Ferrari CEO defends ₹5.4 crore price tag for Luce EV after backlash: ‘Nothing to do with Chinese…’
Ferrari CEO Benedetto Vigna made a defense ₹The ₹ 5.4 crore price tag on the Luce, the Italian automaker’s first all-electric vehicle, suggests that the model has attracted huge interest from new ultra-rich customers despite an 8 per cent drop in its share price after its launch.
Speaking at a roundtable in Modena on Thursday, Vigna said the cost reflected the real innovation involved in the car and sought to differentiate the Luce from other electric vehicles on the market. “You have to see Luce to understand that this has nothing to do with Chinese EVs or electric vehicles from other brands,” he said.
Vigna reportedly said that the cost of the manufacturer’s new Luce model was a fair price to pay for innovation.
The Luce was unveiled on Monday, triggering a wave of criticism from investors, former Ferrari employees and Italian politicians, making it one of the most controversial product launches in the company’s history.
What is Ferrari Luce and Why Is It So Controversial?
Luce, pronounced “loo-chey” and meaning “light” in Italian, is Ferrari’s first five-seater and only its second four-door model. It can accelerate from zero to 60 mph in about 2.5 seconds and reach a top speed of about 202 miles per hour with an electric motor powering each wheel.
The design was entrusted to LoveFrom, the agency founded by Apple’s former chief design officer Jony Ive, along with designer Marc Newson. Ferrari said all components were developed and produced in-house at its Maranello facility.
The visual result is a sharp departure from Ferrari’s traditional design language. The car rides on a battery-powered skateboard platform that raises the roofline to within four centimeters of the company’s SUV, the Purosangue, and 40 centimeters higher than the hybrid F80 sports car.
The exterior employs a minimalist aesthetic that hides the spoilers, winglets and air vents that typically define performance car styling, with a flowing rear shape and a front section where what appears to be a hood is actually a hanging wing.
MotorTrend magazine’s international bureau chief, Angus MacKenzie, said the focus on tactile controls and digital dials in the interior would have an impact on the industry and that despite the unconventional exterior, the company was “future-oriented underneath”.
Who Criticized Ferrari Luce?
The reaction came from leading figures both inside and outside the automotive industry.
Luca di Montezemolo, who led Ferrari for 23 years until 2014, has made some of the harshest criticisms. He told Italian media: “If I had to say what I really think, I would be doing Ferrari a disservice.” Di Montezemolo joined the board of rival McLaren Group Holdings last year.
Italian Deputy Prime Minister and Minister of Transport Matteo Salvini also focused on X. “It’s electric, extremely expensive (€550k!) and speaks for itself from an aesthetic standpoint,” he wrote. “It looks like anything but the Prancing Horse’s car. And is that supposed to be ‘innovation’? Who knows what Enzo Ferrari will say.”
What Did Ferrari CEO Say in Defense of Luce?
Vigna acknowledged that the Ferrari EV car is designed to be polarizing and attract buyers beyond Ferrari’s traditional customer base, while remaining in the ultra-rich segment. he said CNBC Earlier in the week, Luce was said to represent a “very, very important day” and the opening of a “new chapter” for the company.
Asked if Luce would alienate existing customers, Vigna said: “Look, when you make a new technology, you always have to keep in mind the word respect. Respect the technology, because when you have a new technology, you need to make sure that that technology is represented correctly in the design, so the design needs to be different.”
Vigna also disputed the suggestion that Ferrari was abandoning combustion engines, emphasizing that Luce was not signaling a wholesale switch to electric across the company’s lineup.
Auto analysts generally downplayed investor reaction, saying it was too early to draw firm conclusions.
Who Will Buy the $640,000 Ferrari Electric Car?
Ferrari has stated that the Luce is aimed in part at its growing Chinese customer base, which represents the world’s largest electric vehicle market. Vigna told investors earlier in the month that one of the cars to be launched this year was designed to better fit into the company’s portfolio for that market.
Rhodri Darch, chief executive of Everrati, a British company that produces electric conversions of classic cars for high-net-worth buyers, said he believed Ferrari would find a ready audience. “Ferrari is a brand with broader appeal than sports cars,” Darch said. “It won’t work 100% for everyone. And that’s okay.” He identified three possible buyer profiles: petrolheads switching to electric vehicles, tech founders, and buyers interested in understated luxury.
The skateboard platform created much more interior space than traditional Ferrari models, including a fifth seat and the elimination of the transmission tunnel that typically divides rear passengers in performance cars, giving the Luce a family car practicality that is new to the Ferrari range.
Ferrari’s share price fell 8 percent on Tuesday following the announcement, closed up 0.1 percent on Wednesday and traded up 1.3 percent on Thursday.
