Lucid Motors CEO on Apple car rumors: 'I welcome the competition'

Lucid Motors CEO Peter Rawlinson on Tuesday told CNBC that the electric vehicle newcomer has no issue facing potential competition from one of the the most valuable companies on the planet.

Apple, which commands a $2.1 trillion valuation, is rumored to be interested in putting an electrified car on the road.

“I welcome the competition from a company like Apple,” Rawlinson said in a “Mad Money” interview. “Ultimately, you know, this is a technology race. Tesla recognizes that and Lucid recognizes that, and I think that’s what differentiates so many of the traditional car companies.”

Speculation about a vehicle project, a so-called Apple Car, has been swirling for years. Reports about a car under development or a potential production deal with Hyundai Motor and Kia Motors have ultimately proven to be fruitless thus far.

Should Apple enter the car market, it will play in a global auto and mobility market that’s worth roughly $10 trillion, a substantial opportunity compared to the $715 billion smartphone market, according to data from Mordor Intelligence.

Rawlinson suggests there’s enough space for his company to compete.

“There’s always room for new entries, and don’t … underestimate the [car] market, because this isn’t a market for EVs. There’s no such thing as an EV market,” said Rawlinson, formerly of Tesla. “This is a market for cars and EVs will penetrate and completely fill that.”

Lucid plans to deliver its first car, the all-electric Air luxury sedan, in the second half of the year. The Lucid Air will be available across multiple price points, ranging from $69,900 for the Pure model to $161,500 for the Dream Edition.

The Newark, California-based manufacturer plans to have an electric SUV called Project Gravity ready by 2023, along with other sedans, SUVs and vehicles to be produced within the next decade.

The privately held company announced last month that it would go public through a SPAC, or special purpose acquisition company, in what would be the largest blank-check merger involving an EV company.