Amazon is no longer Rivian's biggest investor.VW (specifically, Volkswagen Group Technologies) has raised its equity stake in Rivian to 15.9 percent, putting it ahead of Amazon's nearly 12.3 percent investment.The move, revealed in a U.S.
SEC filing, comes as part of a joint venture launched in November 2024.VW pledged to invest as much as $5.8 billion in Rivian, with more investments coming as Rivian meets key goals.VW has invested about $3 billion so far, including $1 billion in April after a testing round for the Rivian-powered ID.Every1 compact EV.Both Amazon and VW have played key roles in Rivian's growth.
Amazon was one of its earliest supporters, investing $700 million and committing to ordering 100,000 custom electric delivery vans.VW's partnership, however, came soon after Rivian unveiled the R2 SUV and R3 hatchback that it's counting on to enter the mainstream car market.The money helped Rivian start R2 production in April ahead of deliveries later in the spring.
What VW's larger investment in Rivian means You could see more EV and software deals VW doesn't have a controlling stake in Rivian, but it's now the most influential investor.On top of Amazon, the largest organizational investors are Oryx Global (8.6 percent of shares) and Vanguard (5.1 percent).That gives Rivian an added incentive to please VW, even if it's just to hit future milestones on time.
It also increases the chances that Rivian and VW will license the work of their joint venture to more clients, and potentially branch out.VW is teaming up with Uber on robotaxi service in Los Angeles later this year, but it's relying on its internally developed technology.Rivian could theoretically supply its own software or equipment.
Even if the relationship doesn't change, the increasing investment could lead to VW relying more on Rivian across its lineup, such as the infrastructure and software for more EVs.VW has its own technology in both fields, but could turn to Rivian when it makes more financial sense.Related 10 Companies Leading the Charge in Autonomous and Electric Vehicles These top innovators are shaping the future of electric and autonomous vehicles with groundbreaking technology and sustainable solutions.
Posts By Adam Gray Rivian looks at producing self-driving sensors in the US It might not rely on Chinese LiDAR like its rivals Whatever happens with VW, Rivian is increasingly focused on its own path for autonomous driving.CEO RJ Scaringe revealed to that his company is holding "active discussions" with American companies to produce LiDAR (effectively, laser) sensors in the U.S., rather than buying them directly from Chinese firms.China dominates car LiDAR thanks to low prices, but Rivian could face pushback from American politicians concerned about security and supply chain risks from sensors made in China.
While Chinese companies could still develop the sensors, Rivian might avoid legal trouble if there's a crackdown.Other automakers could either partner on the project or have a "shared alignment" on bringing LiDAR production to the States, Scaringe said.Already making its own autonomous driving chips Rivian already hopes to domesticate its self-driving tech by designing a custom chip, the Rivian Autonomy Processor, to power its cars.
The first generation (RAP-1) is due this year.Locally manufactured LiDAR would help Rivian further pitch itself as an American car company, even if it still needs overseas partners.Subscribe for In-Depth EV Investment Coverage Join the newsletter for deeper context on EV partnerships, supply chains and autonomy — focused coverage that explains the implications of investor moves like Rivian-VW and what they mean for the auto industry.
Get Updates By subscribing, you agree to receive newsletter and marketing emails, and accept our Terms of Use and Privacy Policy.You can unsubscribe anytime.Sources: SEC and Reuters (via Yahoo)
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