Volvo's Polestar Electric Cars Will Be Sold Online

Polestar 1

Volvo is also right to say that it has the longest EV range on any hybrid in the market.

Polestar took the wraps off its first production model only a few days ago and already the coupe has been transformed into a purely hypothetical shooting brake. The Polestar 1 is a two-door, 2+2 seat Grand Tourer Coupé with an "Electric Performance Hybrid" drivetrain.

The Swedish auto maker took the wraps off the "Polestar 1", a four-seater hybrid coupe in a ceremony in Shanghai - its first salvo as it positions the brand as a competitor to Tesla Inc and the Mercedes AMG division.

The investment dollars will be put toward a new, state-of-the-art Polestar manufacturing hub in Chengdu, China.

Polestar models will be serviced at selected Volvo dealers, although their drivers won't need to visit the workshop, as all issues will be dealt with online. The sporty hybrid GT, a major step toward Volvo Car Group's first all-electric car, shares its basic Scalable Platform Architecture (SPA) with the latest Volvo vehicles. Plans call for construction to be completed by mid-2018, with Polestar 1 production to follow in mid-2019.

Polestar 2 will start production later in 2019 and will be the first battery-electric vehicle (BEV) from the Volvo Car Group.

Interestingly, Volvo and parent company Geely are using the launch of Polestar as an opportunity to step away from the traditional sales and ownership model, toward what could very well become a growing market paradigm. Production on that vehicle is expected to begin in 2019, and Volvo sees it serving as a direct competitor to Tesla's Model 3. It will be a mid-sized BEV, joining the competition around the Tesla Model 3, and with consequently higher volumes than Polestar 1. However, Polestar also recognises that customers still want to physically engage with the brand so Polestar will open a network of Polestar Spaces around the world. The cars will be offered on a two- or three-year subscription basis; the monthly fee will include pickup and delivery servicing and the ability to rent alternative Volvo and Polestar vehicles.

"We believe that subscription is the future", said Jonathan Goodman, Polestar's chief operating officer.

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