Nikola Corporation

Nikola Corporation
Company type	Public
Industry	Automotive, Clean energy
Founded	2014; 12 years ago
Founder	Trevor Milton
Headquarters	Phoenix, Arizona, United States
Key people	Mark Russell (President and CEO)
Products	Heavy-duty commercial vehicles (battery-electric and fuel-cell trucks)

Nikola Corporation—previously known as Nikola Motor Company—is an American manufacturer specializing in heavy-duty commercial vehicles powered by battery-electric and fuel-cell technologies. Established in 2014 by Trevor Milton and based in Phoenix, Arizona, Nikola attracted significant attention between 2016 and 2020 through its concept vehicles, initially introducing a semi truck powered by a natural gas turbine-electric system. The company went public on June 4, 2020.

Nikola's offerings include the battery-electric Nikola Tre semitruck, with planned initial deliveries ranging from 300 to 500 units in 2022. The first two units of this battery-electric truck were delivered in December 2021. Bearing the name of inventor Nikola Tesla, the corporation operates through subsidiaries such as Nikola Motor Company and Nikola Energy Company.

In September 2020, investigations into allegations of securities fraud were initiated by the U.S. Securities and Exchange Commission alongside the Department of Justice. Subsequently, in July 2021, founder and former CEO Trevor Milton faced indictment on several counts of criminal and securities fraud tied to deceptive statements about the company’s operations. By October 2022, Milton was convicted on three fraud charges linked to his time as CEO. These developments contributed to a steep decline in Nikola’s stock price, falling from over $65 in mid-2020 to approximately $12.

On February 19, 2025, Nikola sought Chapter 11 bankruptcy protection and revealed intentions to divest most or all of its assets. Following this filing, Gordon Brothers put more than 100 Nikola trucks, hydrogen-related equipment, and inventory up for auction.

Formation and Early Years (2014–2019)

Trevor Milton founded Nikola Corporation in 2014 in Salt Lake City, Utah. By 2016, plans were underway to produce the first 5,000 units of the Nikola One hydrogen-powered glider trucks through Fitzgerald Glider Kits located in Tennessee. In March 2019, Nikola purchased a 389-acre property in Coolidge, Arizona for $23 million, leveraging anticipated state and local tax incentives. The company aimed to commence construction of its manufacturing facility in 2020, initiate truck production by 2021, and achieve an annual manufacturing capacity between 35,000 and 50,000 trucks by 2023.

Mark Russell joined the company as president in February 2019; he had previously served as head of Worthington Industries, one of Nikola’s investors.

In April 2019, Nikola held its Nikola World event in Scottsdale, Arizona, where it presented its product range including the Nikola Two and Nikola Tre trucks, the Nikola NZT utility terrain vehicle (UTV), and the Nikola WAV watercraft.

Public Listing (2020)

In March 2020, Nikola Corporation announced a merger agreement with VectoIQ Acquisition Corporation (ticker symbol VTIQ), a publicly traded special-purpose acquisition company led by former General Motors vice-chairman Stephen Girsky. This transaction resulted in Nikola being listed on the NASDAQ stock exchange under the ticker NKLA. As part of this arrangement, founder Trevor Milton transitioned from CEO to Executive Chairman while Mark Russell assumed both president and CEO roles. Trading of Nikola shares commenced on June 4, 2020; within five days, stock prices more than doubled as investors showed confidence in electric vehicle market growth. By late June, despite lacking a publicly revealed prototype, Nikola began accepting reservations for its upcoming pickup truck model named Badger.

Although revenue for the first half of 2020 was merely around $80,000—including $36,000 derived from solar installation services provided to CEO Milton—the company's valuation reached approximately $13 billion by early August.

On September 8, 2020, Nikola announced a strategic partnership with General Motors (GM), wherein GM acquired an approximately 11% ownership stake valued near $2 billion. Under this agreement, GM obtained rights to appoint a board member at Nikola and committed to manufacturing the Badger pickup truck along with supplying fuel cells and batteries worldwide. Following this news, Nikola’s stock price jumped by roughly 50%.

Fraud accusations and conviction (2020–2022)

On September 10, 2020, the short selling firm Hindenburg Research published a report labeling Nikola as "a complex fraud," primarily attributing the deception to founder Trevor Milton. Investigations by the Financial Times and Research Enquirer corroborated assertions that Nikola’s promotional materials misrepresented its technology, including footage of a Nikola One truck rolling downhill powered by gravity rather than engine propulsion. Following the report, Nikola’s stock plunged 10% immediately and declined 36% by September 12.

Nikola refuted these allegations and threatened legal action against Hindenburg. Subsequently, the US Attorney's Office for the Southern District of New York initiated an inquiry, followed by investigations from the Securities and Exchange Commission (SEC) and Department of Justice (DOJ). Milton dismissed his detractors as supporters of Tesla.

GM CEO Mary Barra confirmed that General Motors conducted thorough due diligence prior to forming its partnership with Nikola. On September 21, Milton stepped down as Executive Chairman, with Stephen Girsky appointed as non-executive chairman. After this announcement, Nikola’s shares dropped by 20%. Shortly thereafter, Nikola issued copyright takedown notices targeting critics who used clips from its promotional videos—a move criticized as misuse of copyright law.

On September 23, BP withdrew from a planned collaboration to build hydrogen refueling stations for Nikola’s trucks, triggering a more than 25% intraday decline in stock value. This partnership was central to Nikola’s hydrogen fuel cell strategy.

In November 2020, GM terminated its equity investment but preserved a reduced agreement to supply fuel-cell technology, excluding production of the Badger pickup truck—which was later canceled. In December, Republic Services ended its zero-emission garbage truck partnership with Nikola, resulting in nearly a 10% drop in shares. Analysts interpreted this as a temporary challenge allowing Nikola to concentrate on long-haul semi-truck manufacturing.

By February 2021, Nikola ceased operations of its Powersports division and discontinued related concept vehicles such as the WAV watercraft. SEC filings at year-end forecasted production of only 50–100 Nikola Tre trucks by late 2021. In June 2021, Nikola invested $50 million in a hydrogen facility in Indiana to bolster regional fueling infrastructure. Plans announced in July 2021 included opening five new Class 8 truck dealerships across several US states.

That same July, a federal grand jury charged Milton with three counts of criminal fraud and two counts of securities fraud for making misleading statements about the company. He entered a not guilty plea and was released on $100 million bail. Following the indictment, Nikola’s stock plummeted from nearly $65 in mid-2020 to approximately $12.

Despite these difficulties, Nikola reiterated its commitment to delivering the Nikola Tre battery-electric trucks. In October 2022, Milton was convicted on three out of four fraud charges related to his role as CEO. He received a four-year prison sentence in December 2023. On March 27, 2025, President Donald Trump granted Milton a full pardon.

Developments from 2022 onward

In August 2022, Nikola announced it would acquire battery manufacturer Romeo Power. By August 4, 2022, the company had delivered 48 vehicles to dealers and reported revenues totaling $18.1 million. In September 2022, all 93 Tre Class 8 battery-electric trucks were recalled due to defects involving seat belt anchor assemblies. The Romeo acquisition was finalized in October 2022 as part of Nikola’s strategy to explore new opportunities.

In June 2023, a battery pack coolant leak caused a fire in a Nikola truck at company headquarters. After a second battery failure in August 2023, Nikola recalled all 209 battery-electric semitrucks produced to date and halted sales until repairs could be implemented. Additional fires near company facilities occurred in September 2023.

During the first half of 2024, Nikola sold 112 hydrogen fuel cell trucks and expanded its hydrogen mobility network—HYLA—with plans for 14 refueling stations by year-end.

In February 2025, Nikola filed for federal bankruptcy protection; shares were trading at approximately 44 cents while debt ranged between $1 billion and $10 billion against assets valued at $500 million to $1 billion. Despite the company’s financial collapse, demand for hydrogen-powered heavy-duty trucks remains robust.

As of July 2025, customers are exploring contingency measures amid uncertainty surrounding Nikola’s future prospects, hoping for acquisition by a strategic buyer capable of sustaining its zero-emission objectives. State and port authorities are viewed as crucial partners supporting hydrogen infrastructure beyond Nikola’s bankruptcy proceedings.

Lucid Motors purchased select Nikola facilities and assets during bankruptcy auctions; however, this acquisition excluded business operations, customer contracts, and hydrogen fuel cell technology. Lucid intends to employ over 300 former Nikola employees within expanded manufacturing and testing centers across Arizona totaling more than 884,000 square feet.

Hyroad Energy acquired Nikola’s hydrogen fuel cell trucks along with related assets—including 113 Nikola Tre fuel cell electric trucks, spare parts inventory, software systems, and intellectual property—at substantially reduced valuations during bankruptcy sales. Hyroad plans to grow its zero-emission fleet primarily within California by establishing maintenance and parts support facilities. This acquisition supports Hyroad’s mission to deliver turnkey hydrogen trucking solutions while mitigating risks associated with adopting zero-emission technologies.

Concept Vehicles

Since 2016, Nikola has introduced multiple vehicle design concepts, presenting several concept vehicles intended for eventual commercial release.

Nikola One

The Nikola One was initially unveiled in 2016 as a high-level design for a natural gas-powered Class 8 truck, with production originally planned for 2020. Later that year, the concept evolved to utilize a hydrogen fuel-cell generator instead of natural gas. Nikola reported $2.3 billion in pre-orders; however, no units had been delivered as of March 2023.

In May 2018, Nikola initiated a $2 billion lawsuit against Tesla, Inc., accusing the Tesla Semi of infringing on six patents related to the Nikola One’s design features. Tesla refuted these allegations. The Patent Trial and Appeal Board upheld Nikola’s patent concerning the side-door design in 2019. The legal conflict concluded with a settlement where both companies agreed to dismiss their lawsuits.

Also in May 2018, Anheuser-Busch placed a tentative order for up to 800 hydrogen-fueled Nikola trucks under lease agreements, with delivery initially forecasted for 2020. By 2019, total pre-orders across all Nikola Class 8 truck models were valued at $14 billion.

Nikola Two

The Nikola Two is a semi-tractor truck concept engineered to be virtually identical in technical specifications to the Nikola One. Unlike the Nikola One, a prototype of the Nikola Two was demonstrated operating under its own power in 2019, including transporting cargo for prospective clients.

Nikola Tre

In November 2018, Nikola revealed the Nikola Tre, a hydrogen-powered semi-truck concept aimed primarily at the European market, with expansion plans for Australia and Asia. The Tre featured a hydrogen internal combustion engine designed to deliver between 500 and 1000 horsepower and offered a driving range from 500 to 1200 kilometers. Former CEO Trevor Milton announced production was targeted for approximately 2022–2023, coinciding with U.S. truck timelines.

By November 2019, Nikola introduced a battery-electric variant of the Tre based on the Iveco S-Way chassis, also intended for Europe. As of July 2021, the company planned to start delivering production battery-electric Tre trucks later that year. The first units arrived at the Port of Los Angeles in December 2021, equipped with a 753 kWh battery pack capable of recharging from 10% to 80% state-of-charge within two hours at a rate of 240 kW. This model qualified for California’s HVIP program with incentives up to $120,000 and New York state incentives reaching $185,000.

The initial customer delivery took place in April 2022 with eleven units handed over. By late 2023, Nikola had delivered a total of 209 Tre trucks; however, all were recalled due to concerns about a potential coolant leak within the battery systems. As of October 2024, seventy-eight of these vehicles had been returned to service.

Nikola NZT (Nikola Zero)

In 2016, Nikola introduced the Nikola NZT (originally named the Nikola Zero), a utility task vehicle powered by either a 72 or 107 kWh battery pack. The design featured an electric motor mounted at each wheel and weighed approximately , utilizing suspension clearance similar to that of the Ford Raptor. By late 2016, this model was incorporated into the Nikola Powersports division.

A prototype was demonstrated in Utah’s desert during 2017—an open-cabin variant without doors or windshield. On April 16, 2019, an updated NZT version equipped with doors but lacking roof and windshield was presented in Phoenix, Arizona, offering demonstration rides. This iteration claimed an output of and an electric driving range up to .

In February 2021, Nikola discontinued both the NZT model and its entire powersports division as part of a strategic realignment effort.

Nikola Reckless

The Nikola Reckless represented a conceptual fully-electric tactical off-road vehicle designed for military applications. A prototype was presented at the International Special Operations Forces Industry Exhibition in May 2018.

Featuring a 4×4 drivetrain that could be shifted to two-wheel drive, this vehicle had a curb weight of and was capable of transporting up to , outfitted with a machine gun. Following the discontinuation of Nikola’s powersports division, the Reckless was removed from the company’s official website.

Nikola WAV

Introduced in April 2019 alongside the Nikola Zero, the Nikola WAV was a concept electric watercraft tailored for watersports. It included a waterproof 4K display and integrated cruise control. This model was part of Nikola’s powersports range, which was terminated in February 2021.

Nikola Badger

The Nikola Badger, announced in February 2020, was an electric pickup truck planned in two configurations: one utilizing a combination of hydrogen fuel cells and batteries, and another purely battery-electric version. The launch was aimed for 2022 with backing from General Motors. However, GM ended the collaboration in November 2020, leading to Nikola’s cancellation of the Badger project.

External links

Official Website