Stellantis Ventures, the investment arm of the automotive giant, has made significant financial commitments to fuel the growth of 10 startups and a mobility venture capital fund. These investments account for approximately one-third of the impressive $325 million (300 million euro) allocation the company has dedicated to nurturing emerging businesses that align with its vision of advancing clean, safe, and affordable mobility solutions.
The driving force behind Stellantis Ventures’ investment strategy is their ambitious “Dare Forward 2030” strategic plan, as explained by Adam Bazih during a media briefing preceding the announcement. This initiative, unveiled in March 2022, aims to reduce emissions by 50% by 2030, using 2021 emissions levels as the baseline. To realize this goal, Stellantis has outlined targets such as ensuring that 100% of passenger car sales in Europe and 50% of passenger car and light-duty truck sales in the United States are electric vehicles by the end of the decade.
It’s worth noting that Stellantis Ventures’ support extends beyond traditional automotive products. For instance, one of the companies that received investment is Beweelsociety, a spinoff enterprise that focuses on developing connected electric bicycles and an accompanying app that provides financing, insurance, and other related services.
Recognizing that venture capital investments carry inherent risks, Adam Bazih emphasized Stellantis’ preference for engaging in early-stage funding opportunities. The potential outcomes for Stellantis include adopting innovative technologies, acquiring full ownership of these ventures, benefiting from their initial public offerings, or selling their stake in these companies.
“Being a corporate strategic investor, we want to see return on investment, and have a relatively reasonable timeframe” to see financial returns on these investments, Bazih said. “But ultimately, it’s about: How can we make a difference for our customers by bringing in this external startup ecosystem, and hopefully bringing those products or services or solutions somehow into our processes or into the hands of consumers?”
This strategic approach showcases Stellantis Ventures’ commitment to fostering innovation, fostering growth, and driving the future of mobility through strategic investments in promising startups and ventures.
Companies that received investment:
- Trails Offroad
- Electra Vehicles
- Undisclosed mobility venture capital fund