Electric Vehicle Dream Turns Sour as Fisker Collapse Leaves U.K. Woman With $53,000 ‘Garden ornament’
SOUTHAMPTON, England – Karin Simonsen, a marketing manager from southampton, is living an electric vehicle owner’s nightmare. Her sleek fisker Ocean Sport, purchased for approximately $53,000 (£42,000) in December 2023, has become an immobile “garden ornament” after software issues and the subsequent collapse of Fisker Inc.
Simonsen’s foray into battery-powered motoring was initially fueled by the Fisker Ocean’s eco-pleasant appeal,including its use of recycled materials and zero carbon emissions. Despite founder Henrik Fisker’s previous automotive venture, Fisker Automotive, ending in bankruptcy in 2013, simonsen was optimistic. She secured a bank loan and collected her new vehicle from the Fisker Lounge in London’s Westfield shopping center, a move mirroring Tesla’s direct-to-consumer sales model.
Though, the dream quickly unraveled.”It has just been,from day one,a catalog of catastrophes,” simonsen told MailOnline. Even the initial pickup foreshadowed problems: the car failed to recognise the key fob. “Something in me saeid, ‘Don’t do it, Karin’ – but I overrode that in the excitement of my new car and took it home,” she recalled.
Numerous software glitches plagued the vehicle, affecting basic features like the key fob and air conditioning. More seriously, Simonsen experienced sensor errors, safety system malfunctions, and even sudden losses of braking power. “Ever since that day I’ve had issues with the vehicle,loads of them,” she lamented. “Lots of things didn’t work on it, and they woudl always say, ‘it’ll be a software update, that’ll fix it.'”
Frustrated by repeated issues and unsuccessful technician visits, Simonsen contacted Fisker in June to return the car under warranty. When a towing service arrived to collect it, the vehicle wouldn’t start. Technicians, attempting to silence a constantly blaring alarm, disabled the 12-volt battery, rendering the 2.5-ton SUV fully immobile. They had to remove part of the front of the car just to access the bonnet.
“The day they came to take it away it wouldn’t go into drive so they couldn’t get it onto the car trailer,” she said.
Days later, Fisker Inc. filed for Chapter 11 insolvency in the U.S., effectively leaving Simonsen with no recourse. The British subsidiary, Fisker (GB) Ltd.,followed suit,petitioning to be wound up in July. The Insolvency Service has appointed the official receiver of London to oversee fisker’s liquidation.
Simonsen is now caught in bureaucratic limbo. fisker had authorized the car’s return and a subsequent refund, but the timeline and possibility of receiving her money remain uncertain.”It’s a nightmare,” she said. “Now my car is actually just bricked. It’s a garden ornament as it won’t go into drive. It’s sat there since June.”
With no sales support,technicians,or active Fisker presence,Simonsen is left with a costly reminder of her failed EV investment. “I’ve been back and forth with the Insolvency Service but I have no idea about anything. I’m literally at my wit’s end. I’ve got a car I can’t move,” she said. Her attempt to file a claim as a creditor in Fisker’s U.S.insolvency case was rejected.
Sources familiar with the Fisker liquidation anticipate a lengthy and complex process. While Simonsen maintains contact with the Fisker Owners Association, she fears attempting to repair the vehicle might jeopardize her chances of a refund.
Despite the ordeal, Simonsen is fortunate to still have her old diesel car, which she kept after the Fisker’s early delivery. The experience has soured her on electric vehicles. “I shall be sticking to a fossil fuel vehicle – it has put me off supporting the environment because this is what happens. Electric car ownership is not what it is cracked up to be,” she said.
A spokesperson for the Insolvency Service stated, “We are unable to comment on ongoing liquidation proceedings. Customers who are owed money by a company in liquidation can find out more information on GOV.UK – including how to register a claim as a creditor if money is outstanding.”
Fisker’s troubles extend beyond Simonsen’s case. The company faces numerous lawsuits in the U.S.Henrik Fisker’s track record is also under scrutiny, given the failure of his previous automotive venture.
Fisker Automotive, founded in 2007, produced the Karma range-extended EV, attracting attention and even Leonardo DiCaprio as an investor. However, production delays, recalls, and the loss of over 300 cars during Hurricane Sandy led to its liquidation in 2013.
Undeterred, Fisker launched Fisker Inc. in 2016, with enterprising plans that included an “urban” electric vehicle, a sports car, a pick-up truck, and even an electric popemobile for Pope francis—none of which materialized. Reports indicated that Fisker’s spending on growth and production outstripped its sales revenue.
The saga of Fisker highlights the risks associated with investing in emerging technologies and the importance of thorough due diligence before purchasing a vehicle from a new manufacturer.It also underscores that, according to a growing chorus of industry experts, software glitches and supply-chain snags are endemic to the global EV industry.
Unsold Fisker Oceans have surfaced across the U.K.,with some being auctioned off for as little as $19,000 (£15,000),considerably below their original retail price. The Danish businessman Henrik Fisker’s LinkedIn profile describes the “risk taking, innovation loving, protocol challenging automotive designer and entrepreneur that’s (sic) turns dreams into reality and never gives up.’ His last post on the social network, in December 2023, was a boldly worded rebuttal to reports that the company was in trouble as its share price plummeted 75 per cent in two months. “I believe the negative reports about the company have been overblown,” he said. His CV now describes him as ‘chairman and CEO at Fisker Inc until October 2024’.
MailOnline attempted to contact fisker for comment.While Simonsen’s experience is undoubtedly frustrating, some argue that it’s an isolated incident and doesn’t reflect the overall reliability of electric vehicles. Many EV owners report positive experiences and significant savings on fuel and maintenance. Though, Simonsen’s case serves as a cautionary tale about the potential pitfalls of investing in a relatively new and rapidly evolving technology.
FAQ: Fisker Bankruptcy and Consumer Rights
What happens to my Fisker warranty now that the company is bankrupt? Your Fisker warranty is likely affected by the bankruptcy proceedings. Contact the Insolvency Service in the U.K. or consult with a legal professional to understand your rights and options for potential claims.
How can I file a claim as a creditor in the Fisker bankruptcy case? Visit the U.K. government’s website (GOV.UK) for information on registering a claim as a creditor. Gather all relevant documents,including purchase agreements,warranty information,and repair records,to support your claim.
Will Fisker owners still receive software updates for their vehicles? The future of software updates for Fisker vehicles is uncertain. While some third-party services may emerge to provide support, official updates from Fisker are unlikely.
Are Fisker vehicles safe to drive given the reported software issues? Some Fisker owners have reported software glitches affecting safety systems.It’s crucial to address any known issues promptly and consult with a qualified mechanic to ensure your vehicle is safe to operate.
* What options do I have if my Fisker vehicle is experiencing problems? You can contact the Fisker Owners Association for support and information. You may also consider seeking legal advice to explore your options for recourse.
Fisker’s Demise: An Archyde Interview with automotive Industry Analyst, Alistair Finch on the Fisker Collapse
Table of Contents
- 1. Fisker’s Demise: An Archyde Interview with automotive Industry Analyst, Alistair Finch on the Fisker Collapse
- 2. The Rise and Fall of Fisker: A Case Study in EV Market Volatility
- 3. Consumer Rights and the Future of Fisker Owners
- 4. Wider Implications for the Electric Vehicle Industry
- 5. Looking Ahead: The Future of Fisker
Archyde News: Welcome, Alistair. Thank you for joining us today. We’re here to discuss the recent collapse of Fisker Inc. and the impact it’s having on consumers like Karin Simonsen.
Alistair Finch: Thank you for having me. It’s a complex situation,and unfortunately,one that’s becoming more common in the burgeoning EV market.
The Rise and Fall of Fisker: A Case Study in EV Market Volatility
Archyde News: Let’s start with the basics. Can you provide a brief overview of what went wrong with Fisker? What contributed most to their downfall?
Alistair Finch: Fisker’s story is a cautionary tale. Ultimately, several strategic issues contributed. One key factor was the product’s quality control. Launching a car with software glitches is detrimental. Then, there was Henrik Fisker’s history, which was perhaps a red flag. Furthermore, expenditure outstripping sales, which led to cash flow problems. when combined with supply chain issues and intense competition from established automakers, it was really a recipe for failure.
Archyde News: indeed. Ms. Simonsen’s experience highlights those issues. What’s the meaning of the “direct-to-consumer” sales model championed by companies like Fisker and Tesla?
Alistair Finch: The direct-to-consumer model can offer advantages like controlling the customer experience.However, it’s capital intensive. It requires a robust support network that includes service centers.When you’re a startup, this is challenging, as demonstrated by the struggles of several new EV manufacturers to provide reliable after-sales service.
Consumer Rights and the Future of Fisker Owners
Archyde News: For consumers such as Karin Simonsen, what are their primary legal options after a company goes bankrupt?
Alistair Finch: Primarily, they become creditors in the bankruptcy proceedings. This involves filing a claim to try and recoup some of their investment. But unfortunately, in these cases, recovering the full amount is challenging, and the process can be long and complex.
Archyde News: What advice would you give to other Fisker Ocean owners in the UK and elsewhere during the bankruptcy process?
Alistair Finch: Stay informed. Make sure they have all their documentation gathered to support their claim. Contact the Fisker Owners Association, as support from owners is very critically important. Seeking legal advice is also probably the best solution. Additionally, be patient, as these things take time.
Wider Implications for the Electric Vehicle Industry
Archyde News: do you see this as a one-off situation or a symptom of broader issues within the EV industry?
Alistair Finch: It is not an isolated case. We will, unfortunately, see more of this.While there’s massive potential in EV innovation, many newer EV startups struggle with the financial burden of production, competition, and evolving technologies. The software component is significant and that requires ongoing investment and support.
Archyde News: Ms. Simonsen’s experience has obviously soured her on EVs. Do you believe this will impact consumer confidence?
alistair Finch: Yes, negative experiences like hers can definitely erode consumer trust. The good aspect is that established automakers have great resources. However, incidents such as Fisker’s are certainly not good for the EV market’s image.
Archyde News: What advice would you offer consumers considering buying an EV today?
Alistair Finch: Thorough research is more important than ever. Assess the manufacturer’s financial stability, service network availability, and read owner reviews carefully. Consider buying from a company with a proven track record. Ask yourself: do they have an established dealer network,and can you easily have the car repaired and maintained?
Looking Ahead: The Future of Fisker
Archyde News: What do you think the future holds for Fisker’s technology and its potential impact on the market?
Alistair Finch: The IP may resurface with another company,but the brand name will probably be gone.The collapse underscores the importance of due diligence. there will always be financial risks with innovation. The question is, will Fisker-made cars have any value beyond the scrap heap?
Archyde News: Alistair, thank you for an insightful discussion. Do you have any last words for our readers?
alistair Finch: Be careful. Be informed, and research the market as closely as possible before buying an EV. The market is changing rapidly, and even the best companies might have flaws. Ultimately, make the choice that best fits your individual circumstances and expectations.
Archyde News: Thank you for your insight and expertise. We appreciate it.
What do you think the broader implications of the Fisker collapse are for consumer sentiment towards electric vehicles?
