Walmart has become the latest large fleet operator to make a vote of confidence in a startup EV-maker—the giant retailer has made a definitive agreement with Canoo (NASDAQ: GOEV) to purchase 4,500 electric delivery vehicles, beginning with the Lifestyle Delivery Vehicle (LDV), with the option to purchase up to 10,000 units.
Advanced deliveries, which will serve to refine and finalize vehicle configuration, will take place in the Dallas/Fort Worth metroplex in the coming weeks. Canoo expects to begin production of the LDVs beginning in Q4 2022, and they’re expected to begin hitting the road in 2023.
Canoo’s Lifestyle Delivery Vehicle (LDV) is an American-made commercial EV optimized for last-mile delivery use cases. The LDV offers 120 cubic feet of cargo volume, and is engineered for high-frequency stop-and-go deliveries.
All Canoo vehicles are built on a proprietary multi-purpose platform (MPP) architecture that integrates the motors, battery module and other critical components. Canoo says steer-by-wire technology helps to reduce moving parts and cabin intrusion, resulting in more usable interior space, better driver ergonomics and the addition of a panoramic window to improve road visibility.
“Our LDV has the turning radius of a small passenger vehicle in a parking-friendly, compact footprint, yet the payload and cargo space of a commercial delivery vehicle. This is the winning algorithm to seriously compete in the last-mile delivery race,” said Tony Aquila, Chairman and CEO of Canoo. “Walmart’s massive store footprint provides a strategic advantage in today’s growing ‘Need it now’ mindset and an unmatched opportunity for growing EV demand.”
“We’re thrilled to continue diversifying our last-mile delivery fleet with Canoo’s unique and sustainably focused all-electric technology, which will provide our associates with safe, ergonomic delivery vehicles,” said David Guggina, Senior VP of Innovation and Automation, Walmart US. “Today, the closest Walmart to customers is right in their pockets—it’s the Walmart app. By continuing to expand our last-mile delivery fleet in a sustainable way, we’re able to provide customers with even more access to same-day deliveries while keeping costs low.”
Last year, Canoo selected Bentonville, Arkansas, as its headquarters and Pryor, Oklahoma as the site for its US manufacturing, placing it in Walmart’s neck of the woods.
“We’re encouraged that by being located in close proximity to the Canoo headquarters, we have the advantage to collaborate and innovate in real-time as well as the opportunity to aid in the creation of manufacturing and technology jobs here in our home state of Arkansas,” said Guggina.