Lucid Motors has delayed the launch of its midsize Cosmos SUV, originally expected to arrive under the $50,000 mark in late 2026, to the second half of 2027, as part of a broader $1.4 billion “operational reset” announced alongside its second-quarter earnings.
CEO Silvio Napoli, who took over in June, said the delay reflects a shift toward getting the vehicle right rather than rushing it to market, framing the move as avoiding “mistakes of the past.” The AM2 production plant in Saudi Arabia, where the Cosmos is set to be built, won’t be ready until the second half of 2027, according to the company. The broader cost-cutting plan targets roughly $500 million in reduced capital expenditures, $600 to $800 million in lower inventory-related cash usage, and about $200 million in additional operating expense cuts, on top of roughly $158 million in annual savings from a 1,500-person, 18% workforce reduction announced in June.
The Cosmos was meant to be Lucid’s volume play, extending the engineering of its high-end Air sedan and Gravity SUV down to a more accessible price point after the company built its early reputation on six-figure luxury vehicles with industry-leading range and efficiency. With that volume model now pushed a year further out, Lucid’s near-term sales continue to rest on a narrower base of affluent buyers.
The company’s ability to absorb another year of losses without that broader customer base leans heavily on continued backing from Saudi Arabia’s Public Investment Fund, which has repeatedly provided capital to keep Lucid operating. Napoli has also reshuffled Lucid’s leadership since taking over, with the COO, CFO and top engineer all departing in recent months as part of the turnaround effort.
