Byton was a Chinese-German all-electric vehicle automotive brand established in 2017 and incorporated in Hong Kong. The company was co-founded by former BMW and Nissan executives and aimed to produce high-end electric vehicles. Byton unveiled its first concept car in January 2018 and initially planned to launch production and sales of its M-Byte SUV by late 2019. However, due to financial difficulties and developmental delays, the company struggled to meet its targets.
History
Foundation and Early Years
In 2016, Tencent, Foxconn, and luxury car dealer Harmony New Energy Auto formed a joint venture called Future Mobility. This startup was focused on developing premium, all-electric, fully autonomous vehicles by 2020.
Byton was officially founded in 2017 as a subsidiary of China Harmony New Energy Auto Holding Limited, with Carsten Breitfeld as CEO and Daniel Kirchert as president. The company announced that its first manufacturing plant would be based in Nanjing, China, with an investment of US$1.7 billion and an initial production capacity of 150,000 vehicles. Future Mobility was later renamed to Byton, and in 2018, the state-owned Chinese automaker First Auto Works (FAW) invested heavily in the company.
Leadership Changes and Financial Struggles
Carsten Breitfeld departed from Byton in April 2019, citing excessive government interference through FAW as his reason for leaving. Daniel Kirchert then took over as CEO. Byton faced increasing financial difficulties, leading to the furloughing of half of its 450 North American employees in April 2020. In June 2020, the company announced a six-month suspension of operations for corporate restructuring.
By September 2020, ownership of the brand shifted to Nanjing Shengteng Automobile Technology Co., Ltd., with FAW Equity Investment (Tianjin) Co., Ltd. holding 23.33% of the shares and Duan Lianxiang holding 6.67%. Kirchert left the company in October 2020 due to its continued financial troubles.
Partnership with Foxconn and Bankruptcy
In January 2021, Taiwanese manufacturer Foxconn entered a strategic partnership with Byton, investing US$200 million and planning to assist with manufacturing and supply chain management. Despite this, Byton’s German subsidiary filed for bankruptcy in April 2021. By July 2021, Byton suspended all operations in China. In September 2021, Nikkei reported that Foxconn had indefinitely halted its partnership with Byton due to the latter’s ongoing financial issues.
Products
Byton M-Byte
The Byton M-Byte was an all-electric, battery-powered SUV. The vehicle was first announced as a mid-sized electric crossover concept and was expected to launch in China, Europe, and the United States by the fourth quarter of 2019. It debuted at the Consumer Electronics Show (CES) in Las Vegas on January 7, 2018.
Byton K-Byte
The Byton K-Byte was an all-electric, battery-powered sedan concept. It was unveiled at CES Asia in June 2018, offering a preview of a luxury electric sedan.
Conclusion
Despite ambitious plans and significant investments, Byton failed to bring its electric vehicles to market. The company’s struggles with financial instability, leadership changes, and external pressures led to its bankruptcy and eventual suspension of operations. Byton’s case serves as an example of the challenges faced by EV startups in a rapidly evolving automotive industry.
