FedEx Joins Tesla Bandwagon, Orders 20 Semis

This brings Tesla close to $100 million in projected Semi revenue since its announcement last November.

via Tesla

Peer pressure is what shaped most of our youths, was it not? From who we hung out with, to what music we listened to, and even the things we bought. It seems FedEx has finally succumbed to the pressure of its peers as it announced on Monday a reservation of 20 Tesla Semis for its Freight fleet.

FedEx says that the trucks will be assigned to its less-than-truckload (LTL) unit, meaning that the trucks would be responsible for short and long-haul shipments of smaller cargo described as shipments "between 150 pounds and 20,000 pounds." Though this is a fairly vague description, the Semi's 500 mile range should be able to tackle most short-range trips on a single charge, and depending on how FedEx utilizing both Tesla's and its own charging network, can prove to be a very approachable target.

“FedEx has a long history of innovation and incorporating sustainability efforts throughout its global network,” said Mike Ducker, FedEx's Freight president and CEO, “Our investment in these trucks is part of our commitment to improving road safety while also reducing our environmental impact.”

With its purchase, FedEx joins the ranks of other companies such as UPS and DHL, both of which anticipate huge cost savings due to the electrified transportation. It believes that the Semis will offer a "far better experience" for FedEx drivers, as well as increase safety due to the advanced technology found on the truck, like its autonomous capabilities, exterior cameras, and other features not found on traditional trucks.

Tesla also boasts of the Semi's ability to sprint from zero to 60 miles per hour in just 20 seconds while carrying a load of up to 80,000 pounds. Without a trailer, the Semi is even quicker to sprint around the pavement, even spinning its tires at the very thought of throttle. Between the safety, speed, and cost savings, it's no wonder that Tesla is showing off its prototype to the world in hopes of mass-adoption. According to the unofficial reservation tracker, this brings the total number of publicly known reservations to around 548 units or $98.6 million in potential revenue for Tesla's commercial ventures.

Tesla is on a no-nonsense approach to pushing the cost-saving benefits to companies who move large volumes of freight. It promises a savings of nearly 20 percent per mile when compared to diesel, which is enough to convince many companies to give electrification a shot. With nearly $100 million in sales so far, Tesla is on track to a very successful launch of the Semi.