Rivian's exclusive deal with Amazon for 100,000 delivery vans may be over
What at first appeared to be a positive partnership between Amazon and Rivian to deliver thousands of electric delivery vans is apparently no longer as advantageous.
According to unnamed sources talking to The Wall Street Journal, the truck-maker is looking to end a deal struck in 2019 — one that called for delivery of 100,000 vans to Amazon by 2030.
But Amazon, Rivian’s largest shareholder, has since significantly altered its orders, informing Rivian it wanted to buy only about 10,000 vehicles this year.
Rivian spokeswoman Marina Norville said in a statement that the manufacturer will continue to work closely with Amazon, and that the partners “are navigating a changing economic climate, similar to many companies.”
By dropping out of the original exclusivity agreement with Amazon, Rivian may be seeking to expand sales to other customers. Last week, Rivian announced plans to raise $1.3 billion via a sale of convertible notes to help fund development and launch of its R2, a small platform to form the base of a new SUV and pickup truck.
Amazon said late last year that it had about 1,000 electric vans on the road. Amazon is also facing challenging conditions. It has recently halted construction of its second headquarters in the Washington D.C. area and laid off about 18,000 workers.