A flat sizzling fire of stupidity, that was the start of the company and it seems there is a big problem in Rivian.
They are on a fast track to go out of business which holds true in recent thoughts on Rivian Automotive and explains why the company is facing problems.
Why is Rivian r1t Elon Musk now As you all know he is a business juggler, he has dominated every industry he has entered.
So it is not a decision to be taken lightly competing with him. Rivian decided to go and they are failing us miserably today.
We’ll try and understand why they’re in such hot water and what Elon Musk said about the upstart EV company, the electric vehicle backed by Ford and Amazon, reported a net loss of $1.59 billion.
First quarter of 2022. In the last three months, the company has delivered 1220 vehicles to the consumers, resulting in deliveries of only 2147 vehicles in the lifetime of the entire company.
Now the r1t was considered a game-changer. It was considered an electric vehicle for off-road and truck lovers, competing directly with the Tesla Cybertruck.
Coming to Cyber trucks, it has been delayed several times, which has given Rivian a decent start, but it seems they have really been unable to capitalize on this opportunity as the production numbers are shockingly low.
So far Rivian has only delivered 2147 since they started production in 2021, which is a concern about considering the company, which is valued at around $28 billion.
Which is now falling in general across all the shares of the board. Although Rivian’s price drop is considered excessive, the company’s stock price has fallen by 89 percent since its peak in November 2021.
Investors are concerned in a recent interview with Financial Times, with Elon Musk explaining why Rivian production numbers are so low that they’re going to jump on the deep end and try to build a high-volume vehicle.
When they’ve never built a vehicle before it’s like um you know you’re not practicing your athletic game.
Then going to the Olympics to hasten the release of the R1T Rivian made a bad decision which would be costly. Rivian decided to outsource the design and manufacture of their electric motors.
Because the EV startup didn’t have to test design or build its motors it meant they would be able to bring electric pickup trucks to market faster.
On the other hand, almost every component used to build the Tesla Elon Musk is meticulously designed and manufactured as it eliminates the barriers to production.
Gives them more control over the speed at which they can innovate and deliver cars, allowing Tesla to more easily navigate any supply chain issues.
They can adapt and make changes and then continue to deliver more hardware to Tesla designs and write more.
Software that relies heavily on auto suppliers than any of its rivals.
Elon Musk has called the company absurdly vertically integrated compared to other auto coms. As you can see from their low production numbers, Penney Rivian has been buoyed by this decision.
But he has since reversed this decision and is now producing Elon Musk in-house.
Which he described as production hell to bring the Tesla Model 3 to market. The experience was so heroin that he said he would never want to.