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Harley-Davidson Invests In California Electric Motorcycle Company, Alta Motors

Milwaukee-Based Company Hopes To Draw New Riders, While Keeping Core Customers

By
Harley Davidson
Morry Gash/AP Photo

Milwaukee-based motorcycle company Harley-Davidson Inc. has invested in a California-based electric motorcycle company called Alta Motors.

The move by Harley-Davidson is the latest in its efforts to become a global leader in electric motorcycles.

It also comes years after it rolled out its first electric bike prototype in 2014 to some mixed reactions from existing customers, many of them traditional riders who seek larger and louder models.

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According to Harley-Davidson, the collaboration with Alta Motors will help it release electric models that appeal to a new generation of customers as well as existing riders.

Brett Smith with the Center for Automotive Research says there is a rapidly growing awareness and interest in electric vehicles. But unlike cars, motorcycles are as much a mode of transportation, as they are an expression of freedom.

He said he thinks the concept of electric motorcycles might have a harder time winning over the traditional long-haul motorcycle rider.

“It’s a different idea, it’s a different form of expression of freedom,” said Smith of the motorcycles that need to be recharged. “You know it may be not for mass market motorcycles but certainly offers some really interesting niche and maybe bigger than niche applications.”

But some fans of electric motorcycles welcome the Harley-Davidson and Alta collaboration nonetheless.

Robert Pandya lives in Austin, Texas. He currently tracks changes to the motorcycle industry through his grassroots initiative Give A Shift. He said if anyone can create motorcycles that appeal to multiple demographics, it’s Harley-Davidson.

“They are going to land into this electric motorcycle category a level of legitimacy that none of the other brands have been able to do,” said Pandya. “The power of the Harley-Davidson brand is undeniable.”

He agrees that traditionalists might be reluctant in taking in the new technology but argues they could change their minds once they experience the motorcycles.

Pandya said Generation X and millennials will need a level of value and engagement to be won over with electric motorcycles, which could provide an alternative to a car.

But the undisclosed investment is a gamble for Harley-Davidson. According to Bloomberg Pursuits, motorcycle sales have remained relatively flat since the 2008 recession and Harley-Davidson is no exception, announcing layoffs last year.

The company reported a 6.7 percent decline in 2017 global sales.