This statement might raise eyebrows, but it's a reality: selling cars is no longer profitable for car manufacturers . Yes, it may seem contradictory, since their business model consists of designing, creating, manufacturing, and selling countless models. The problem is that the electrification of the sector and rising prices mean that ordinary customers can no longer afford to buy a new vehicle. Therefore, the business model has to change…
That's why almost all car manufacturers want to become "mobility solutions providers" in the near future . One of the companies putting the most effort into this is Kia Motors, and to that end, it has designed a plan that should bring it substantial profits within a decade. It's called "Plan S," and the vehicles you see in the teasers it has released are derived from it. These are specially designed electric vehicles (PEVs) like the Niro Plus.
Kia, after the Niro Plus, shows what its future range for sustainable mobility solutions will look like...
In case you didn't know, or hadn't heard of them, specially designed electric vehicles (STVs) aren't "normal" cars. They are vehicles designed to facilitate mobility in large cities and are equipped with an electric powertrain. They also feature a large number of active driving aids that make them practically autonomous. That's why Kia is going to build its own factory, which is expected to begin production in 2025.
According to statements by Ho Sung Song , president and CEO of Kia Corporation…
“This dedicated PBV facility is one of the main pillars of our Plan S strategy, as Kia seeks to reclaim the number one position in the global PBV market. ” […] “Initially, we will explore new markets with derivative PBV models, then gradually expand our presence in global markets with dedicated PBV models featuring autonomous driving technologies.”
Furthermore, this factory will debut a new concept in how it manufactures its cars . It's called E-FOREST and aims for innovation in manufacturing systems by organically connecting everything to create value for the customer. They also explain that the "E" signifies progress in the mobility industry in terms of efficiency and economy. All of this is applied to the new platform Kia is developing, called "eS."
According to Kia, it's flexible and can accommodate various PBV sizes to meet customer demand. This first model, with internal development code SW, will arrive in 2025 and will serve as the basis for expanding the range in subsequent years. Furthermore, they will be equipped with OTA technology for over-the-air, real-time software updates. However, we'll have to wait a while to see what they'll be like…
Source – Kia