Ferrari gambles with first electric car

As its sports car rivals tap the brakes on a shift to EVs, Ferrari took a leap into the uncertain on Monday in Rome with the launch of its first fully-electric car.

With a top speed of 310 kph (193 mph), Ferrari's four-door Luce — meaning 'light' in Italian — will carry a price tag of more than 500,000 euros ($586,000).

Former Apple designer Jony Ive's studio LoveFrom was involved in developing the Luce, which sources describe as a large car with a look distinct from Ferrari's past models.

"It's a risk and a bit of a bet," said Phil Dunne, a managing director at consultancy Grant Thornton Stax. "But it's a good thing to do because they are leading the way."

Monday's unveiling in Rome caps years of preparation, from early hybrid Formula One systems more than a decade ago and road models since 2019. First deliveries to clients will start in October, the company said in 2025.

Ferrari has invested heavily in electrification under CEO Benedetto Vigna, including a new "e-building" at its legendary headquarters in Maranello, Italy.

The Luce comes at a time of doubt over electric sports cars. Ferrari itself has delayed plans for a second electric model to at least 2028 due to weak demand, it was reported. And its Italian rival Lamborghini has abandoned plans to roll out an electric model in 2030, citing a lack of customer interest.

Felipe Munoz of Car Industry Analysis said Ferrari does not expect the Luce to be a big seller, but rather is making a statement as Chinese rivals lead the world in developing flashy new EVs, such as BYD's Yangwang U9 electric supercar.

"You might not need to have an EV supercar right now. But electrification is here for the long run, and Ferrari needs to make a move; it must define what luxury electrification looks like before someone else does," Munoz said.

Ferrari's challenge is preserving its identity with a new technology. Legacy high-performance brands are struggling with the limitations of batteries, which are heavy and lack the sustained power and visceral appeal of petrol engines.

When Ferrari lifted the hood on the technology behind the Luce in October, it included a specially designed sound system to amplify vibrations from its power train to create a distinct electric Ferrari sound instead of a fake engine noise.

"The three things everybody always associates with Ferrari are how it looks, how it sounds, and how it feels," said Grant Thornton Stax's Dunne, adding that going electric means "they have to get those right in a different way".

Ferrari has scaled back its electrification targets, with fully electric cars to make up 20 percent of its lineup by 2030, down from the previous goal of 40 percent. The automaker will also continue making hybrid and traditional internal combustion engine models.

The Luce could help Ferrari reach the next generation of wealthy buyers who are more open to EVs, especially as oil prices are soaring as a result of the Iran war.

Vigna said in February that Ferrari would open preorders for the Luce in March after "very positive" initial client feedback.

And while not all Ferrari fans will be won over, the carmaker hopes a younger generation will want to own one, while its traditional buyers will still want a Ferrari EV in their garage or on their drive.

"It certainly won't appeal to all of Ferrari's customer base," Dunne said. "But it will appeal to some."

Reuters