#9 (EN): Sion Terminated, Payback Offer, Solar Future
Have a nice Sunday. Well, "nice" is relative. What a shock on Friday. It was not a nice day for fans of the Sion as well as the loyal community that has been behind the project for years. Sono is discontinuing the Sion because it could not secure the necessary funding to start series production in Finland.
+++ STOP +++
Until the very end, it was not clear whether the investors would be able to finance the project. The final decision was only made at short notice. Safety first, even when it comes to finances, as difficult as that may be.
It was clear in advance that both solutions had to be prepared. Who is wondering: That's the only reason Sono was able to react quickly on the website on Friday. For all employees, it was a burden to prepare for their own departure and that of colleagues - and yet there was still hope for a saving promise. Respect.
Friday from 14:00 o'clock it was announced: On the website and by mail, the community learned that it will not be with the Sion. A short time later also from the press. Sono nevertheless packaged the message for the world in a positive way, because the solar business is to continue - and thus the goal of "solar on every vehicle" is still to be achieved.
300 dedicated employees lose their jobs. This is an immense pity, because the team is well positioned and worth its weight in gold. Sono Motors is almost unique in the corporate landscape. However, these predominantly young people can become ambassadors of a better way of doing business for many years to come; Sono has planted the seed for this.
The farewell video (6 minutes) or departure video: "The future is solar":
The evening event to say goodbye to Sion (1 hour 18) - Livestream from Munich: Start at about minute 19 (German only):
https://www.youtube.com/watch?v=5APa5H-u3ks
+++ WAS KOMMT JETZT +++
No money is collected from the promises of the campaign.
For the reservers, there is an offer to get back the money paid before in three installments, no matter when and how you reserved and what T&Cs apply.
The first 30 percent of the amount in May 2023,
40 percent "no later than" June 2024
and the rest by January 2025, including a 5% bonus with the last installment.
One can also waive all or part of the repayment and close the chapter for themselves directly.
Link to apply for repayment in three installments:
https://order.sonomotors.com/#/login
About 44 million euros are to be repaid by Sono in total. Laurin mentions the figure in the podcast of January 10 and Der Spiegel also quotes it.
If all would demand their money now immediately, then it would also be less attractive for investors to enter, was said in the livestream. So in installments ultimately helps everyone.
Alternatively, you could also withdraw individually via the T&Cs and demand your money back all at once when the deadline in them has expired. The latter hits Sono much harder, and is also a lot of effort in the company, because each process must be handled individually. For many with T&C 2024 or 2025, the installment option is probably even the faster one to see the first money.
You can use the dashboard to trigger the repayment. For each vehicle separately if you have more than one.
We have all tried together and with a lot of heart and soul to save the Sion, hoped for the renewal of the campaign, which of course cost money again. Together, we can now still arrange the orderly repayments and thus help Sono Solar and all reservers once again.
A conversion into shares was demanded, or a subordinated loan, make do not need the money immediately - that does not exist, there is only an offer. The goal is to make this as simple as possible. Sono doesn't have a giant team for special cases after that. Sono points will also be eliminated because there will no longer be a purchase contract.
All info on the repayment plan:
https://sonomotors.com/de/repayment-plan/
FAQ: https://sonomotors.com/de/faq/
+++ REVIEW +++
If you want to listen back to Laurin's perspective from 10/1/23, here is a good, probing interview from Business Insider.
It sheds good light on the perspective on Solar only and the role the Sion could have played for the solar division. There is an outlook on the now upcoming restructuring with "rebranding" and on a difficult time.
+++ IS THE SION HISTORY? +++
Not necessarily. An "early 2024" is thus clearly off the table. But Sono is looking for a buyer. Someone who will drive the vehicle project forward and bring it to the road after all.
The website states:
The offer could include the following items:
All of our development and design data based on the latest freeze/release, including all test results and certification data/documents.
All hardware, including SVC1, SVC2, and SVC3 vehicles, prototypes, and final tooling and parts
All software, including the carsharing app already in operation
All cost data and information on the overall program
All contacts with our suppliers, reservation holders and Sion employees (provided they agree to share data)
All intellectual property rights related to the Sion only, and free access to all Sono Motors intellectual property to realize the Sion (no additional Sono Motors Solar intellectual property for other applications)
A professional handover by a team that still wants to make the dream a reality
Whether there can be interested parties is up in the stars, including what a package may ultimately look like. From the community came already questions about the SVC2 and SVC3. There is an email address to contact, but they are currently trying to sell the whole program, not individual parts.
https://sonomotors.com/de/sion-sell-off/
+++ FB-GRUPPE / KOLUMNE (SEBNEWS) +++
Our german Facebook group will continue to exist, just as the Sunday column will continue, although probably not as extensively, and I will not provide any English translations anymore. The community will wind down.
We document the further development of the Sion, and enough is still happening. Sunday mornings are secured. And we still have so many pictures, photos and memories to share. And besides, someone has to keep an eye on the project and rap Sono on the knuckles.
Many have asked how the Community Advisory Board / Supervisory Board will continue.
My first reaction was, with the attitude of the Sion it needs no more advisory board and most sensibly everything immediately to put down. For the above reasons, and even if the Sion is sold, I still see tasks, and also still have to wait and see how the installment plan is accepted.
My official statement is "I am actively considering whether to continue as a community representative on the Supervisory Board under the changed circumstances".
+++ AWARDED +++
Sono Motors is participating in the European Solar Prize and receives an award, that was already on 23.2.
There was certainly no time for a press release.
Category: Transport and Mobility: Sono Motors (Germany) for their groundbreaking self-charging e-cars that accelerate the mobility revolution.
https://www.eurosolar.org/2023/02/22/european-solar-prize-2023-announcement-of-the-award-winners/
+++ LIGHTYEAR +++
There is hope for the vehicle project at Lightyear. Last week, we reported here about Arnoud Aalbersberg, who had gathered more than 200 private investors with the "Individual Investors Group". Now the sovereign wealth fund, which holds the patents as collateral, has given in. So far, 8 million have been pledged - but no car yet. We'll see what comes of it.
https://lightyear.one/articles/lightyear-mission-continued
+++ FULLY CHARGED +++
Why game changing new car brands mostly fail: Fullycharged analyzed it well - before Friday's Sono News - and reiterated his love for SEVs in the video post. To get an e-car on the road, he concludes, you have to be crazy, have endless money, or have contact with investors who care about the world and have the time to refinance. The ideas of the three startups are too disruptive, he says, and investors don't understand that.
Did Sono pack too much innovation and too little sex appeal into the Sion? Sad but true: Too much innovation for investors, they don't get it and don't want to settle for less margin.
https://m.youtube.com/watch?v=5TM-gm53e1c&feature=youtu.be
+++ KONSEQUENZEN +++
At Sono, 300 employees have to leave, salaries will still be paid for a maximum of three months, less for some.
In addition, Thomas Hausch (COO) also draws consequences, he resigns from his job as head of operations, still helps a few weeks with the restructuring.
+++ PRESSE +++
Much press echo, too late for the Sion. Perhaps good for the political discussion.
Spiegel was one of the first, Bild München, Augsburger Allgemeine followed. The list is long (selection): Spiegel.de: Sono gives up solar car
Sono discontinues solar car
https://www.sueddeutsche.de/wirtschaft/muenhcner-start-up-sono-sion-solarauto-eingestellt-1.5757940
Sono Motors fails with its solar car - customers get money back in installments
Solar retrofit kits for buses, trucks and refrigerated trailers.
End for Sion: Sono Motors discontinues solar car project:
Golem: Sion failed
https://www.golem.de/news/sono-motors-solarauto-sion-ist-gescheitert-2302-172180.html
Focus on solar business:
+++ FUN FACT +++
A Sion remains at Sono and is not part of the sales package. It will be in the showroom in Munich for the next few weeks, and anyone who wants to can come by and sign it there. The plan was actually for the developers to sign after the livestream - and not on the solar panels. Somehow it went off in the livestream, and everyone signed everywhere.
So, if you still like, you can still sign in Munich at Sono on site on the SVC3. You can also send a message to Andreas, Wolfgang, Asti or me, then we put your name on it and send a photo. Or comment below and we will do it.
https://www.youtube.com/live/5APa5H-u3ks?feature=share&t=3198
Have a great week, stay healthy. And stay positive.
Sebastian, Asti, Andreas und Wolfgang