Luxury Bay Area carmaker Lucid to lay off 18% of staff

Key Points:

• Lucid Group, a luxury electric vehicle maker based in Newark, plans to lay off 18% of its workforce, including employees, contractors, and hourly factory workers, following previous cuts earlier this year and in prior years.
• The company will eliminate an entire production shift at its Arizona manufacturing facility and has also parted ways with COO Marc Winterhoff, removing the position entirely.
• Lucid expects to save $158 million from the layoffs at a cost of $32 million in severance and benefits, with cuts to be completed by the end of the third fiscal quarter.
• Despite significant investment from the Saudi Arabian government, Lucid has reported consistent annual net losses since 2020, including a $2.7 billion loss in 2025 and a total accumulated deficit of $15.6 billion.
• The company attributes its financial struggles to intense competition in the EV market, challenges in brand popularity, and rising operational costs.