Operator: [Operator Instructions] We will take our next question. Your next question comes from the line of Craig Irwin from ROTH MKM.
Craig Irwin: Can you please talk about the order book? I should say, congratulations on the continued strengths there, building that out. What is the approximate sort of head count, the number of individual dealers and fleets that have placed orders with you? And if you could maybe talk about how this could potentially be delivered? Do we have a couple of units upfront from one of the fleets followed by follow-on orders? And how much of that, I guess, would be sort of first unit versus follow-on, I guess, is the question.
Daniel Barel: Yes. Good morning. Good early morning. So for your first question, we currently have — we see strong demand for our by REE and for our technology, for the by-wire and our current dealer network now covers 66 points of sales and service, I think one of the largest for EVs in the country. And we do this through 20 dealers, both in the U.S. and Canada. And that gives us a very broad footprint across the whole U.S. and parts of Canada. And I think what we see in the commercial market in terms of demand is interesting because it’s different than passenger demand and how you deploy passenger vehicles in that segment. Maybe Tali, you can add more color on that.
Tali Miller: Yes, sure. Good morning. And thank you for this question. It’s a strong question. So first to add on Daniel’s point, the importance of having the 66 service points allows fleets to receive service across U.S. and Canada which is what fleets are looking for and this was — this is very important for us to achieve. Second, we see with respect to the demand, unlike I think what we see in the slowdown of the demand on the passenger EV, we do see a continuous and actually growing demand in the mid-duty Class 3 to 5 EV space that — this is the space we currently serve. We believe this demand is driven by several reasons — for several reasons. Of course, the mandate and very strong incentives, both federal and state, they are very strong.
The zero emission goals are very important for fleet. And of course, the TCO advantages of electric vehicles versus ICE vehicles. And moreover, I would say that from a charging infrastructure perspective which might be a complex one on the passenger vehicle, the space we are at, the midsize duty and also the feedback of the fleets we work with, actually, the cycle, the driving cycle is short. So basically, the driver would start in the morning and at the end of the day and charge at the depot. So from the charging infrastructure is easier for them to be served.
Daniel Barel: And to your last point, yes, I think your approach to how to roll out the fleet is correct. We are starting to ramp up later on the year. And then we will start providing a few trucks to every fleet and then ramping it up through 2025 when we ramp up towards the low to mid thousands of vehicles in production. I think it’s very, very important to deploy a few to run the demo program, receive the voice of the customer which we are very attuned to and listen to any changes on modification they still want, although we’ve been developing those vehicles together with them for a long time. So this is why you see the high level of satisfaction there but we always remain attuned to the voice of the customer. So we would like to explore as many fleets as possible to our vehicles in the coming months, providing them with vehicles and then ramping them up towards 2025.
Craig Irwin: Understood. So Daniel, we had an opportunity recently to meet with your — the customer that took your first commercial delivery of a commercial vehicle here in the U.S. And they are obviously very big supporters. And actually, we got to tour the vehicle with them, too. So it seemed to generate quite a lot of excitement. Can you maybe share with us what you’re learning from these early deliveries? What are customers saying? Is this maybe shifting your understanding of what the priorities are for investment and purchase decisions on the part of customers out there? What are you learning from these early deliveries?
Daniel Barel: Yes. It’s a great point because, as you mentioned, we had the chance to talk to a customer, to a very large customer. And I think it’s key to hear from them. And I think what we’re learning from the first deployment is, first and foremost, that we get an overwhelmingly positive feedback for the design, for the spaciousness and the agronomic advantage of our cabin, of the low floor, the very driver-centric cabin that we offer and the performance of the truck. That’s one. Second, a lot of the fleets like our ability to work with multiple upfitters and to offer multiple applications for different use cases due to our modularity approach and low flat floor. Another point that they all mentioned is the data we have to back the offering, for example, the extensive winter tests that we just concluded for the second year in a row.
So for example, we don’t have to guess what is the range in extreme conditions, like minus 30 degrees and what is the performance which is good, just saying. And I think all of that, the ability to provide data behind our trucks and to showcase the offering and that leads to our customers being able to calculate their future going TCO expectations and it makes them easier — make the transition towards electrification easier for them. Last but not least, of course, charges are — is very important. And as previously asked, we’re working closely with charging partners to ensure that they have the adequate infrastructure to support the trucks.
