Will Afeela's decision to launch in California only pay off?

Initial reservations for the Afeela 1 will be limited to California residents, Sony Honda Mobility announced. The strategy is reminiscent of early EV rollouts, in which companies targeted tech-forward, EV friendly markets to launch their brand. With early adopters and good infrastructure, California seems like a good place to start. But this approach also constrains the potential customer base and may slow down the brand’s growth. Some wonder whether this cautious rollout is needed for a joint venture of two global brands, or if it points to production capacity or service infrastructure limitations. The implications of the success of this strategy could extend to how other new EV brands enter the market.