Jump to content
Karlston

Electric truck startup Rivian raises $1.3 billion more to challenge Tesla

Recommended Posts

Karlston

Electric truck startup Rivian raises $1.3 billion more to challenge Tesla

Rivian has raised almost $3 billion in 2019 as it prepares to begin production.

Rivian R1T electric truck
Enlarge / The R1T interior.
Rivian

Electric truck startup Rivian has raised another $1.3 billion from investors, the company announced on Monday. Rivian had already announced three fundraising rounds this year worth more than $1.5 billion in total.

 

A number of companies have tried to follow in Tesla's footsteps in recent years, and some of them have struggled. At this point, Rivian looks like one of the most credible entrants in the electric vehicle business. We declared Rivian's truck the best of the New York Auto Show in April and named Rivian itself the star of the show.

 

Rivian's truck, the R1T, starts at $69,000 (before a $7,500 federal tax credit for American customers). Rivian says its trucks can accelerate from 0 to 60mph in under three seconds. The entry-level truck has a 105kWh battery that will offer 230 miles (370km) of range, while the most expensive model has a 180kWh battery with 400 miles (640km) of range.

 

Rivian needs to raise billions of dollars because automobile manufacturing is an extremely expensive business. Tesla, for example, has raised more than $20 billion in equity and debt financing over the last decade.

 

Rivian wants to start selling at least three different vehicle designs—a pickup truck, an SUV, and a delivery van for Amazon—over the next two years. For comparison, Tesla has launched three new vehicles over the last decade.

 

The latest fundraising round was led by T. Rowe Price. Amazon, Ford, and Blackrock also participated.

 

Amazon led the year's first Rivian investment round, which yielded $700 million, back in February, and Ford invested $500 million in April. Cox Automotive invested $350 million in Rivian in September.

 

Rivian considers Amazon, Ford, and Cox to be strategic partners. Ford has agreed to build a battery-electric pickup truck based on Rivian's technology. Amazon ordered 100,000 delivery vans from Rivian in September. Cox has experience in fleet logistics and automotive retail operations; Rivian hopes that Cox can help deliver an excellent experience to customers needing service and support.

 

 

Source: Electric truck startup Rivian raises $1.3 billion more to challenge Tesla (Ars Technica)  

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Recently Browsing   0 members

    No registered users viewing this page.

×
×
  • Create New...