Rivian Automotive, Inc.

Rivian said it no longer expects to reach its 2027 profitability target due to increased R&D spending to speed up its autonomy roadmap. Management prioritizes investment in self-driving technology to compete long term in consumer and robotaxi markets, even at the cost of near-term profits. The move aims to strengthen Rivian’s future competitiveness rather than signaling diminished commitment to scaling the EV business. » More on finance.yahoo.com

Uber will invest up to $1.25 billion in Rivian through 2031 tied to milestones and plans to deploy 10,000 fully autonomous R2 robotaxis in an initial phase (San Francisco and Miami targeted for 2028) with expansion to 25 more cities by 2031 and an option to buy up to 40,000 additional R2s from 2030. The partnership includes licensing fees for Rivian's autonomous driving software, creating a recurring high-margin revenue stream beyond vehicle sales. The deal positions Rivian to capture robotaxi-driven value similar to what analysts attribute to Tesla's valuation potential. » More on finance.yahoo.com

At the Goldman Sachs conference Rivian reported strong early demand and pre-order conversion rates for the R2 that exceeded expectations, and said customer feedback is positive. The company expects additional ramp-up costs in Q3 2024 but, based on the exit rate, is targeting a positive gross margin in its automotive business for Q4 2024 and held about $14 billion in cash at the end of Q2 2024. Rivian said validation of its in-house RAP1 chips is nearly complete and plans to introduce Gen‑3 hardware at the end of 2026; the point-to-point feature is expected to be available by the end of 2024. » More on de.investing.com