The automaker and automotive technology company Rivian received a $700 million investment led by the retail giant Amazon.
Amazon, the e-commerce giant has been investing in mobility and electric trucks. On Friday, Rivian, another electric vehicle automaker, received a massive investment amounting to $700 million from Amazon.
Amazon has been looking for ways to change its delivery methods. The deal represents a major endorsement of Rivian technology by the world’s largest online retailer. Amazon is hoping Rivian will help its development of delivery vehicles that will boost its logistics network.
Jeff Wilke, worldwide consumer CEO at Amazon, said that they are inspired by Rivian’s vision for the future of electric transportation. He also stated that RJ has built an impressive organization, with a product portfolio and technology to match. They are to invest in such an innovative company, he further added.
Rivian is developing vehicles and technology to inspire people to get out and explore the world and go further into nature than ever before. It could basically be valued between $3 billion and $4 billion. The company is seen as one of the potential competitors of Tesla.
At the L.A. Auto Show, Rivian unveiled its R1T pickup and R1S SUV. R1T is a robust-looking five-passenger electric pick up truck while R1S is a seven-seater all-electric SUV. Both R1T pick up and R1S SUV is built to live in the wilds. Both models will also offer level 3 autonomy which means the user can take their hands and eyes off the roads for short periods while in freeway.
According to Rivian’s Founder and CEO, RJ Scaringe, investment is an important milestone for Rivian and the shift to sustainable mobility. Beyond simply eliminating compromises that exist around performance, capability and efficiency, Rivian is working to drive innovation across the entire customer experience. To him, delivering on this vision requires the right partners.
He also expressed his feelings saying that they are excited to have Amazon with them on their journey to create products, technology and experiences that reset expectations of what is possible.
Rivian plans to launch its R1T pickup truck and R1S SUV in the U.S. in 2020 and begin introducing them overseas in 2021.