Is Canoo EV still in business?
Canoo, an EV startup founded in 2017, has filed for Chapter 7 bankruptcy and has ceased operations. The downfall came after the company failed to secure funding from both the U. S. Department of Energy’s Loan Program Office and foreign sources. Its competitive landscape includes major players such as Lucid, Rivian, and Nikola, all vying for market share in the rapidly evolving electric vehicle space. Canoo’s commitment to innovation and its unique approach to vehicle design and ownership position it as a notable contender in the high-tech mobility sector.Canoo Inc. American automotive company based in Torrance, California, that developed and manufactured electric vehicles. Canoo’s research and development team was based in Michigan, in the Detroit region (Auburn Hills, Livonia), and production operations in Justin, Texas.
Will Canoo EV survive?
Last April, Canoo GOEV raised concerns about its survival, revealing that it lacked enough cash to last the next 12 months. On Friday, this Texas-based company finally decided to shut down operations and file for Chapter 7 bankruptcy rather than try to restructure. Canoo filed for bankruptcy in January 2025 after years of financial struggles and failing to establish a market for its electric vans. Soon after, former CEO Tony Aquila made a $4 million bid for the startup’s assets in March.A Canoo news release announcing the bankruptcy said the company will “cease operations effective immediately. It noted that executives had been unable to win a loan from the Department of Energy — which Rivian did secure — or gain financing from “foreign sources of capital. The company’s assets will now be sold off, .