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Rivian Built The R2 For Half What An R1 Costs To Make, And It’s Not The Battery

  • Rivian says the R2 costs about 50% less to build than the R1 lineup.
  • Simplified design cuts parts count dramatically across key systems.
  • R2’s smaller footprint and higher volume targets also reduce cost.

Rivian broke the mold by bringing the R1T, an electric pickup truck, to market before anyone else. Now, it’s trying to gain a far more stable foothold in the industry with its all-new R2. A new report sheds light on how Rivian cut costs but evidently not quality in this new SUV. According to the brand, it costs around half as much to build as the R1S despite keeping the performance and utility that fans love.

At the core of the R2’s cost-cutting approach is ruthless simplification. Rivian says its new zonal electrical architecture slashes wiring complexity, trimming 2.3 miles of harness length and reducing connectors by 60%. High-voltage cabling is down 70% thanks to consolidating multiple power modules into a single unit.

The same philosophy carries over to the powertrain. Rivian’s new “Maximus” drive unit uses 41% fewer parts than the Enduro units found in the R1 lineup. By integrating the inverter directly into the drive unit and even using its housing as a mounting structure, Rivian cuts both material cost and assembly time.

Read: Rivian Lost $416 Million Last Quarter And Just Bet Bigger On Georgia

According to InsideEVs, even the sensors got a rethink. Swapping ultrasonic sensors for corner radars yields a claimed 50% cost reduction, a move that reflects a broader trend toward fewer, more capable components. In theory, that could help Rivian reduce repair costs, a known concern for the brand.

 Rivian Built The R2 For Half What An R1 Costs To Make, And It’s Not The Battery

The front suspension ditches the more complex double-wishbone setup used in the R1 for a simpler MacPherson strut design, cutting costs by 70%. Large die-cast sections reduce underbody part count by 90%, while rear doors shed 65% of their complexity.

There’s also a less glamorous but equally important factor: scale. When Rivian launched the R1T and R1S, it was a newcomer building expensive, low-volume vehicles. Now, with higher production targets in sight, it can negotiate better supplier pricing.

Something as basic as a windshield reportedly costs half as much on the R2 compared to the R1. Add in the fact that the R2 is simply smaller, and therefore uses fewer raw materials, and the math starts to make sense. At this point, all that’s left is to see how Rivian executes on production and sales.

 Rivian Built The R2 For Half What An R1 Costs To Make, And It’s Not The Battery

Rivian Lost $416 Million Last Quarter And Just Bet Bigger On Georgia

  • Rivian has revamped plans for their new factory in Georgia.
  • Facility will now be able to build 300,000 units annually.
  • DOE loan has been cut from $6.6 billion to $4.5 billion.

The R2 recently went into production in Normal, Illinois, and Rivian expects it to be a success. As a result, they’ve announced a new plan for their Stanton Springs North plant in Georgia.

Under the new strategy, the automaker is increasing the plant’s initial production capacity to 300,000 vehicles annually. That’s 100,000 units more than the original target and Rivian said the change will “facilitate a lower cost per unit, while also providing significant room for future expansion of capacity in later phases.”

More: Biden Admin Finalized Rivian’s $6.6 Billion Loan Before Trump Took Office

As part of the change, Rivian worked closely with the Department of Energy to update its original $6.6 billion loan. Its value has been reduced to $4.5 billion and is “aligned with the updated facility design and roadmap for the initial phase.”

 Rivian Lost $416 Million Last Quarter And Just Bet Bigger On Georgia

The devil is in the details, with CNBC reporting that the loan was originally structured for two phases of production and an annual capacity of 400,000 units. The new agreement reportedly just has one phase and enables Rivian to “draw on the loan sooner and have greater initial production.”

Rivian expects to start using those funds in 2027, and the plant is scheduled to begin production in late 2028. Vertical construction is set to begin this spring, and “preparations are underway for the development of the stamping press area, one of the most capital-intensive and technically demanding projects within the plant from a construction perspective.”

Q1 Results

 Rivian Lost $416 Million Last Quarter And Just Bet Bigger On Georgia

Besides the Georgia plant changes, Rivian announced its first-quarter results. The automaker built 10,236 vehicles and delivered 10,365 to customers.

Consolidated revenue increased 11% to $1.38 billion, and the company posted a $416 million net loss for the quarter. That’s down from a $541 loss in Q1 2025, but they “benefited from a $506 million gain in other income related to the Series A capital raise and related deconsolidation of Mind Robotics.”

Their outlook for 2026 isn’t stellar as they’re expecting to deliver between 62,000 and 67,000 vehicles. While those are decent numbers, their adjusted EBITDA is a $1.8 – $2.1 billion loss.

 Rivian Lost $416 Million Last Quarter And Just Bet Bigger On Georgia

Rivian’s R2 Launch Edition Throws In Something Buyers Usually Pay $2,500 For

  • Rivian’s R2 Performance Launch Package rewards the early buyers.
  • Features a unique key fob and a lifetime Autonomy+ subscription.
  • Sports a tow package as well as an available Launch Green exterior.

When Rivian unveiled the production R2 last month, the company briefly mentioned a Launch Package. With production now underway, the automaker has circled back and provided a few more details.

For a “limited time,” the Launch Package comes standard on the R2 Performance and effectively rewards early owners for their vote of confidence. As their way of saying thanks, Rivian throws in a handful of extra features at no-cost.

More: Rivian R2 Goes Into Production As A Make Or Break Electric Vehicle

Most of the upgrades are relatively minor, but consumers will receive a special key fob that resembles a carabiner and features a green anodized finish. It appears to be contrasted by a golden accent on the lower half.

Customers will also find a standard tow package, which is typically an option on the R2 Performance. It enables the electric crossover to tow up to 4,400 lbs (1,996 kg), which is considerably more than the Jeep Recon’s rating of 3,300 lbs (1,497 kg).

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One of the biggest upgrades is a lifetime subscription to Autonomy+. This provides Universal Hands-Free driving on over 3.5 million miles (5.6 million km) of roads in the United States and Canada.

Autonomy+ normally costs $49.99 per month or $2,500 as part of a one-time purchase. As a result, it’s free inclusion in the Launch Package is a pretty big deal.

Last but not least, customers can get their R2 in Launch Green. The hue debuted on Launch versions of the R1 and will be an extra cost upgrade. Rivian hasn’t said how much it will cost, but noted the model will also be offered in Esker Silver, Catalina Cove, Half Moon Grey, Glacier White, Midnight, and Forest Green.

 Rivian’s R2 Launch Edition Throws In Something Buyers Usually Pay $2,500 For

As a refresher, the R2 Performance starts at $57,990 and features a dual-motor all-wheel drive system developing 656 hp (489 kW / 665 PS) and 609 lb-ft (825 Nm) of torque. It enables the crossover to accelerate from 0–60 mph (0-96 km/h) in 3.6 seconds and travel up to 330 miles (531 km) on a single charge.

Other highlights include Matrix LED headlights, integrated tow hooks, and a rear liftgate with drop down glass. They’re joined by Compass Yellow accents and 21-inch wheels.

The interior is available in two colors known as Black Crater and Coastal Cloud. Both feature Birch wood trim and “soft textile accents.” They’re joined by 12-way power front seats with heating and ventilation as well as heated rear seats and a heated steering wheel. Buyers will also find a nine-speaker premium audio system and a flashlight integrated into the driver’s door.

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Rivian Sold 42,247 Cars And Paid Its CEO $403 Million, Or 15 Jim Farleys

  • Rivian’s CEO received $373.5 million in options and $26.6 million in stock awards in 2025.
  • Those benefits come on top of a salary of around $1.12 million, according to filings.
  • The Elon Musk-style award compares with “just” $27.5 million for Ford CEO Jim Farley.

Top Detroit automaker CEOs like Ford’s Jim Farley and GM’s Mary Barra earn hundreds of times what their company’s line workers do, but they look like they’re living on the bread line compared with Rivian’s boss.

Rivian founder and CEO RJ Scaringe was paid a shocking $403 million last year, company filings reveal. That compares with $27.5 million for Farley and $29.9 million for Barra over the same period. Rivian delivered 42,247 EVs in the United States last year, while Ford moved 2.2 million vehicles, GM 2.85 million domestically, and Tesla sold roughly 1.65 million globally in 2025.

Related: Mary Barra’s $29.9 Million Payday Came In The Same Year GM Lost $7.9 Billion On EVs

That makes Scaringe one of the most highly paid automaker bosses in the world, and means his pay package is thousands of times the size of the one awarded to the men and women who make Rivian’s cars and trucks. It’s not quite up there with Tesla CEO Elon Musk’s pay package, which could net him $1 trillion over the next decade, but it’s still huge.

 Rivian Sold 42,247 Cars And Paid Its CEO $403 Million, Or 15 Jim Farleys

Sales Down, CEO Pay Up

What makes Scaringe’s pay award all the more shocking is that it comes at a time when Rivian hasn’t exactly been going from strength to strength. Yes, it managed to post its first-ever gross profit in 2025 by cutting costs, and began production of the smaller R2 SUV, but its stock price is still way down from its 2021 peak, and sales slumped last year.

 Rivian Sold 42,247 Cars And Paid Its CEO $403 Million, Or 15 Jim Farleys

Of course, Scaringe didn’t scoop the whole $403 million in cash. The award consisted of $373.5 million in stock options, $26.6 million in stock awards, and a more modest $1.12 million taken as a salary.

Pay Could Hit $4.6 Billion

Rivian’s board last November voted to scrap a previous performance-related pay structure for Scaringe, laid out in 2021, that was later deemed unrealistically ambitious. Under the terms of the new deal, his salary is set to increase to $2 million, and he could net $4.6 billion through stock options if he grows the company’s stock price to $140 over the next 10 years.

But given that the stock has mostly hovered below $20 for the past three years, down from $130 when Rivian went public in 2021, Scaringe has his work cut out.

 Rivian Sold 42,247 Cars And Paid Its CEO $403 Million, Or 15 Jim Farleys
 Rivian Sold 42,247 Cars And Paid Its CEO $403 Million, Or 15 Jim Farleys
Rivian

A Tornado Hit Rivian’s Factory Friday, The R2 Entered Production Anyway

  • The Rivian R2 has gone into production in Normal, Illinois.
  • First customer deliveries are set to begin later this spring.
  • Crossover starts at $57,990, but cheaper variants are coming.

A little over two years after unveiling the R2 concept, the production model is now being built in Normal, Illinois. That’s particularly impressive considering a tornado hit and damaged the facility last Friday.

Rivian didn’t have much to say about the production process itself, but noted the first vehicles will undergo a series of final quality and validation checks. If everything pans out, the first customer deliveries will begin later this spring.

More: Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

The automaker called production a “milestone moment” for the R2 and said it means the “manufacturing process has been verified, every weld has been checked, every software string has been validated, and every interior material has been scrutinized to meet the high bar we set for ourselves and for you, our community.”

Rivian’s COO Javier Varela went further as he said the R2 “represents a major advance in engineering excellence and manufacturing efficiency, driving meaningful improvements in cost and quality.” Those sentiments were echoed by CEO RJ Scaringe, who called the vehicle “incredible.” The executive added he can’t wait until customers get their hands on the EV.

The R2 is being launched in $57,990 Performance guise, which features a dual-motor all-wheel drive system developing 656 hp (489 kW / 665 PS) and 609 lb-ft (825 Nm) of torque. It enables the model to accelerate from 0–60 mph (0-96 km/h) in as little as 3.6 seconds and have a range of up to 330 miles (531 km).

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The range-topping variant comes nicely equipped with a Black Crater Signature interior with Birch wood trim as well as 12-way power front seats with heating and ventilation. They’re joined by heated rear seats, a heated steering wheel, and a nine-speaker premium audio system.

Early models also come with a Launch Package, which includes a lifetime subscription to Autonomy+ as well as a towing package that enables the crossover to haul 4,400 lb (1,996 kg). Buyers will also find a green anodized key fob as well as an available Launch Green paint job.

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A more affordable R2 Premium is scheduled to follow later this year. It starts at $53,990 and has a dual-motor all-wheel drive system with 450 hp (356 kW / 456 PS) and 537 lb-ft (727 Nm) of torque.

The R2 Standard lineup is set to arrive in 2027 and offer Short and Long Range variants. The former will cost “around $45,000” and have a range in excess of 275 miles (443 km).

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Rivian’s Factory Took A Direct Tornado Hit, But The R2 Launch May Not Be In Trouble

  • Rivian’s factory in Normal, Illinois, was struck by a tornado.
  • The EF1 twister traveled 10.3 miles and had 110 mph winds.
  • No employees were injured, but the plant was damaged.

Rivian has high hopes for the R2, and they have reason to be excited as the model easily beats the Jeep Recon on paper. However, it appears Mother Nature isn’t a fan.

According to a company e-mail, Rivian’s factory in Normal, Illinois, was hit by a tornado on April 17. The national weather service reports a supercell traveled across the state on Friday night and spawned 25 tornados.

More: Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

The tornado that struck the plant started at 9:57 pm and was an EF1 twister that produced winds up to 110 mph (177 km/h). It traveled 10.3 miles (16.6 km) and was 800 yards (2,400 feet) wide. The government said it “damaged several metal buildings,” caused significant tree damage, and flipped over a semi on I-55.

Pictures posted on the Rivian Forums show a section of the exterior wall collapsed and the ceiling partially caved in. There’s also debris in the surrounding area, as well as a flipped-over semi-trailer, and damage to another building.

 Rivian’s Factory Took A Direct Tornado Hit, But The R2 Launch May Not Be In Trouble
National Weather Service

In a message seen by CNBC, Rivian CEO RJ Scaringe said “Building 2 has sustained damage and is closed for the time being as we complete our assessments.” He added, “I am incredibly relieved to share that there were no injuries at our plant.”

Damage reportedly occurred in areas related to “parts storage and logistics” for the R2. While the pictures look pretty bad, Scaringe suggested operations in these sections could resume as early as this week.

 Rivian’s Factory Took A Direct Tornado Hit, But The R2 Launch May Not Be In Trouble

The R2 will be launched in $57,990 Performance guise, featuring an 87.9 kWh battery pack and a dual-motor powertrain with 656 hp (489 kW / 665 PS) and 609 lb-ft (825 Nm) of torque. This enables it to accelerate from 0–60 mph (0-96 km/h) in as little as 3.6 seconds and have a range of up to 330 miles (531 km).

Additional variants will follow, including an R2 Standard Short Range in late 2027. It’s slated to cost around $45,000 and have a range in excess of 275 miles (443 km).

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Side By Side, The Rivian R2 And Model Y Look Like They’re From Different Planets

  • Rivian’s new entry-level electric SUV has a lot going for it.
  • The R2 is taller than a Model Y, but surprisingly, it’s also shorter.
  • Driving the R2 Performance are dual electric motors with 656 hp.

In a market where electric SUVs are starting to blur into one another, standing out is no longer optional. The Rivian R2 is a pivotal model for the brand, bringing its EV technology into a smaller, more affordable package. If Rivian wants to grow into a true volume manufacturer and challenge legacy players, the R2 needs to land with buyers.

Its biggest hurdle is persuading shoppers to choose it over the Model Y, still America’s best-selling EV by a wide margin that even Tesla’s own Model 3 does not approach, let alone anything else. As these side-by-side photos of an R2 and a Model Y show, the pair have similar footprints but look absolutely nothing alike.

Read: Rivian R2 And Jeep Recon Solve The Same Problem, But Which One Solves It For You?

These photos, captured by Reddit user SciencesNotStudies at Rivian’s headquarters, show both vehicles charging next to each other. Whereas Tesla opted for a sleek profile in the Model Y, making it look like a bloated Model 3 rather than a traditional SUV, the Rivian R2 is very different. It’s boxier, stands taller, and is much more upright, looking just like the R1, albeit on a slightly smaller scale.

Interestingly, the Model Y is slightly longer than the R2, measuring 188.6 inches (4,790 mm) compared to the Rivian’s 185.9 inches (4,722 mm). The R2 is also slightly narrower at 75 inches (1,905 mm), versus 75.6 inches (1,920 mm) for the Tesla.

The biggest gap appears in height, with the R2 standing 66.9 inches (1,700 mm) tall compared to the Model Y’s 63.9 inches (1,624 mm). The Rivian’s wheelbase is also 1.8 inches longer, at 115.6 inches (2,935 mm) compared to 113.8 inches (2,890 mm) for the Tesla.

The ground clearance also differs dramatically between the pair. Like the R1, the R2 has been designed to be right at home off-roading, offering 9.6 inches (245 mm) of clearance compared to the Model Y’s 6.0 inches (152 mm).

What About Performance?

 Side By Side, The Rivian R2 And Model Y Look Like They’re From Different Planets

The first version of the R2 to be sold, the Performance Launch Edition, rocks a pair of electric motors delivering 656 hp and an 88.7 kWh battery pack, giving it slightly more power than the Model Y Performance with 618 hp and better range, 328 miles (528 km) compared to 306 miles (492 km). However, as the Tesla weighs less, it hits 60 mph (96 km/h) in 3.3 seconds compared to the R2’s 3.6 seconds.

Where The Numbers Stop Favoring Rivian

And then there’s pricing, which is not doing Rivian many favors on paper. The R2 Performance Launch Edition starts at $57,990, essentially mirroring the $57,490 Model Y Performance. However, step down to the mid-tier R2 Premium with 450 hp and all-wheel drive, and you’re still looking at $53,990, a noticeable jump over Tesla’s Model Y Premium AWD at $48,990.

Also: Rivian R2 Starts At $57,990, But Cheaper Versions Are Still Coming

Rivian has confirmed a base rear-wheel-drive R2 at $45,000, though that version will not arrive until 2027, which is a long wait. Tesla, meanwhile, already covers that ground with two RWD options, starting at $39,990 for the standard version and $44,990 for the Premium.

Although the R2 is Rivian’s answer to the Tesla Model Y, matching its sales volume will be a tall order. Like the R1, it appears to lean toward a more niche appeal and could end up competing more closely with models like the Jeep Recon.

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Lead image Reddit / SciencesNotStudies

Mazda Bet Big On New Tech And Paid For It In The Reliability Rankings

  • Lexus, Subaru, and Toyota top Consumer Reports’ latest reliability rankings.
  • Tesla climbs sharply, while Mazda tumbles thanks to trouble with new SUVs.
  • Hybrids keep impressing, but EVs and PHEVs still cause trouble for owners.

If you want a new car that spends more time on your driveway than at the dealer, Consumer Reports has some familiar advice. Stick with the usual suspects, be suspicious of shiny new tech, and maybe don’t volunteer to beta test an automaker’s latest big idea.

At the top of the pile, Toyota grabbed first place with Subaru second and Lexus third. Honda and BMW rounded out the top five. Consumer Reports based the study on survey data covering about 380,000 vehicles, so this is the kind of league table that has credibility, and isn’t just the result of an angry guy yelling into a forum thread about his rogue SUV.

Related: A CX-90 Owner Returned His New SUV After One Day, Bought Another, And Got The Same Problem

If you’re wondering who had the best transformation, that would be Tesla. It jumped eight places from last year’s study to ninth overall, helped largely by stronger showings from the Model 3 and, in particular, the Model Y. That doesn’t mean everything in Tesla land is suddenly flawless, because the Cybertruck still landed below average, but it does suggest the company is finally getting a better grip on some of the fit, finish, and hardware gremlins that used to follow it around.

Mazda’s PHEV Nightmare

The brand that took the awkward tumble was Mazda, which dropped eight spots to 14th. Older Mazda models still did reasonably well, but the newer, more complicated CX-70 and CX-90, especially in plug-in hybrid form, apparently kept causing trouble.

That’s a classic case of what happens when an automaker gets ambitious with new platforms, new drivetrains, and new tech all at once. Sometimes the engineering team nails it. Sometimes the owners become unwitting, unpaid members of the R&D squad.

 Mazda Bet Big On New Tech And Paid For It In The Reliability Rankings
Mazda

Consumer Reports also says hybrids continue to be a safe option for ICE fans looking for better economy. EVs and PHEVs, meanwhile, remain overrepresented among the least reliable models in the survey, especially when they’re brand new or heavily redesigned.

Buick Leads Detroit Brands

 Mazda Bet Big On New Tech And Paid For It In The Reliability Rankings

There were a few other eyebrow raisers in the rankings. Buick was the highest placed traditional Big Three Detroit brand at eighth, Ford landed 11th, and relative newcomer Rivian brought up the rear, though it’s worth pointing out that Jaguar, Land Rover, Fiat, Alfa Romeo and more were excluded from the study due to a lack of data.

Consumer Reports also found Asian brands still dominate on reliability, Europeans sit in the middle, and domestic brands trail overall, even if Tesla’s jump gave Team America something to celebrate. 

And reliability is worth celebrating. No, it’s never going to be sexy, but unless your idea of excitement includes hanging around in waiting rooms and constantly swapping into loaner crossovers, Consumer Reports has a pretty clear message: maybe let somebody else test the cutting edge first.

Consumer Reports Reliability Study
Position BrandScore
1Toyota66
2Subaru63
3Lexus60
4Honda59
5BMW58
6Nissan57
7Acura54
8Buick51
9Tesla50
10Kia49
11Ford48
12Hyundai48
13Audi44
14Mazda43
15Volvo42
16Volkswagen42
17Chevrolet42
18Cadillac41
19Mercedes-Benz41
20Lincoln40
21Genesis33
22Chrysler31
23GMC31
24Jeep28
25Ram26
26Rivian24
SWIPE

Consumer Reports

Rivian’s R2 Performance Just Out-Ranged The Tesla Model Y, And It Weighs Nearly 800 lbs More

  • The R2 Performance will have an EPA range of up to 335 miles.
  • By comparison, the Tesla Model Y Performance has a 306-mile range.
  • The R2’s dual electric motors offer a combined 656 hp and 609 lb-ft.

We already had a solid picture of the new Rivian R2, but fresh EPA testing data fills in a few remaining gaps. Positioned below the R1S in price yet still focused on performance and practicality, the all-electric R2 is shaping up to be a crucial model for the brand.

According to internal reports shared on the Rivian Forums, the range-topping Performance variant will use an 86.8 kWh usable battery pack and come with a choice of 20-inch or 21-inch wheels. Wheel and tire setup makes a noticeable difference. Models fitted with 20-inch wheels and all-terrain rubber are rated at up to 314 miles (505 km), while versions on 21-inch, road-focused tires stretch that to 335 miles (539 km).

Read: Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

While the R2 looks quite boxy, it has a better range than the Tesla Model Y Performance, which comes with an EPA-estimated range of 306 miles (492 km). The Tesla, however, is significantly lighter, weighing 4,466 lbs (2,025 kg), making it 784 lbs (356 kg) lighter than the R2 Performance at 5,250 lbs (2,381 kg) when equipped with 21-inch wheels.

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The published documents also reveal that Rivian has developed a proprietary heat pump for the R2, aimed at improving cabin cooling in hot weather while reducing NVH levels. It should also perform better in cold climates, thanks to a high-voltage coolant heater. The R2 will also feature an integrated battery health monitoring system.

There’s More To Come

The only R2 variant referenced in the EPA tests is the $57,990 Performance, which will be the first to launch. Later this year, Rivian plans to introduce the more affordable R2 Premium, starting at $53,990. It’s expected to produce 450 hp and 537 lb-ft (727 Nm), compared to the Performance model’s 656 hp and 609 lb-ft (825 Nm). There’s no official range estimate yet, though it should exceed that of the R2 Performance.

A more accessible R2 Standard is also scheduled for 2027. It will deliver 350 hp and 355 lb-ft (481 Nm), with early estimates pointing to a 345-mile (555 km) range. The lineup is expected to be completed in late 2027 with an entry-level R2 featuring a smaller battery, believed to offer around 275 miles (443 km) of range.

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Photos Rivian

Rivian Beat Four Major Automakers In EV Sales, And Its Biggest Model Hasn’t Even Launched Yet

  • Rivian delivered more EVs than many of its mainstream rivals managed in Q1 2026.
  • Toyota came closest, trailing Rivian by fewer than 400 units despite a strong rebound.
  • BMW counted plug-in hybrids in its total and still came up short of Rivian’s number.

First-quarter sales are in, and they come with a few surprises. One of the more unexpected outcomes is Rivian edging past several established players in the U.S. EV market. During Q1 2026, Rivian managed to outsell Kia, Ford, Toyota, and BMW in electric-vehicle deliveries across the United States.

More specifically, the California-based automaker delivered 10,365 EVs between January and March. During the same period, Rivian produced 10,236 vehicles, 129 fewer than it sold, likely drawing from existing inventory to close the gap. This comes just ahead of the launch of the more affordable R2, which is set to begin deliveries later this spring as a Tesla Model Y rival.

More: Rivian Won Direct Sales In Washington With A Threat That’s Coming For Dealers Everywhere

Following these results, the company has raised its annual delivery guidance to 67,000 units for 2026, an increase of 5,000 units over its previous estimate. Rivian will report its full financial results for Q1 2026 on April 30.

Rivian Sales Momentum

 Rivian Beat Four Major Automakers In EV Sales, And Its Biggest Model Hasn’t Even Launched Yet
Rivian R2

While Rivian remains a relatively small player compared to legacy automakers, it still managed to outsell several of them in the EV race.

More: Rivian R2 And Jeep Recon Solve The Same Problem, But Which One Solves It For You?

Kia America reported 2,023 sales for the EV6 and 2,740 for the EV9, totaling 4,763 units in Q1 2026. The brand also offers an electric version of the Niro in the US, though this likely accounts for only a small portion of the model’s 7,455 total sales, leaving Kia well short of the 10,000-unit mark.

Still, the upcoming Kia EV3, expected in late 2026, could change the narrative. It is also worth noting that Kia’s hybrid models set new Q1 sales records, marking a 73% increase over the same period last year.

Ford’s EV lineup saw an even steeper decline, with sales dropping 70% in Q1 2026 to 6,860 units in the US. The Mustang Mach-E made up 4,600 of those sales, while the F-150 Lightning and E-Transit contributed 2,060 and 200 units, respectively.

 Rivian Beat Four Major Automakers In EV Sales, And Its Biggest Model Hasn’t Even Launched Yet
Toyota bZ

Toyota opened the year on a strong note, with the bZ, including the bZ Woodland, reaching 10,016 units in the first quarter, a 79% increase year over year. However, with only 13 units of the newly introduced C-HR arriving in March, Toyota’s total BEV sales reached 10,029 units, just behind Rivian’s 10,365. As the company expands its EV lineup in the US, that gap may not last long.

More: Toyota’s bZ Outsold The Prius, And Now A Second US-Made Electric SUV Is Coming

Finally, BMW recorded 9,856 combined BEV and PHEV sales in the US during Q1 2026, marking a 50% drop compared to last year. This slowdown may prove temporary, as the upcoming Neue Klasse BMW iX3 is expected to play a central role in the brand’s next phase of electrification when it arrives in late 2026.

 Rivian Beat Four Major Automakers In EV Sales, And Its Biggest Model Hasn’t Even Launched Yet
BMW iX3

Rivian Won Direct Sales In Washington With A Threat That’s Coming For Dealers Everywhere

  • Rivian wins direct sales rights in Washington after dealer resistance collapses.
  • Nearly 70 percent of buyers support skipping dealerships and buying directly.
  • Other states may follow as pressure builds against traditional franchise laws.

Rivian didn’t just win a fight in Washington this week when it was granted the right to sell cars directly to consumers. It might have started a war that will leave dealer groups across America far less powerful and profitable 10 or 15 years from now.

After years of getting blocked by dealer laws in Washington state, the EV startup pushed hard enough that the opposition simply stepped aside. The turning point came when Rivian threatened to take the issue to voters, a gamble that could have cost it up to $30 million. Faced with an expensive ballot battle, dealer groups backed off and supported a narrow law letting Rivian and Lucid – but no other brands – sell directly.

Related: More VW Dealers Sue, Say Scout Is A Shell Company Built To Cut Them Out

“The writing was on the wall,” said lawmaker Andrew Barkis to The Wall Street Journal. Once the resistance faded, the bill sailed through.

It’s a big moment in a long-running tug of war over how Americans buy cars. For decades, laws in most states have forced automakers to sell through independent dealers. That system isn’t going quietly, but Rivian just proved it can be bent, something Tesla already does, and VW is also trying to do with its new Scout brand.

Buyers Backed The Move

And the reason is simple. Buyers don’t love dealerships as much as the system assumes. Rivian’s own polling showed nearly 70 percent of people support direct sales in the same way that they like to get their sneakers from the Nike store or their new iPhone from an Apple outlet.

 Rivian Won Direct Sales In Washington With A Threat That’s Coming For Dealers Everywhere

Rivian CEO RJ Scaringe says selling direct means more control, better margins, and a cleaner customer experience. But not everyone’s thrilled. Traditional automakers and dealer groups argue this creates an uneven playing field. They say franchise networks keep prices competitive and provide essential services like repairs and financing.

Limited Freedom

“The franchise model continues to be the ideal system,” Vicki Giles Fabré of the Washington State Auto Dealers Association told the WSJ in a statement. Still, even dealers seem to recognize the tide is turning. The Washington compromise is tightly limited, applying only to Rivian and Lucid, but it cracks the door open.

Now Rivian is eyeing other states where voters can be brought into the fight. Places like Ohio and Oklahoma could be next, and if this strategy keeps working, the patchwork of sales laws might start to unravel.

 Rivian Won Direct Sales In Washington With A Threat That’s Coming For Dealers Everywhere

Rivian

Rivian R2 And Jeep Recon Solve The Same Problem, But Which One Solves It For You?

  • Rivian and Jeep are launching similar electric SUVs this year.
  • The R2 is cheaper than the Recon and offers far more range.
  • Both have similar outputs at launch and other versions are coming.

Rivian introduced the highly anticipated R2 last week and a lot of people got sticker shock. While the company had promised a starting price of around $45,000, the launch model costs $57,990.

Price, Performance And Range

That’s significantly more expensive than expected, but it looks like a bargain compared to the 2026 Jeep Recon. It starts at $65,000 and has a 100 kWh battery pack that feeds a dual-motor all-wheel drive system producing 650 hp (485 kW / 659 PS) and 620 lb-ft (840 Nm) of torque. This enables the model to rocket from 0-60 mph (0-96 km/h) in as little as 3.6 seconds and travel up to 230 miles (370 km) on a single charge in Moab trim.

More: Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

The R2, on the other hand, has an 87.9 kWh battery and a dual-motor all-wheel drive system with 656 hp (489 kW / 665 PS) and 609 lb-ft (825 Nm) of torque. Those numbers are nearly identical to the Jeep and so is the 0–60 mph (0-96 km/h) time of 3.6 seconds.

The models also offer a similar recharging experience as the Recon’s battery goes from 5-80% in around 28 minutes, while the R2 goes from 10-80% in as little as 29 minutes. However, there’s a big difference as the R2 Performance has 330 miles (531 km) of range. That’s 100 miles (161 km) more than the Recon Moab and 80 miles (129 km) more than future versions of the SUV.

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Off-Road Chops

Speaking of capability, the Recon Moab has 9.1 inches (231 mm) of ground clearance as well as approach, departure, and breakover angles of 33.8, 33.1, and 23.3 degrees. While the R2 sits higher off the ground at 9.6 inches (244 mm), it offers far less impressive angles of 25, 26, and 20.6 degrees. The Jeep rides on 18-inch wheels wrapped in 33-inch tires, while the Rivian has 21-inch wheels and 32-inch rubber.

Size And Cargo Space

In terms of size, the Recon measures 193.3 inches (4,911 mm) long, 87.4 inches (2,221 mm) wide, and 73.8 inches (1,875 mm) tall with a wheelbase that spans 112.9 inches (2,868 mm). This means it’s 7.4 inches (188 mm) longer than the R2, despite having a 2.7-inch (69 mm) shorter wheelbase.

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Despite being smaller, the Rivian has more cargo space thanks to a 5.2 cubic foot (147 liter) frunk and a rear cargo compartment that can hold 79.4 cubic feet (2,248 liters) of luggage. The Recon, on the other hand, has a smaller 3 cubic foot (85 liter) frunk and a boot that holds 65.9 cubic feet (1,866 liters) of gear.

Equipment

While the R2 seems to be wiping the floor with the Recon, Jeep has a few tricks up its sleeve. The most notable is doors, rear quarter glass, and swing gate glass that can be removed without tools. This open air experience can further be enhanced by an optional Sky one-touch power top. That sounds a lot more fun than the R2, which has a drop down rear window and a panoramic glass roof.

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Rivian hasn’t said much about the crossover’s cabin, but buyers will find a Black Crater Signature interior with Birch wood trim. They’re joined by 12-way power front seats with heating and ventilation as well as heated rear seats and a heated steering wheel. Other highlights include a nine-speaker premium audio system and a flashlight integrated into the driver’s door.

The Recon’s interior looks a little less glamorous, but it has a 12.3-inch digital instrument cluster and a 14.5-inch infotainment system. They’re joined by Capri leatherette front seats with heating and eight-way power adjustment. Other highlights include a dual-zone automatic climate control system, ambient lighting, a wireless smartphone charger, and an 11-speaker Alpine premium audio system.

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Customers will also be able to get a Comfort Package, which includes ventilated front seats, heated rear seats, a digital rearview mirror, and a passenger camera.

With all that being said, which one interests you the most?

 Rivian R2 And Jeep Recon Solve The Same Problem, But Which One Solves It For You?

Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

  • Rivian’s R2 packs up to 656 hp and hits 60 mph in 3.6 seconds.
  • The electric crossover can travel up to 330 miles per charge.
  • Multiple trims launch first, with a cheaper version due in 2027.

Following yesterday’s leak, Rivian has officially introduced the R2. It arrives this spring with a $57,990 price tag, although an entry-level model is slated to arrive in late 2027 and cost around $45,000.

The R2 rides on an all-new platform and is being launched in Performance guise, which has a dual-motor all-wheel drive system producing 656 hp (489 kW / 665 PS) and 609 lb-ft (825 Nm) of torque. This enables the model to accelerate from 0–60 mph (0-96 km/h) in as little as 3.6 seconds.

More: Rivian Is Killing Off The Entry-Level R1 Just Before R2 Launch

The crossover is said to have a 87.9 kWh battery pack, which enables it to have a range of up to 330 miles (531 km). When the battery is low, it can reportedly go from a 10-80% charge in as little as 29 minutes. Other highlights include a semi-active suspension and eight drive modes known as All-Purpose, All-Terrain, Conserve, Launch, Rally, Snow, Soft Sand, and Sport.

The model comes standard with an Esker Silver exterior that sports 21-inch Liquid Tungsten wheels as well as Compass Yellow brake calipers and exterior badging. They’re joined by Matrix LED headlights, integrated tow hooks, and a rear liftgate with drop down glass.

Moving inside, there’s a Black Crater Signature interior with Birch wood trim. Buyers will also find 12-way power front seats with heating and ventilation. They’re joined by heated rear seats as well as a heated steering wheel. Other niceties include a nine-speaker premium audio system and a flashlight integrated into the driver’s door.

An assortment of options will be available including Borealis, Catalina Cove, Forest Green, Glacier White, Half Moon Grey, and Midnight paint jobs. They can be paired with black 20-inch wheels wrapped in all-terrain tires. Customers can also get a Coastal Cloud Signature interior, a 4,400 lb (1,996 kg) towing package, and an Autonomy+ subscription that offers monthly or one-time options.

Early models come with a limited edition Launch Package that includes a lifetime subscription to Autonomy+ as well as the aforementioned towing package. There’s also a green anodized key fob and an exclusive Launch Green exterior color, but that’ll cost you extra.

R2 Premium

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The $53,990 R2 Premium will follow later this year with a downgraded all-wheel drive system producing 450 hp (356 kW / 456 PS) and 537 lb-ft (727 Nm) of torque. This enables the crossover to accelerate from 0-60 mph (0-96 km/h) in 4.6 seconds and travel up to 330 miles (531 km) on a single charge.

Equipment largely echoes the Performance variant, but the Premium rides on smaller 20-inch wheels with a Bicolor Carbon finish. Drivers also have to make do with five drive modes known as All-Purpose, All-Terrain, Conserve, Sport, and Snow.

R2 Standard Long Range

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The R2 Standard Long Range will arrive in the first half of 2027 and cost $48,490. It comes standard with a rear-mounted motor producing 350 hp (261 kW / 355 PS) and 355 lb-ft (481 Nm) of torque. This enables the model to hit 60 mph (96 km/h) in 5.9 seconds and have a Rivian-estimated range of up to 345 miles (555 km).

However, customers can get an optional all-wheel drive system that produces 450 hp (356 kW / 456 PS) and 537 lb-ft (727 Nm) of torque. It echoes the R2 Premium, so expect a 0-60 mph (0-96 km/h) time of 4.6 seconds and a reduced range of 330 miles (531 km).

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In order to achieve the lower price tag, a number of features have been dropped. This appears to include the fancy lighting system, tow hooks, and drop down rear window. The model also rides on smaller 19-inch wheels.

The cuts continue inside with a cheaper Black Crater interior sporting a basic five-speaker audio system. The front passenger seat also gets downgraded to 8-way power adjustment, while there’s only heated front seats and a heated steering wheel. Buyers also lose the flashlight and All-Terrain drive mode.

R2 Standard Short Range

Rivian’s much-hyped entry-level model is coming in late 2027 and it will start “around $45,000.” The company isn’t saying much about it, but promised a range in excess of 275 miles (443 km).

Odds And Ends

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While Rivian hasn’t released full details, the R2 appears to be surprisingly spacious as there’s 40.4 inches (1,026 mm) of rear-seat legroom as well as 28.7 cubic feet (813 liters) of cargo space. That expands to 79.4 cubic feet (2,248 liters) by folding the rear seats down. Speaking of space, the model has dual glove boxes and a frunk that provides 5.2 cubic feet (147 liters) of room.

Rivian also touched on capability as the R2 has 9.6 inches (244 mm) of ground clearance as well as approach, departure, and breakover angles of 25°, 26°, and 20.6° respectively. The model also has 32-inch tires and is nearly 2,000 lbs (907 kg) lighter than the R1.

 Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

Rounding out the highlights are a panoramic glass roof, digital key technology, and a “Haptic Halo” steering wheel with two large scroll wheels. The R2 also has an NACS port as well as a “Field Outlet” that transforms the charging port into a power station with two 120V outlets.

Rivian is currently accepting reservations for a $100 refundable deposit.

 Rivian’s Most Affordable Model Arrives First In Its Most Expensive Form

Rivian R2 Starts At $57,990, But Cheaper Versions Are Still Coming

  • Details about the Rivian R2 have leaked ahead of its debut.
  • Launch model starts at $57,990, and offers 330 miles of range.
  • Affordable variants will follow, including a base model for $45K.

Rivian is gearing up to introduce the highly anticipated R2, but waiting is so overrated. Arstechnica knows that feeling all too well as they jumped the gun and published full details of the crossover a day early.

While the article was quickly removed, the internet never forgets and it was archived for posterity. Thanks to this, we know virtually everything about the upcoming model.

More: Rivian Is Killing Off The Entry-Level R1 Just Before R2 Launch

Set to arrive this spring, the R2 will be launched in Performance guise that starts at $57,990 before a $1,495 destination fee. The range-topping model reportedly has a 87.9 kWh battery pack, which powers a dual-motor all-wheel drive system producing 656 hp (489 kW / 665 PS) and 609 lb-ft (825 Nm) of torque.

The R2 Performance is said to have a semi-active suspension and a range of up to 330 miles (531 km). We can also expect a fast charging capability that will take the battery from 10-80% in as little as 29 minutes.

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In terms of equipment, we can expect a stylish interior with birch wood trim as well as heated and ventilated front seats. The rear seats are also heated, while other highlights include a nine-speaker audio system and a flashlight that’s integrated into the front door. They’re joined by matrix LED headlights and 21-inch alloy wheels.

Options include the company’s recently announced Autonomy+ semi-autonomous driving subscription and a tow package that enables the model to haul up to 4,400 lbs (1,996 kg).

R2 Premium

 Rivian R2 Starts At $57,990, But Cheaper Versions Are Still Coming

A more affordable R2 Premium is scheduled to arrive later this year for $53,990. Its powertrain largely echoes the Performance variant, but it has weaker motors producing 450 hp (356 kW /  456 PS) and 537 lb-ft (727 Nm) of torque.

Those aren’t the only tradeoffs as the model reportedly eschews the fancy suspension and rides on smaller 20-inch wheels. Buyers will also find three fewer drive modes.

R2 Standard

 Rivian R2 Starts At $57,990, But Cheaper Versions Are Still Coming

If that’s still too pricey, you can hold off until the R2 Standard arrives in 2027. It retains the 87.9 kWh battery, but it’s paired to a rear-mounted motor producing 350 hp (261 kW / 355 PS) and 355 lb-ft (481 Nm) of torque. This helps the model to be slightly more efficient as the range climbs to 345 miles (555 km).

The equipment list gets shorter as there’s a basic five-speaker audio system, heated front seats, and an “all-black” interior. The drop-down rear window is also absent, while the crossover is shod in smaller 19-inch wheels.

The base R2 is set to arrive in late 2027 with a smaller battery that provides around 265 miles (426 km) of range. Little else is known about this variant, but it’ll cost $45,000.

Other Details

 Rivian R2 Starts At $57,990, But Cheaper Versions Are Still Coming

Trims aside, the model measures 185.9 inches (4,722 mm) long, 78.1 inches (1,984 mm) wide, and 66.9 inches (1,699 mm) tall with a wheelbase that spans 115.6 inches (2,936 mm). The R2 is also said to have up to 9.6 inches (244 mm) of ground clearance.

Other highlights include a NACS charging port and a cargo capacity of up to 79.4 cubic feet (2,248 liters). However, that falls to 28.7 cubic feet (813 liters) with the rear seats up.

A separate leak also suggested the model will be offered in eight colors known as Borealis, Catalina Cove, Esker Silver, Forest Green, Glacier White, Half Moon Grey, Launch Green, and Midnight.

 Rivian R2 Starts At $57,990, But Cheaper Versions Are Still Coming
Photos Rivian

Rivian Is Killing Off The Entry-Level R1 Just Before R2 Launch

  • Rivian appears to be killing off the entry-level R1 Dual Standard.
  • Prices could climb by $7,000, but buyers would get more range.
  • Move appears to be in response to the R2, which debuts this week.

Rivian is gearing up to launch the highly anticipated R2 on March 12, but it looks like they’re also planning to trim the R1 lineup. This is unfortunate, but the company sent out a rather ominous e-mail announcing the “Dual Standard is ending.”

The R1S Dual Standard starts at $76,990 and offers 270 miles (435 km) of range. The R1S Dual, on the other hand, begins at $83,990 and has a larger battery pack that enables owners to travel 329 miles (529 km) on a single charge.

More: For $50 A Month, Rivian Will Make You A Passenger In Your Own EV

The R1T Dual Standard also has 270 miles (435 km) of range, but it’s even cheaper as pricing starts at $72,990. Its death will force people to get the R1T Dual, which begins at $79,990.

The automaker isn’t saying much, but confirmed “we have changes coming to our vehicle lineup later this year.” They then suggested customers get an R1 Dual Standard “while you can.”

 Rivian Is Killing Off The Entry-Level R1 Just Before R2 Launch

Rivian went on to promote leases starting at $749 per month for 36 months with a $3,000 incentive on R1T and R1S Dual Standard models ordered by March 19. While there’s enough fine print to call in a lawyer, the company suggested customers could get a new vehicle for only $5,644 due at signing – although that appears to exclude a $1,895 destination fee.

While Rivian didn’t say why they’re apparently discontinuing the R1 Dual Standard, it’s likely in response to the R2. The model is slated to begin around $45,000 and this will undoubtedly pull some customers away from the R1. Eliminating the entry-level R1 helps put some distance between the vehicles, while also simplifying production at the company’s plant in Normal, Illinois.

 Rivian Is Killing Off The Entry-Level R1 Just Before R2 Launch

Rivian R1 $749 Lease Looks Like A Deal Until You Run The Numbers

  • Rivian is offering $749 per month leases on 2026 R1 models.
  • Select configurations also qualify for a $3,000 lease bonus.
  • Approval by March 19 and delivery by March 31 are required.

Electric pickups aren’t exactly inexpensive at this stage in history. Now, Rivian, the first automaker to bring an electric truck to market, is trying to lower the barrier to entry. It’s doing so by extending a short-term deal on its 2026 R1 lineup. Buyers can now get monthly payments starting at $749 for 36 months, along with a $3,000 lease bonus on certain configurations.

Naturally, as with most lease deals splashed across a homepage, the headline number only tells part of the story. To secure that $749 per month figure, you need to opt for the Dual Standard versions of the 2026 R1T pickup or R1S SUV, which start at $72,990 and $76,990, respectively.

The Bit They Do Not Put In The Big Font

Then there is the small issue of $5,644 due at signing, and that is assuming you qualify for Rivian’s $3,000 lease contribution. Miss out on that incentive and the down payment climbs to $8,644.

More: That Rivian Bumper Tap Didn’t Look Like An $11,000 Mistake, But Here We Are

Run the numbers and the effective monthly cost lands closer to $906, or $989 if you do not get the $3,000 contribution. In other words, still competitive for a six-figure-adjacent electric truck or SUV, but far from the tidier $749 the banner suggests.

 Rivian R1 $749 Lease Looks Like A Deal Until You Run The Numbers

As we have said before, down payments on leases are best avoided. If something unfortunate happens five minutes after you leave the lot, that upfront cash is effectively gone, even if insurance covers the vehicle itself.

Wait, There’s More

Also keep in mind that none of those numbers include the usual extras due at signing, including tax, title, license, registration, and lessor documentation fees. As ever, the asterisk is doing a fair bit of work.

Just as importantly, these trims represent the most affordable way into Rivian’s electric adventure lineup. If you cannot find a base model, the price only moves in one direction. Furthermore, there’s a deadline looming. To qualify, customers must have their lease approved by March 19 and take delivery by March 31. That leaves a fairly tight window to spec it, sign it, and actually get the keys.

This Deal Doesn’t Apply To More Expensive Models

 Rivian R1 $749 Lease Looks Like A Deal Until You Run The Numbers

Don’t expect this payment plan to help out on the more luxurious and desirable R1 vehicles. For example, the Dual Large battery versions start around $1,019–$1,029 per month with a hefty downpayment, while stepping into Dual Max models pushes payments past $1,200 monthly. The performance-oriented trims climb even higher.

More: CHP Mocks EV Drivers After Rivian Stalls In Snow

Rivian lists the Tri-motor versions starting around $1,419–$1,469 per month, again with a downpayment, and it doesn’t stop there. The flagship Quad-motor models approach $1,900 per month, depending on whether you choose the truck or SUV. For buyers considering financing instead of leasing, Rivian is also offering APR rates as low as 1.99 percent for 60 months on some configurations.

All of this is no doubt one more example of an electric automaker doing what it can to make payments manageable in a market with cooling demand. That said, interested buyers need to sign up before March 19th if they want to take advantage of the deal.

 Rivian R1 $749 Lease Looks Like A Deal Until You Run The Numbers

Rivian Just Got Its Own M Division, And It’s Called RAD

  • The Rivian Adventure Department has made its official debut.
  • It’s a skunkworks team that pushes boundaries to improve vehicles.
  • Has already paved the way for the RAD Tuner and new drive modes.

Rivian has used the FAT Ice Race in Montana to introduce the Rivian Adventure Department, or RAD for short. It’s being billed as a skunkworks team of designers, engineers, and enthusiasts “who spend their days and nights exploring the limits of what a Rivian can do.”

The company said a lot without saying much of anything, but the team is focused on unlocking the next level of capability and performance. They aren’t limited to cubicles either as they’ve “learned there’s no substitute for real-world experience.”

More: Rivian Aiming To Break Its Own Pikes Peak Record With R1T

This has already seen the company enter and win the 2023 Rebelle Rally as well as set records for a production electric truck at Pikes Peak in 2023 and 2024. Learnings from these experiences is then fed back into road-going models.

While win on Sunday and sell on Monday is hardly a new idea, Rivian said their off-road adventures directly resulted in the Desert Rally drive mode as well as the RAD Tuner. The latter debuted on the second-generation R1 Quad lineup and enables owners to customize their driving experience.

 Rivian Just Got Its Own M Division, And It’s Called RAD

While a number of automakers offer a personalization setting, most only let you adjust a few things. Rivian, on the other hand, allows drivers to tweak acceleration and regeneration as well as damping, ride height, brake assist, steering, wheel slip, and torque bias – among other things. In effect, it enables you to fine-tune the vehicle’s characteristics exactly to your liking and the situation at hand.

Will RAD Become Rivian’s AMG?

The Rivian Adventure Department has been around for awhile, but now it’s out in the open. As Chief Design Officer Jeff Hammoud explained, “RAD represents the living, breathing expression of the passion that defines Rivian. That impulse to explore, to push limits, and to embrace the adventure is not confined to one team—it is the very DNA of our entire company, from the designers and engineers to our community of owners.”

The big question is what happens next. Does RAD remain a relatively low-key team focused on improving existing products or do they transform into Rivian’s version of BMW M, Cadillac V, and Mercedes AMG? Only time will tell, but it feels like little more than marketing at this point.

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