Can someone just pull the plug already? It’s time for FF to die.

Faraday Future is being ripped apart piece by piece as it dies a slow, agonizing death. After running short on funds in October this year, Faraday’s downfall began as it announced a number of layoffs and financial setbacks. After living under the rock for a month, when it was assumed that Faraday may come back with some sort of positivity, the company decided to play the blame-game and lay-off more employees.

It’s The Survival Of The Fittest

Faraday Future Lays Off More Employees as it Dies a Slow, Miserable Death Exterior Computer Renderings and Photoshop
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Although the issue is not very clear, Faraday has blamed Evergrande Group, the Chinese investment firm, for not living up to its contractual obligations.

The electric startup published an update on its Twitter page stating that Faraday is walking a tightrope financially, but is still committed to developing the brainchild – FF 91 electric SUV.

The statement published on Twitter reads, "FF’s recent financial crisis was brought about by investor Evergrande Health refusing to make its scheduled payments. The investor has further breached its contractual obligations to FF and refused to release its liens over FF’s assets as it was required to do. This has resulted in making it more difficult for FF to achieve short-term financing through asset-backed loans resulting in the current temporary cash flow difficulties. This action has unequivocally harmed FF employees worldwide, our suppliers, our partners, and all of our reservation holders."

Will It Come Back, Or Will It Succumb?

Faraday Future Lays Off More Employees as it Dies a Slow, Miserable Death Exterior Computer Renderings and Photoshop
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Faraday has applied for government financial relief, which may take two to three months to process; therefore it will have to put "additional employees on furlough beginning this week." Faraday also mentioned in the statement that it still has hundreds of American employees moving toward FF 91 production.

Many of these employees are working on minimum wage, or a $50,000 capped salary.

But Faraday has announced that this is a temporary setback and is trying to soften the situation by finding new investors to save the company from dying.

Conclusion

Faraday Future Lays Off More Employees as it Dies a Slow, Miserable Death Exterior Computer Renderings and Photoshop
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Although the statement says that Faraday still has some fight left in it, the company’s co-founder, Nick Sampson, himself called Faraday "insolvent" and said that it "at best will limp along for the foreseeable future." These contradicting statements are worrisome not only for the investors but also for the employees. Do you think Faraday will be able to recover again? If it does, can it sustain in the highly competitive market, especially against newcomers like Rivian? Let us know your thoughts in the comments section below.

Further reading

Faraday Future Lays Off More Employees as it Dies a Slow, Miserable Death Exterior Computer Renderings and Photoshop
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Read our full review on the 2018 Faraday Future FF 91.

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