In 1903, the Althingi agreed to grant ISK 2,000. a grant to secure a purchase of a vehicle, which had been reported from abroad that automobiles were the mainevent. The MPs considered it most appropriate to get a private party to buy the car and take care of its operation. The merchant Thomsen was entrusted with this project and he bought a car in Denmark of the Cudell model, which was a French German car. Built in 1900 or 1901. Obviously, this car, often called the Thomsen car, was little more than a horse-drawn carriage in which the engine was put back, and was in fact obsolete when he arrived here. However, this was the first car in Iceland.

Thorkell J. Klemens, a mechanic, drove him and was the country’s first driver. It is possible to say that the rental car started with the Thomsen car. Among other things, he did this in such a way that the passengers were forced
to push the car up Bakarabrekkken and then got to sit down in Austurstræti. This trip cost according to Art. rate 25 ounces.