As a kid, I was always enamored with cars.  I used to know every car, make, and model on the road. I spent hours building car models and parading them around.

As I got older, not only because of the plethora of models, but also since  other interests occupied my time, I no longer could recognize every car on the road.  I still paid attention to the models, but only for select vehicles.

But one of the most interesting facts I learned was that the most popular car in America (i.e., the one most sold) was not a car, but a truck.  The Ford F-150. (By the way, it’s not only the top selling vehicle in America, but the most profitable one.)

So, given that strategic value, it’s not often one would expect the manufacturer to create a whole new approach for said vehicle.

Yet, that is exactly what Ford has done.  Last week, it introduced the F150 Lightning to the world.  What makes this F150 different from all the other 150’s it has offered over the years?  This one is completely electric. (This is the first of many models – with a development cost of some $ 22 billion- that Ford plans to introduce over the next few years.)

Moreover, while most manufacturers elected to charge more for their electronic versions, Ford is pricing this vehicle identically to every other F150 it has always sold.  The goal is convert  new buyers to the electric F150- and that means individual buyers and fleets.

And, once one recognizes that there will be a federal tax credit of $ 7500 per vehicle (as well as the potential for various state credits), the price for this vehicle will be highly competitive among all truck sales.

(Keep in mind we have no clue what GM plans to charge for its Silverado- when and if they announce their electric version.  Or, that Rivian, a California based startup (with extensive Ford backing) will be charging $ 75K for it’s electric truck.  And, then, there’s Tesla’s Cybertruck, with a competitive price of $ 39,900- but it’s version that is more similar to the F150 (two electric motors, four wheel drive capability) will run $ 49,900.)

Ford claims it can keep the price of the F150 low since so many of the parts between the electric and internal combustion versions are identical. (Note that the electric version will actually run faster.)  The two versions of the F150 will depend upon the battery- the standard F150 (the one with the pricing above) will have a cruising range of about 230 miles.  The extended version will reach 300 miles on a single charge. (OK.  Ford plans to produce the Lightning with fancier interiors and a slew of other features, which will drive the price upwards to $ 90K.  It plans to go after both ends of the truck market.)

Maybe now is a good time to bring up the fact that the most expensive component in electric vehicles is the battery. Which is why Ford has already developed a joint venture (BlueOvalSK) with South Korean battery manufacturer, SK Innovation.  (Note the joint ventures name- Blue Oval describes Ford’s logo, SK is the Korean venture’s name.)  They plan to create two factories in North America and produce some 60 gigawatt hours of batteries per year by 2025.

https://www.youtube.com/watch?v=Zxe352yOYyk

This is going to be interesting to watch.

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