Amazon invests in electric ute and SUV company

Amazon invests in electric ute and SUV company

Electric truckmaker Rivian received over $700 million in outside investment from Amazon and others, the company announced on Friday, after unveiling in November an emissions-free pickup and SUV.

The deal represents a major endorsement of Rivian's electric vehicle technology by the world's largest online retailer, which is looking for ways to boost the speed and reduce the cost of its deliveries.

Similar to Rivian's investment, while Aurora is happy that "a great technology company like Amazon, who thinks hard about the implications of logistics and movement of goods" is involved, it doesn't mean it will lead to a partnership.

Rivian has now raised about $1.15 billion.

The Rivian deal comes as its much larger electric auto manufacturing rival, Tesla, struggles to stabilize production and deliver consistent profits as it ramps up its mass market Model 3 sedan.

But he has spoken only in general about a potential launch, saying that it would happen "right after" Tesla's Model Y, which the company has targeted to start production in 2020.

The latest funds will help produce its first all-electric vehicles - the R1T pickup truck and the seven-seat R1S SUV, which were revealed in the November Los Angeles Auto Show, Xinhua news agency reported.

But the company had piqued Amazon's interest earlier, according to one of the sources.

"This investment is an important milestone for Rivian and the shift to sustainable mobility", Rivian CEO RJ Scaringe said in a news release.

Recent reports show the California vehicle maker has extended its run on the leaderboard by some distance thanks to the continued production of the Model 3, which shipped nearly 56,000 units in the USA alone.

Rivian already employs more than 750 people with development centers located in Michigan, California and England. The company "will take elevated importance in investors' minds as EVs become the focus" of automakers' investment and strategy, he said.

Rivian received a $200 million loan previous year from Standard Chartered Bank, and previously secured more than $450 million from equity investors including the Saudi company Abdul Latif Jameel and Sumitomo Corporation of America.

You can find out more about the Rivian R1T and R1S by clicking the respective links.

It does 0 to 60 miles per hour in 20 seconds with a full 80,000-pound load.

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