When Jaguar announced nearly five years ago that it would completely reinvent itself as an EV-only ultra-luxury brand, setting its sights on Bentley rather than the familiar and more attainable German premium rivals like BMW and Audi it had competed with for decades, the plan sounded ambitious, perhaps too ambitious. It still does today.

Read: Jaguar’s New EV Growls Like A V8 And It’s Messing With Your Brain

Now, some of Jaguar’s retail partners are raising uneasy questions. With EV sales cooling or inching forward at a snail’s pace in key markets, skepticism around the brand’s pivot is mounting. Industry analysts are voicing similar concerns, suggesting Jaguar may be targeting a shrinking share of an already narrow segment.

Trouble in the Transition

Dealer sources say Jaguar is aiming to sell around 10,000 cars a year, aligning with Bentley’s current output. But the target, while tidy on paper, is drawing doubt. That kind of volume is tough to achieve in the luxury EV segment, where few models have made real headway.

“I doubt that Jaguar’s strategy will work,” S&P Global analyst Martin Benecke told Auto News. “Jaguar wants to go where other luxury manufacturers are withdrawing due to a lack of demand. Which customers does Jaguar want to reach with its electric luxury cars? I don’t know whether you can survive with this strategy.”

Does The Type 00 Have A Business Case?

The first of Jaguar’s next-generation EVs is a luxurious four-door model previewed by the Type 00 concept. It’s expected to carry a starting price of around $130,000 in the US, making it more expensive than the Mercedes-Benz EQS. If sales fall short, reworking the platform for hybrids or combustion engines could prove, if not impossible, certainly both difficult and expensive.

Dealer Uncertainty Meets Cautious Optimism

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“At the moment, there is no clear business case for Jaguar,” one dealer told Autonews. “We have committed in principle, but whether we fully invest will depend on the final strategy.”

Still, not everyone is pessimistic. Some people are onboard, including the chairman of the German Jaguar and Land Rover Dealers Association, Andreas Everschneider. According to him, “the restart is an opportunity,” but he has warned that Jaguar must avoid falling into the trap of overproduction.

“If Jaguar repeats the mistakes made by other premium brands and floods the market, prices will collapse,” he said. “In that case, the luxury strategy will fail.”

It’s not often that a legacy carmaker attempts a reinvention as complete as the one Jaguar is now pursuing. Long seen as struggling to match Germany’s premium heavyweights like BMW and Audi, the British brand has decided to shift course entirely.

Rather than chasing premium volume, Jaguar now aims to sell fewer vehicles at significantly higher prices, offering a tighter lineup of upscale electric cars. The first product of this rebooted identity is due next year.

Read: Jaguar Rolls Out Its Future In A New Color Right After Firing The Man Behind It

Previewed by last year’s radical Type 00 Concept, this new model will be a low-slung, four-door fastback powered by three electric motors and producing around 1,000 hp. It’ll be unlike any other Jaguar from recent years and that’s exactly what Jaguar wants.

What’s the Strategy?

In an interview with Top Gear, Jaguar’s managing director Rawdon Glover acknowledged the current model wasn’t working. Competing head-to-head with Audi, BMW, and Mercedes-Benz in the so-called volume premium segment “didn’t work commercially,” he said.

Instead, Jaguar will now follow an approach closer to what Range Rover has done, with fewer models, each positioned higher up the market.

Also: JLR Denies Firing Gerry McGovern, But Won’t Say If He’s Still Employed Either

“In UK numbers, our average transaction price used to be about £55,000 (about $73,000 at current exchange rates),” Glover told TG. “This will be more than double that, so the centre of gravity in the UK would be about £120,000 ($160,000),” adding the launch edition of the road-going Type 00 will start at “£140,000 ($187,000).”

Jaguar notes that by pricing its vehicles in the mid-£100,000s, it’ll be able to carve out a space of the market above what the volume brands from Germany offer, but below ultra-luxury brands like Bentley, Rolls-Royce, and Lamborghini, which sell vehicles closer to £300,000 ($400,000).

During the same interview, Glover added that “the days of seven or eight models [in Jaguar’s line-up] are gone,” noting we should “expect a condensed range, all around similar price points.”

The change will come with a leaner product catalog. “The days of seven or eight models [in Jaguar’s line-up] are gone,” Glover said. He added that Buyers should expect a much more focused range, with models clustered at “similar price points”.

Inside Jaguar’s Flagship EV

SHproshots

The first model in this new era will also be Jaguar’s most important. While its design is expected to spark debate, early feedback suggests the brand is working on a genuinely refined electric vehicle.

Several UK publications have already experienced it from the passenger seat. Autocar, among them, noted that the prototype rides better than any EV currently on the market.

Underpinning the vehicle is the new Jaguar Electric Architecture and a battery pack estimated to have a capacity of around 120 kWh. There are then three electric motors, two at the rear axle and one at the front, combing to produce roughly 1000 hp. Of that total, 30 percent is directed to the front wheels, with the remaining 70 percent going to the rear.

Then there’s the trick suspension. All four corners feature three-chamber air suspension, which, according to reports, delivers a level of ride quality that surpasses even the most opulent Range Rovers in the JLR stable.

Bad Timing?

Still, the timing of all this raises questions. With the crucial American market going cold on EV adoption and Europe reconsidering the timeline for internal combustion phase-outs, Jaguar’s all-in electric pivot seems like a high-stakes bet.

Unless, of course, the real aim is elsewhere. China remains bullish on premium EVs, and for a brand like Jaguar, finding success there might be the difference between a daring reinvention and a costly miscalculation.

Sources: Top Gear, Autocar

This time last year, Jaguar revealed the wild Type 00 concept, the first look at its all-electric future and a statement of intent to compete with Bentley and Rolls-Royce.

As development of the production version continues, a matte red example of the concept has been spotted on London’s streets, marking the marque’s 90th anniversary and coinciding with the unexpected departure of its longtime design chief, the figure behind the brand’s polarizing rebrand.

The Type 00 was originally shown in Miami Pink and London Blue during the official launch. Earlier this year, the model was dressed in a French Ultramarine livery and made a surprise appearance during the Paris Fashion Week.

Read: Jaguar’s Future GT Has No Rear Window And No Patience For Cargo

The company has now unveiled a fourth color variation, London Red with a matte finish, as the concept makes its arrival in the UK capital. The new shade draws inspiration from the redbrick Victorian architecture of Kensington, one of London’s most recognizable neighborhoods.

Jaguar

The freshly repainted concept was photographed alongside a classic 1935 Jaguar SS outside the Chancery Rosewood Hotel.

For those wondering, no other changes have been made to the concept’s exterior. It still rides on the same 23-inch alloy wheels, while the minimalist cabin remains finished in white and gray upholstery accented by ambient lighting.

Photos shared by Jaguar UK Director Santino Pietrosanti on LinkedIn show the Type 00 parked alongside some exotic company, including a Bugatti Chiron, Rolls-Royce Cullinan Black Badge, Ferrari F8 Tributo, and Lamborghini Aventador SVJ.

Santino Pietrosanti / LinkedIn

The brand’s rebrand has been met with mixed reactions. Its ad campaign, oddly enough, featured no cars at all, leaving many scratching their heads. It was also rather odd that it initially showcased the Type 00 in a bright shade of pink, which didn’t do the car any favors.

Still, under London’s gray winter light, the matte red finish lends the concept a sense of gravitas. Out in the open, it naturally draws attention, albeit that’s not really surprising for a concept car. Much like the Tesla Cybertruck, its unconventional form challenges expectations so completely that people can’t decide whether they admire it or despise it. There seems to be little middle ground.

The Road Car

Prototypes of the production version suggest Jaguar plans to stay faithful to the concept’s striking proportions. The roadgoing model will, however, take a more practical shape with four doors and a longer wheelbase, built on the company’s new Jaguar Electrical Architecture platform.

More: Jaguar’s Future GT Has No Rear Window And No Patience For Cargo

As per recent reports, the EV should have a driving range of up to 430 miles (692 km) and support fast charging, adding 200 miles (322 km) of range in just 15 minutes.

Only time will tell if those who would ordinarily shop for a Bentley or Rolls-Royce will be willing to spend their money on a vehicle that looks as controversial as this.

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JLR Design Chief Axed

In separate news, it has been confirmed that Jaguar Land Rover design boss Gerry McGovern has departed from the brand. No official reason has been given for this high-profile departure, but it comes shortly after former chief financial officer at Tata, PB Balaji, was named as JLR’s new chief executive.

Citing insider sources, Autocar India reports that McGovern was “escorted out of the office” on Monday, with his contract being terminated with immediate effect. The man behind Jaguar’s relaunch has spend over two decades at JLR, being responsible for successful models including the new Land Rover Defender.

According to business economics professor at the University of Birmingham, David Bailey, McGovern’s exit marks a “symbolic end of an era.” He told The Guardian that it may also be a sign that Tata wants to exert more control over the British company.

Thanos Pappas contributed to this story.

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