Amazon Invests in Rivian, a Tesla Rival in Electrical Automobiles
Rivian beforehand raised about $500 million from Sumitomo, a Japanese conglomerate identified for its tire division, and Abdul Latif Jameel, a Saudi industrial group. These earlier traders additionally took half within the new funding spherical, although the businesses didn’t say how a lot cash they put in.
On the Los Angeles present, Mr. Scaringe described the corporate’s pickup, the R1T, and its S.U.V., the R1S, as upscale autos that could possibly be used for off-road adventures. They’re supposed to compete for motorists who purchase expensive Land Rovers and Porsche S.U.V.s. Rivian’s autos are anticipated to promote for $68,000 or extra.
“This is a vehicle you can use,” Mr. Scaringe stated. “You can get it dirty, but it’s still a very thoughtful, intelligent design.”
Each autos could find yourself competing instantly with Tesla fashions. Tesla already provides an S.U.V., the Mannequin X, and is engaged on a pickup truck and a smaller S.U.V. Rivian has stated it goals to promote about 20,000 autos in 2021 and double that in 2022. Final 12 months, Tesla bought about 245,000 automobiles.
Analysts stated Rivian’s success was not at all assured.
“They still face all the hurdles,” stated Karl Brauer, government writer at Cox Automotive. “They have to produce the vehicles. They have to deliver the vehicles. Tesla has been around longer, but it’s still struggling to set up a dealer network and is struggling with high-volume production.”
Rivian has stored a low profile, particularly in contrast with Tesla and its flamboyant chief government, Elon Musk. Till not too long ago, to maintain its operations secret, Rivian didn’t show its title on its buildings. Whereas Mr. Scaringe has a Twitter account, he has posted solely 87 tweets — a small fraction of Mr. Musk’s nearly 7,000.
And whereas Tesla and Mr. Musk frequently make headlines, comparatively little is thought about Mr. Scaringe, who’s 36. He grew up close to Melbourne, Fla.; studied at Rensselaer Polytechnic Institute; and earned a doctorate in mechanical engineering on the Massachusetts Institute of Expertise.