The U.S. EV startup Canoo earlier this week introduced that it had acquired “a considerable portion of the superior manufacturing belongings” previously owned by the U.Okay. startup Arrival for “pennies on the greenback.” 

The belongings acquired by Canoo from the failed startup embrace robots, management gear, and dynamic car testing gear, it mentioned. 

“These belongings allow the corporate to extend its common meeting and car cabin construct capability and supply redundancy within the occasion of kit malfunction, thereby growing effectivity and productiveness,” Canoo defined. So if Canoo can faucet into the know-how and manufacturing experience needed to place this gear to make use of, this gear would possibly assist it ramp up manufacturing of some parts, if not the autos themselves, at decrease value.

Canoo had already acquired what remained of Arrival’s South Carolina facility in January, though what remained on the U.Okay. startup’s core operation was a major acquisition, taking over greater than 20 transport containers. 

Canoo Life-style Supply Automobile with Walmart brand

Canoo claims that it has an “order e book” summing greater than $3 billion, and greater than 18,000 “dedicated orders” together with electrical van orders from Walmart. The startup has struggled in current months, resorting to a reverse inventory break up to keep away from being delisted from the NASDAQ change. 

Its marketing strategy has vastly developed over a few years. Canoo began in 2017 as Evelozcity and was led by a number of former BMW executives. In 2019, it modified its identify and confirmed a concentrate on California and a subscription EV enterprise. Lately, it’s moved to Arkansas, shifted its market primarily to business autos, and deliberate manufacturing in Oklahoma, the place this gear is headed. 

USPS Canoo LDV 190 van

Arrival’s preliminary focus was the business autos that Canoo has steadily shifted its marketing strategy towards. Its unique product was set to be a collection of fashionable electrical supply vans, together with an preliminary 10,000-vehicle order from UPS spanning Europe and North America. UPS additionally took a minority stake in Arrival, in a deal that appeared like a smaller model of Amazon’s early dedication to Rivian.

It additionally aimed to be a lean operation. With a modularized platform and core parts set to be constructed internally, and a “microfactory” method, Arrival aimed for U.S. manufacturing of electrical buses initially, with its signature electrical vans to be made within the U.Okay. at first. 

Teaser for Canoo electrical automobiles

Canoo beforehand had eyes on a whole lineup of EVs, together with a passenger automotive. Arrival was additionally engaged on the Arrival Automotive, a space-efficient, tall-roof automotive that was the idea of a strategic relationship with Uber, however within the early indicators of hassle in 2022 Arrival dropped the electrical automotive venture and electrical bus plans.