Autonomy, a California-based startup that launched with plans to offer 23,000 electric vehicles (EVs) from multiple automakers as part of a subscription service, is changing course. After facing significant challenges including a price war initiated by Tesla's Elon Musk and a shrinking fleet, the company is now incorporating gas-powered vehicles into its offerings.
The startup's initial EV fleet never expanded beyond about 1,000 vehicles, losing a third of its value and forcing founder Scott Painter to intervene financially. Despite setbacks, Autonomy has remained operational and is renewing its commitment to vehicle subscriptions by adding internal combustion engine (ICE) cars to its lineup.
Autonomy's CEO Fred Weick explained that the pivot reflects customer demand. The new fleet will include popular gas-powered Ford models such as the Mustang, Ranger, F-150 pickups, and SUVs like the Bronco Sport, Escape, and Explorer. These vehicles will be sourced from Galpin Motors in Los Angeles and made available in California, with plans to expand through dealer partnerships in other states including Arizona, Florida, Texas, New York, North Carolina, and Washington.
The subscription model charges a one-time fee and a monthly rate that varies by vehicle, allowing customers to cancel after one month. Weick highlighted that rising new and used car prices make traditional ownership difficult for people with limited credit access. Autonomy targets university students, military families, foreign workers, and those seeking a flexible 'company car' experience.
While Autonomy still maintains a smaller EV fleet of around 500 vehicles, the addition of ICE cars aims to broaden appeal and provide easier access to mobility. This shift mirrors similar moves by other fleet companies like Hertz, which reduced its EV holdings in favor of gas vehicles. Autonomy's strategy underscores the challenges of scaling EV subscriptions amid market volatility and high vehicle costs.