Rumor: Harley-Davidson and Alta Motors Are Parting Ways

[Philip]

This is just in:

"Our sources tell us that Harley-Davidson has all but removed itself from its joint motorcycle project with Alta, and backed out of its involvement in the San Francisco startup."

Harley-Davidson and Alta Motors Are Parting Ways

Interesting. I hope Alta is not cash strapped. Everything else is probably of a much smaller concern.

 

[Philip]

Coincidentally, a Harley Davidson headhunter contacted me today via LinkedIn. My LinkedIn profile does not say anything about motorcycles, only automotive vehicle dynamics. So I checked the job description and their marketing spiel:

More Roads to Harley-Davidson | Harley-Davidson USA

"We are planning our most comprehensive lineup of motorcycles. Highlights include:

• . . .
• Leading the electric motorcycle market by launching Harley-Davidson’s first electric motorcycle, LiveWire™, in 2019 -- the first in a broad, no-clutch “twist and go” portfolio of electric two-wheelers designed to establish the company as the leader in the electrification of the sport. LiveWire will be followed by additional models through 2022 to broaden the portfolio with lighter, smaller and even more accessible product options to inspire new riders with new ways to ride."

 

[snydes]

 

[Ultratoad]

I am kind of surprised that Alta has not released a statement about this affair.... Seemed like Alta was really jazzed about Harley's infusion of cash and power.... This can not be good for Alta....

 

[leeo45]

Interesting article. I was not aware Magneti Marelli was so deeply involved with the HD Livewire development.

Accordingly, one would expect that Harley-Davidson plans to partner with a different technical partner for these future electric two-wheelers – after all, Magneti Marelli is said to be the brains behind the Livewire production model, while Mission Motors was responsible for the prototype Livewire test bikes.

MM Motorsport are the supplier of the spec (Dorna required) ECU on all MotoGP bikes, so they certainly know something about vehicles on two wheels.

I hope HD didn't 'share' ALTA's technology and intellectual property and then curtail the agreement.

 

[strider]

Hmm. I wonder what happened to Mission Motorcycle's prototypes and IP? If they bought that out of bakruptcy that could form the basis for street bikes....

 

[snydes]

I can’t help but think Harley went in throwing their weight around thinking they could get or do whatever they wanted with Altas resources.

Really anxious for a statement.

 

[Ultratoad]

Excuse me guys !!!! BUT, we need to be on this.... Remember what happened with Victory and the Empulse TT !!!! Alta needs to deliver a statement.... The dogs may be at the gate !!!!

 

[teddyquinn]

Hopefully this development comes from a place of the Alta team realizing that moving forward would mean a similar fate of Buell and Brammo (at Polaris). The radio silence is a little unsettling, but am not too worried about Alta's future, but what do I know haha

 

[snydes]

I would say it might be b.s., but I think the lack of a response probably confirms it’s not. Our resident Alta guys, even Honcho, are certainly being coached by their PR guys on how to formally respond.

 

[strider]

It's possible H-D made a play to acquire Alta and was rebuffed (either the offer was too low or like @teddyquinn said the Alta team didn't want to get lost in a huge corp). H-D then decided to take their ball and go home. This happens a lot in high tech. Let's hope Alta has plenty of resources to continue on their own.

 

[Ultratoad]

I absolutely love Alta's products and want them to succeed.... My fear is that HD left them high and dry and recovery may be difficult.... HD historically has left many bodies in their wake.... Them big corporations just don't seem to have any heart....

 

[Warren]

This could be why I’ve been waiting three weeks for a battery replacement for my Alta my dealer has been trying to call the factory and no one’s picking up all week. Doesn’t look promising

 

[Ultratoad]

I'm really sorry to hear that.... Alta is probably in full dance mode right now !!!! They have some super smart and savvy folks running the place (with no absence of heart I might add).... Fingers crossed !!!!

 

[Judaslefourbe]

This could be why I’ve been waiting three weeks for a battery replacement for my Alta my dealer has been trying to call the factory and no one’s picking up all week. Doesn’t look promising

I do not see an open order for a pack in the system. Please send an email to service@ with your information (VIN included) and we will take care of you.

 

[teddyquinn]

This thread drove me (out of general curiosity) to learn more about Alta's funding history, who's been involved / backing, and how many rounds of funding they've gone through: https://www.crunchbase.com/organization/brd-motorcycles#section-overview

The more I ponder on this, the more I'm feeling like, should H-D have actually backed away (not sure what the legalities are here, since it seemed like a closed deal / funding round), it's better for Alta to be free of H-D - it may have also required Alta and H-D's joint approval.

Perhaps H-D's main aim in all of this was just to leverage Alta pack tech without paying patent license fees or something similar. I don't get the impression Alta is strapped for cash, and every indication on this forum is that - even with a very efficient assembly process / line - they are still not satisfying immediate demand, so big market that's only growing for them. Additionally, the Redshift price reductions were instituted before the H-D thing was (at least) announced as a thing.

I'm not even sure the H-D partnership was coming from a place of Alta actively seeking more money or strategic guidance; likely just an opportunistic thing from some Alta investor / board member that knew key H-D people and viewed this as an opportunity for Alta to tap into H-D's vast dealer network / financing, etc. (basically all those things Alta struggles with to sell bikes), and maybe also scale up road-first models, though that's sort of counter to Alta's off-road mission.

Worst case, if Alta was motivated financially by this relationship, and do need more cash, they could just go through another round of funding (I'd happily contribute!). The H-D agreement likely required a new valuation of Alta, and I'm sure they're only getting more valuable.

Totally just armchair analyzing, but I'm of the "good riddance HD" mentality. H-D probably expected the world (from an unknown investment, BTW) and were dealt some realities in response. I just hope (if all this is true) that the sketch of a scrambler-esque H-D with Alta pack was as deep as the two got in working together.

And yes, I'm also bitter about H-D ruining Buell...

 

[WoodsWeapon]

Im not bothered by any of this, and dont believe Alta is any financial struggles.

 

[snydes]

When I ordered my MXR back in February my dealer had a waiting list for bikes, the next day the official announcement came about the Harley investment. It did somewhat make me feel more confident in my choice to go ahead and spend a bunch of money on cutting edge technology from a very young company, but at the same time I did want to see this group succeed on their own.

I spoke with my dealer again a week ago, he sells every bike he gets he told me. He even sold his demo bike. I guess what’s the point of keeping a demo when you can’t keep bikes on the showroom floor so as it is. He even had to direct one guy to another dealer for one.

At any rate, these bikes are selling and I’m betting on Alta with or without Harley Davidson.

 

[Ultratoad]

Believe what you want.... Based on VIN numbers, they haven't sold many....

 

[Ultratoad]

I do not see an open order for a pack in the system. Please send an email to service@ with your information (VIN included) and we will take care of you.

Hey Judas.... things are kind of quiet on the mother ship !!!! The folks hear deserve an update ???? Don't you think ????