Abstract:
Faraday Future (FF) announced that its robot business plans to be merged into Nasdaq-listed company AIxC (to be renamed FFR) and listed independently at a valuation of US$200 million; FFAI's strategy has been upgraded to a Robotaxi shared network + smart cabin technology operator and a Physical AI investment holding company.
"Through this strategic upgrade, the company is expected to once again become one of the drivers of the change in the automotive industry." FF founder and global CEO Jia Yueting said, "FFAI will merge the robotics business into AIxC and list it independently. FFAI will also release value in a more open and resilient way. This is not only a new departure for the two companies, but also an important step for EAI and Physical AI to move from exploration to industrial co-construction and transition."
AIxC, a Nasdaq-listed company, signed a non-binding Term Sheet with FFAI to merge FFAI's robotic assets and business at a market valuation of US$200 million, with the goal of becoming the first share in Pure-Play, a quad-core fully intelligent EAI robot ecosystem. Specific transaction arrangements are still subject to the final agreement, approval by the special committees of the AIxC and FFAI boards of directors, regulatory approval and the company's official announcement.
According to the FFAI robot business plan, it is expected to achieve positive single-quarter operating cash flow in the third quarter of 2028. The total revenue of the quad-core Quanzhi Ecosystem is expected to reach US$7.1 million in 2026, and achieve positive gross profit with a gross profit margin of 9.9%. Total revenue in 2027 is expected to reach US$45.17 million, with gross profit margin increasing to 30.5%, entering a high gross profit stage. The five-year cumulative revenue is expected to reach US$1.98 billion, and the gross profit margin is expected to gradually increase to 54% in 2030. The company will also significantly increase investment in research and development, with a cumulative investment of approximately US$300 million expected in five years to maintain product and technology leadership.
The sales target of EAI robot body is 2,001 units in 2026 and 7,400 units in 2027, with a total of more than 130,000 units in five years. Based on this five-year plan, after the transaction is completed, FFR's five-year goal is to maintain the top 3 comprehensive ranking of EAI robot ecosystem companies in the entire industry.
In terms of automobile business, FFAI said that in the face of new opportunities brought by the trend of automobile socialization and sharing and the fragmentation of automobile assets, the company will work with RoboShare to expand the Robotaxi unmanned shared travel network including access to Cybercab, and explore the deployment of FF's "Third AI Space" smart cabin technology to other conventional smart vehicles, and the integration of FF autonomous vehicles into the Robotaxi network. At the same time, FFAI will rely on RoboShare's shared platform and operational capabilities to expand vehicle asset access, operations and user service opportunities.
FFAI stated that by promoting the independent listing or independent operation of the mature EAI robot business, FFAI is expected to reduce the discount caused by the packaged valuation of all businesses, and does not need to continue to dilute the equity of the parent company's shareholders for the sustainable development of the mature business. After the mature EAI robot business is priced independently, its value can be calculated separately as the value of the equity held by FFAI, and is expected to further feed back the market value of the group company and promote the release of the company's overall value.
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