While Lucid has experienced a sharp increase in revenue year-over-year, falling short of analyst forecasts and heightened competition in the EV market have contributed to the company’s decision to downsize. Lucid’s production goal of 14,000 EVs for 2023 is lower than the 21,000 units expected by experts, and the price cuts by Tesla and the availability of affordable EVs from traditional automakers have reduced demand for vehicles from startups like Lucid. Another EV startup, Rivian, announced a six percent workforce reduction in February for similar reasons.
