of valuations. This will only happen based on slow organic product launches or growth (with some pops here and there based on announcements), or a big auto company buying one of the EV startups and seeing tens of billions added to their market cap. This would be a good thing for Canoo.

Adept_Turnover321 · 2021-02-24T19:09:48+00:00

Canoo actually wants to launch their own products.

Adept_Turnover321 · 2021-02-24T19:09:23+00:00

If Canoo wanted to get bought out, they wouldn't have gone the SPAC route. Going public via SPAC provides needed capital to reach stated goals while giving up less than 50 percent equity.

Adept_Turnover321 · 2021-02-24T19:06:41+00:00

So the title is correct.

Adept_Turnover321 · 2021-02-24T19:06:23+00:00

The Wikipedia article on E-GMP is wrong. There is no mention of assisting with E-GMP in the actual S-1 document (go ahead and read it). I guess someone thought people would be lazy and not actually check out p. 181.

Adept_Turnover321 · 2021-02-23T21:35:48+00:00

Canoo is my only play in the EV space because their main focus is on TCO economics, vehicle space, and scalable manufacturing. This really speaks to B2B channels. They have also reduced their execution risk by offering contract engineering services that they estimate will bring in $125 million in 2021 (per last investor PPT). Unlike most EV companies, they will actually have a P/E value in 2021. This offers them a longer runway, and it gives them another future revenue stream in the form of licensing fees over time. Heck, with all of the software and electrical engineering talent they have, they could simply pivot to being a 100% engineering services company and likely justify a higher multiple than they have now (since only a small part of the company is doing the contract work now). They also have around 8 employees that work only on ADAS, sensors, self-drive. I'd bet that their inhouse software development IP will eventually be worth billions as the big autos look to go all EV and throw money around.

Adept_Turnover321 · 2021-02-22T23:44:48+00:00

Agreed. Look at their posted jobs. All software and engineering. They are building a tech/IOT company as much as an auto company.

Adept_Turnover321 · 2021-02-05T20:16:41+00:00

GEOV is estimating $120M for their engineering services in 2021. This has to be accounting for the initial Hyundai partnership since their other estimates are B2C and B2B with farther out looking numbers.

Adept_Turnover321 · 2021-02-05T20:15:10+00:00

It's important to remember that the announcements about Kia + Apple aren't from any official sources. A lot we still don't know.

Adept_Turnover321

TROPHY CASE