By DCB Editorial, February 27, 2025
Former Tesla Model S engineer-turned-Lucid CEO Peter Rawlinson has been removed from his position following the company’s latest financial results, which revealed continued losses. However, Rawlinson’s 12-year tenure at Lucid Motors, including five years as CEO, is not entirely over—he will transition into an advisory board-level role.
A CEO is responsible for running the company on behalf of its shareholders, and Lucid’s shareholders include some of the wealthiest and most powerful investment firms in the world—Vanguard and BlackRock—which some critics argue wield immense and controversial influence.
The CEO’s ultimate mission is to drive profitability—failure to do so often results in swift consequences from shareholders. Despite this, Rawlinson is credited with creating one of the best electric vehicles on the market, the Lucid Air. However, as a luxury sedan, its market appeal is shrinking, contributing to low demand and the company’s financial struggles.
Lucid Group announced on Tuesday that it expects production to more than double by 2025, increasing from 9,000 to 20,000 units. The news sent the company’s shares up 10% in extended trading.
Following Rawlinson’s departure, Marc Winterhoff will step in as interim CEO.
As EV demand in the U.S. remains uncertain, Lucid is expanding its lineup with the Gravity SUV, aiming to compete with Tesla’s Model X and Rivian’s R1S.
The company reported $234.5 million in revenue, exceeding Wall Street’s expectations of $214.2 million. However, Lucid still posted a $397.2 million loss for the quarter ending December 31, an improvement from the $653.8 million loss a year earlier.
Despite Lucid’s growth plans, demand for fully electric vehicles remains sluggish, as consumers increasingly favor cheaper hybrid models amid high interest rates and economic uncertainty.
