Why we invested in Telo
It has been just over 20 years since I co-founded Tesla, and in that time the automotive supplier base has, if at first reluctantly, but then with gusto, embraced EVs. Many of the components that Tesla had to develop from scratch can now be ordered off-the-shelf from multiple suppliers, which is great thing.
So, I have wondered: what would it take to build a new car company in 2024? I think it requires
- A scrappy and disciplined team
- A team that knows the EV supply chain and where the car industry is going
- A vehicle with purpose that can cut through noise
Admittedly this is not all that different from when we started Tesla in 2003. Even with the entire EV ecosystem that didn’t exist before, getting a car from concept to the road is still no trivial task. Jason Marks and Forrest North have proven they are up for the challenge and as we got to know them better, we found a team and a mission that we thought checked all our boxes.
Telo Trucks has built a fully functional “skateboard” (EV industry speak for the car minus its hat), have several thousand pre-orders from consumers and commercial customers, birthed a small truck movement, and built relationships with the best contract manufacturers in the vehicle industry. They did all that all in far less time, money, and people than it took us at Tesla.
Scrappy and disciplined? Check.
I’ve known Forrest for nearly 20 years since he joined Tesla right out of Stanford. When we first met he was a passionate solar car club member. I saw his natural engineering talent at work on the Roadster and have kept up with him as he navigated the ever evolving battery and EV industry since those early Tesla days. Jason brings a real appreciation for car safety, design, and the future of autonomous vehicles having led the ADAS and autonomy work for National Instruments. He worked on many of the major EV’s that have come out over the last 5 years including two major electric pickup truck programs. Forrest knows battery design and the battery supply chain. Jason knows safety design and how to get a car cleared to be on the road. Together the team knows all the ways to fail, and how to thread the needle to get a car driving.
A team that knows how to navigate the car industry today and where it’s going? Check.
Telo is the size of a mini cooper, with the bed of a Toyota Tacoma, and the power of a mainstream pick up truck. When you see the car, you can’t help but react in some way. The car is edgy, quirky, obvious, and exciting. Telo is addressing real consumer demand for a truck that is not unnecessarily massive. They are also addressing commercial fleet demand for light duty utility vehicles that are more maneuverable and cost effective, easier to maintain and manage at a fleet scale, and are just simply a better product than the overly large combustion engine pickup trucks of yesteryear.
A vehicle that can cut through the noise? Doesn’t get more different than Telo. Check.
Alongside my colleagues at Spero, we are excited to support the unique team and mission of Telo Trucks in their seed fundraise. Twenty years after building the first Tesla Roadster, it’s fun to be jumping back into the EV game and join the Telo board. Thanks also to our partners over at Neo for their collaboration. Time to get back to work!
