General Motors teased many new electric vehicles in the lead speech for the digital consumer electronics show, including Cadillac’s flagship Celestiq and some crossovers that are apparently Buicks. There was also a Chevy truck. Lots of EVs, indeed.
Given all the fresh faces, it’s easy to miss one of GM’s more grounded and intricate announcements of the day. This would be BrightDrop, a new company in GM that will build commercial electric vehicles for delivery companies, as well as software solutions to connect them and help customers manage their fleet.
At the moment, BrightDrop represents two products that, according to GM, will start delivering this year. In December 2021, the EV600, BrightDrop’s first bus, will be powered by the same Ultium battery platform as GM’s consumer vehicles.
The EV600 has an estimated range of 250 miles at a cost, and it will be able to reach 170 km after an included hour, thanks to 120 kilowatts fast load. Inside, the EV600 will offer more than 600 cubic feet of cargo space. FedEx receives first 500 EV600s BrightDrop buildings.
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The EV600 is, as my colleague Justin put it, “a nice lookout box.” ‘However, it looks like it will play a more supportive role in BrightDrop’s plans.
More interesting is the EP1, an electric pallet with a built-in motor to aid movement. GM says the EP1 will start reaching customers as early as this month. The EP1 is designed to get into difficult spaces easily, easy to load and unload from delivery vehicles, and several can be chained together for larger deliveries.
It appears that FedEx tested the EP1 and encouraged early results. According to FedEx Regional President for the United States Richard Smith:
BrightDrop products will help FedEx Express handle unprecedented demand, improve the safety, security and timeliness of deliveries, reduce our environmental impact and protect the well-being of our couriers.
In an initial launch we ran with the BrightDrop EP1, our FedEx Express couriers were able to handle 25 percent more packages per day efficiently and safely. The feedback from our team members was excellent. The EP1s were easy to operate and helped reduce physical stress. We are so pleased that we are planning a second EP1 launch that will take place this term, and we expect the results to be even more effective.
Pam Fletcher, GM’s Vice President for Global Innovation, gave an indication of the Detroit Free Press that BrightDrop negotiated with non-FedEx customers:
“You will realize from the way we handle this opportunity – which is an independent business, a great team and a new leader – that we think the possibilities with this are very impressive,” Fletcher said. “The contribution it will make is more than worth it.”
Fletcher added that the ‘contribution to the bottom line will start very quickly’ because BrightDrop already has letters of intent from customers outside FedEx, but she declined to comment.
One thing that was absent in the unveiling of BrightDrop was any discussion related to pricing for the EV600 or EP1. Ford has promised the upcoming E-transport would start below $ 45,000 when it came to light in November that the electric van. However, the E-Transit seems to be targeting consumers as well as commercial sales BrightDrop currently only offers commercial clients.
The E-Transit is also expected to offer half of the EV600 range: 126 miles, up from 250. It may look like a noticeable shortcoming from Ford, but remember: vans make very short rides.
Indeed, much of Ford’s language surrounding the E-Transit seems to prioritize a low cost of ownership and a reduced need for expensive maintenance compared to pickup trucks powered by internal combustion engines. It is completely different from how GM offered the EV600 as the van was kept economical, especially for small businesses, not mentioned in the main speech. (For what it’s worth, the official EV600 page projects “more than $ 7,000 in annual savings on operating expenses versus [a] diesel alternative. ”)
The GM part looks almost like an afterthought, like GM BrightDrop stores. GM sees BrightDrop as a ‘delivery ecosystem’ for large companies that need such things – not just a manufacturer of commercial electric vehicles. And BrightDrop’s future clearly revolves around the EP1, not the EV600.
In the keynote address, Fletcher spoke about the company exploring different vehicle concepts, including a ‘mid-range solution that transports multiple EP1s’, as well as a ‘high-speed delivery concept’ wagon that can open a side panel and plop some EP1s instantly a sidewalk. GM was apparently struck with this electric pallet idea.
Commercial vehicles provide an important opportunity for electrification to bring about positive change. This is especially true of delivery vans, which are very time consuming and deliver excessively high emissions for the short distances. I hope BrightDrop can do well here; I also would not mind an army of EP1s making my bid.