Scott Painter’s startup Autonomy orders 23,000 electric vehicles and partners with AutoNation
Subscription startup Autonomy said on Tuesday it placed orders for 23,000 electric vehicles from various automakers for its fledgling subscription platform. Autonomy, founded by serial entrepreneur Scott Painter, also said it is partnering with dealership giant AutoNation Inc. to obtain the vehicles and have them serviced.
The orders are for 45 models from 17 automakers and are valued at $1.2 billion, Autonomy said in a statement. The company expects to take delivery of all 23,000 vehicles within 18 months, Painter said. Automotive News.
Autonomy’s business model is to provide subscribers with an electric vehicle for a fixed monthly fee. The company is a rebrand of Painter’s 2020 business, NextCar, which was a software-as-a-service back-end platform marketed to vehicle subscription providers.
When it launched in January, Autonomy only had the Tesla Model 3 available to subscribers. The company then added the Tesla Model Y as an option. The new orders and partnership with AutoNation provide a myriad of additional options for Autonomy customers, said Painter, who is best known for founding vehicle listing company TrueCar Inc.
“It really represents our moment of scaling up, from just being a supplier of Tesla to a supplier of every electric car that meets our requirements,” Painter said.
While Tesla’s vehicles make up the biggest chunk of the company’s order wave — about 36%, or 8,300 Model 3s and Model Ys — the next biggest chunk will come from General Motors. GM products represent approximately 15%, or 3,400 vehicles, of the order. Painter cited the Chevrolet Equinox, GMC Hummer EV and Cadillac Lyriq as examples of GM vehicles ordered.
Volkswagen, Ford, Hyundai, Kia and Rivian also received large orders, with 1,000 or more vehicles from each of those automakers, Autonomy said.
The orders included several startup automakers in addition to Rivian. Autonomy said Polestar, Volvo and Canoo are included, but with fewer than 500 vehicles each.
The delivery schedule, Painter said, will be different for each make and model and depends on production levels and vehicle release schedules.
AutoNation will prepare and deliver the electric vehicles to Autonomy. The dealership group, which has hundreds of stores across the United States, will also provide maintenance services for Autonomy’s fleet vehicles.
This isn’t the first time AutoNation and Painter have done business. In 2015, AutoNation severed ties with Painter’s TrueCar regarding the sharing of customer transaction data. By 2017, Painter and AutoNation had begun to make amends, as Painter’s new company, Fair, announced a partnership with the retailer.
Autonomy’s agreement with AutoNation grew out of AutoNation’s extensive dealer network across the United States and its ability to service subscription vehicles and support labor, Painter said.
AutoNation did not respond to multiple requests for Automotive News for comment.