Arc Boat Company initiated sales of its second electric boat model in just three years this week. The new $258,000 Arc Sport was specifically crafted for wake sports enthusiasts, following the success of the company’s earlier Arc One, a limited-edition luxury cruiser.
While the startup produced fewer than two dozen of those earlier boats, it is now gearing up for continuous production of the new model, which it unveiled on Tuesday.
The 23-foot Arc Sport is capable of carrying up to 15 people at a time. It flaunts a sizable battery with sufficient power to endure four to six hours and achieves a top speed of 40 miles per hour. Positioned at its price point, it will compete with high-end models offered by traditional boat manufacturers such as Nautique, MasterCraft, and Malibu.
Arc is among a select group of promising startups aiming to revolutionize boating for sports and leisure, alongside GM-backed Pure Watercraft and Stockholm-based X Shore.
Conventional fuel-burning boats contribute to significant environmental issues, including noise pollution, smog, and visible water pollution surrounding them.
Arc’s co-founder and CEO, Mitch Lee, reminisced about his younger days spent water skiing, kneeboarding, and wakeboarding on the Sacramento–San Joaquin River Delta near Stockton, California, where he always detected the unpleasant odor of burning diesel at marinas and runoff from engines.
Driven by a desire to mitigate the adverse impacts of these sports, Lee partnered with former SpaceX engineer Ryan Cook, now the chief technology officer at Arc, to actualize a vision of not only environmental sustainability but also a superior boating experience.
Arc’s leadership team comprises veterans from the boating, automotive, and transportation sectors, including Tesla, Rivian, Lyft, Brunswick, and MarineMax. This blend of expertise assisted the EV boat maker in convincing investors that their designs and technology were viable.
Approximately $110 million in early-stage funding for Arc was secured from a diverse array of sources, including celebrity angel investors like the NBA’s Kevin Durant and Klay Thompson, actor Will Smith, and venture capital firms such as Andreessen Horowitz, Eclipse Ventures, and Menlo Ventures.
Arc managed to design and commence the production of its fully electric boats within a relatively short timeframe, less than three years, leveraging the groundwork laid by the automotive industry. This industry had already invested years and billions of dollars in building a robust supply chain for components utilized in electric vehicles.
By sourcing components from established suppliers, rather than creating many from scratch as electric auto manufacturers Tesla and Rivian had to do in their nascent stages, Arc expedited its journey from concept to the dock in just a few years, rather than a decade, as emphasized by the CEO.
Arc intends to initiate deliveries of its new battery electric Arc Sport to customers later this year.
