Volkswagen and Rivian Finalize $5.8 Billion Joint Venture to Boost EV Innovation

The partnership aims to merge Rivian's software expertise with Volkswagen's global reach, targeting new electric vehicle technologies by 2027.

Volkswagen increases its investment in Rivian to $5.8 billion from an initial $5 billion, focusing on shared EV technology and software development.
The joint venture, named Rivian and VW Group Technology, LLC, will be headquartered in Palo Alto, California, with additional sites planned in North America and Europe.
Rivian's advanced software and electrical architecture will be integrated into Volkswagen's future models, starting with the Volkswagen brand and expanding to others like Audi and Porsche by 2027.
The collaboration is crucial for Rivian, providing necessary capital to support its upcoming R2 model and helping it navigate financial challenges.
Volkswagen aims to address its software development delays and strengthen its competitive stance against Tesla and Chinese EV makers through this partnership.