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Lucid and Gravity resolve trademark dispute over EV brand

EditorNatashya Angelica
Published 06/28/2024, 04:13 PM
LCID
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NEWARK, Calif. and NEW YORK – Lucid Group, Inc. (NASDAQ: LCID), known for its advanced electric vehicles, and Gravity, Inc., an American EV charging equipment manufacturer, have reached an agreement over the use of the "Lucid Gravity" trademark, the companies announced today. This settlement allows Lucid to continue using the name for its upcoming all-electric SUV without infringing on Gravity's existing trademark.

The resolution averts a potential legal conflict between the two firms. Matt Everitt, General Counsel at Lucid, expressed satisfaction with the outcome, highlighting the growing excitement for the Lucid Gravity SUV. Moshe Cohen, CEO of Gravity, Inc., emphasized the importance of collaboration within the industry and the commitment to promote sustainable electric transportation in American cities.

Lucid Group, headquartered in Silicon Valley, has made a name for itself with the Lucid Air, which boasts superior performance and efficiency. The company is gearing up for the production of the Lucid Gravity SUV at its Arizona factory, aiming to push forward the move towards sustainable transportation and energy.

Gravity, Inc., on the other hand, focuses on the development of Distributed Energy Access Points (DEAP) units, providing high-speed charging solutions. With a flagship charging center in Midtown Manhattan, Gravity aims to transform electric vehicles into energy assets, contributing to America's clean energy transition.

The agreement has been reached amicably, with both companies looking to maintain the distinct value of their respective brands. This news comes as the electric vehicle market continues to expand, with companies like Lucid and Gravity playing significant roles in shaping the future of transportation.

This information is based on a press release statement from Lucid Group, Inc.

In other recent news, Fisker Inc. (OTC:FSRNQ), an electric vehicle startup, filed for bankruptcy protection due to various challenges including fundraising difficulties and slow sales. The company had been facing weak demand for its flagship Ocean electric SUV, leading to job cuts and halted investments.

On the other hand, Rivian (NASDAQ:RIVN) Automotive Inc. has been working on cost reduction and efficiency measures, introducing a second generation of vehicles with new drive units, upgraded software, and fewer parts. The company's cash reserves stood at $5.98 billion for the first quarter.

Lucid Group Inc. (NASDAQ:LCID) has announced a workforce reduction of 6% following six consecutive quarters of missing revenue expectations. The company has reduced the price of its Lucid Air Pure model and is offering incentives like free maintenance and charging allowance.

Lucid's cash balance at the end of the first quarter was $2.17 billion. In another development, Lucid Group appointed Lisa M. Lambert to its board of directors, bringing a wealth of experience in technology and sustainability from her previous roles at Intel (NASDAQ:INTC) and National Grid (LON:NG), among others.

Nikola (NASDAQ:NKLA) Corporation is shifting its focus to hydrogen-powered big rigs after incidents of battery-electric trucks catching fire led to a recall in August. The company is targeting truck revenue of up to $170 million for 2024, with an aim to sell 450 units this year, including its hydrogen fuel cell electric trucks.

Nikola's cash and cash equivalents were reported at $345.6 million at the end of the first quarter. These are some of the recent developments in the electric vehicle market.

InvestingPro Insights

In light of the recent agreement between Lucid Group, Inc. (NASDAQ: LCID) and Gravity, Inc., investors may be curious about Lucid's financial health and market performance. Here are some insights based on real-time data from InvestingPro:

  • Lucid's market capitalization currently stands at $6.06 billion, reflecting investor valuation of the company in the competitive EV market.
  • With a negative price-to-earnings (P/E) ratio of -2.08, Lucid is not currently profitable, aligning with analysts' expectations that the company will not see profitability this year.
  • The company's revenue for the last twelve months as of Q1 2024 is reported at $618.58 million, with a quarterly revenue growth of 15.6%, indicating some positive momentum in sales.

InvestingPro Tips for Lucid Group highlight several critical factors for potential investors:

1. Lucid holds more cash than debt on its balance sheet, providing some financial stability as it scales up production.

2. Despite this, the company is quickly burning through cash, which is an important consideration for long-term investment strategies.

For those interested in a deeper dive into Lucid's financials and future outlook, there are additional InvestingPro Tips available. Users can find a comprehensive list of tips, including insights on valuation multiples and stock performance, at https://www.investing.com/pro/LCID. To enhance your InvestingPro experience, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are 10 more InvestingPro Tips listed for Lucid Group, which could further inform investment decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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