Amazon Invests in Electric Truck Maker Rivian
Rivian has announced an equity investment round of $700M led by Amazon, as the electric pickup and SUV maker preparing to deliver its first vehicles next year.
The investment comes on the heels of Rivian's reveal of the all-electric R1T pickup and R1S SUV at the LA Auto Show last November.
The company's launch products, the R1T and R1S, deliver up to 400+ miles of range and provide a combination of performance, off-road capability and utility. These vehicles use the company's flexible skateboard platform and will be produced at Rivian's manufacturing plant in Normal, Ill., with customer deliveries expected to start in late 2020. Both vehicles are expected to sell for $68,000 or more.
"This investment is an important milestone for Rivian and the shift to sustainable mobility," said RJ Scaringe, Rivian Founder and CEO. "Beyond simply eliminating compromises that exist around performance, capability and efficiency, we are working to drive innovation across the entire customer experience. Delivering on this vision requires the right partners, and we are excited to have Amazon with us on our journey to create products, technology and experiences that reset expectations of what is possible."
"We're inspired by Rivian's vision for the future of electric transportation," said Jeff Wilke, Amazon CEO Worldwide Consumer. "RJ has built an impressive organization, with a product portfolio and technology to match. We're thrilled to invest in such an innovative company."
Rivian will remain an independent company. Amazon is leading the round, which includes participation from existing shareholders.
Rivian is reportedly remaining in talks with General Motors Co. about the largest U.S. automaker making an investment or collaborating another way.
Tesla already offers an S.U.V., the Model X, and is working on a pickup truck and a smaller S.U.V. Rivian has said it aims to sell about 20,000 vehicles in 2021 and double that in 2022. Last year, Tesla sold about 245,000 cars.