Porsche is Set to Invest More than 6 Billion Euro; Double What Was Previously Expected
The German automaker is SERIOUS about electricmobilityby Kirby Garlitos, on
Porsche is doubling down on its investments in hybrid and electric technology after announcing plans to increase its investment in electromobility to “more than” €6 billion. That’s more than double the amount it previously intended to spend. The news comes as the German automaker is making final preparations for the launch of its first all-electric vehicle, the Mission E. Porsche CEO Oliver Blume made the announcements, saying that the decision to ramp up its investments was done to set “an important course for the future.”
Of that total, €500 million will be used to develop the aforementioned Mission E variants
If you thought Porsche wasn’t serious about building its own electric brand of cars, this kind of investment will make those doubts go away. This added investment doesn’t come as a surprise since there have already been reports that Porsche is planning to develop variants of derivatives based on the Mission E. The additional €3 billion will be earmarked for specific purposes. Of that total, €500 million will be used to develop the aforementioned Mission E variants. Beyond that, Porsche plans to spend around €1 billion for electrification and hybridization of its existing product range. Several hundred million will also be used for the expansion of its sites while another €700 million will be spent on developing new technologies, charging infrastructures, and smart mobility.
The new investment points to how important the Mission E is, not just because it’s Porsche’s first-ever all-electric model. More importantly, the Mission E will set the course for the German automaker’s push towards electrification, specifically on how the automaker plans to leverage the model’s introduction towards future derivatives. "We already have some ideas about what we can add to the basic Mission E concept," Blume told the Deutsche Presse-Agentur. "At the moment we are checking all market segments to look at where electrification makes sense and at which point in time."
If the Mission E is successful when it hits the market later this year, it could open a lot of doors for Porsche to walk into
The company’s objectives are consistent with what Albrecht Reimold, member of the Executive Board for Production and Logistic, said last week when he called the Mission E the company’s “most ambitious project.” It certainly didn’t take Porsche long to back up Reimold’s comments with the doubling of its investment in electromobility.
The company hasn’t been shy about its plans for the Mission E. It’s gone on record saying that it’s looking to build around 20,000 units of the all-electric model per year. That’s another sign of the electric car’s importance to Porsche. If the Mission E is successful when it hits the market later this year, it could open a lot of doors for Porsche to walk into. Different variants and derivatives suddenly become viable options. That gives Porsche plenty of options, something that it’s hoping for in its quest to turning half of its entire volume into electric cars by 2024.
The additional €3 billion investment will go a long way in achieving that.
Read our full speculative review on the 2020 Porsche Mission E.
Read our full speculative review on the 2021 Porsche Mission E GTS.
Read our full review on the 2015 Porsche Mission E Concept.
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