Electric vehicle startup Rivian has just announced about a major investment from the US auto giant Ford. The company that has been around for 115 years now will put up about $500 million into Rivian, which is a Michigan-based electric vehicle startup. Along with the cash, Ford has also announced new plans to build a brand new vehicle from scratch on the Rivian’s electronic vehicle platform.
The CEO and founder of Rivian have stated about the new investment that this strategic partnership of Ford with Rivian will usher in another key milestone for their drive to accelerate the transition towards sustainable mobility options for the consumers. He went on to further add that the US auto giant Ford has a long history of commitment towards sustainable solutions, with Bill Ford being one of the pioneering individual and one of the industry’s earliest advocates. Rivian is very excited to use Ford’s technology to unload more electric vehicles on the road for future consumers.
This new investment comes on the back of just two months after Rivian secured an impressive $700 million funding from their latest investment round which was led by the e-commerce giant Amazon.
Electric startup Rivian was founded in the year 2009 by RJ Scaringe. It operated under a stealth mode for much of its initial years until late 2018 when the company unveiled its stunning electric pickup and SUV, which generated massive hype around the company and took the industry by storm. Today, Rivian employs more than 750 employees which are split between four development locations in the United States as well as having an office in the United Kingdom. The bulk of Rivian’s employees are based in Michigan, and this is because that is where the company’s expansive automotive supply chain is located at.
Today’s announcement has stopped short on going into any details regarding the vehicle which Ford intends to build on Rivian’s electric vehicle platform. However, it is likely that whatever Ford intends to produce will have similar capabilities of the two products that Rivian announced just last year. The five-passenger pickup named ‘R1T’ from Rivian and the seven-passenger SUV named ‘R1S’ both share similar features such as having a range of over 400 miles and the startup stated previously that both the R1T and the R1S would be available by the end of 2020.
Ford already has numerous electronic vehicles under its production line and some electric models are already in the works under the company. Along with some small electric vehicles for consumers, Ford is also developing an electronic version of its best-selling model, which is the F-150 pickup.
With this investment, Rivian will manage to stay as an independent company. Following regulatory approval, Joe Hinrichs, who is the president of Ford’s Automotive division, will join the board of Rivian.