Volkswagen wants to expand partnership with Rivian
Oliver Blume, CEO of the German giant, evaluates other areas of cooperation with the American manufacturer. Objective: to be more and more competitive
Volkswagen wants to intensify its partnership with Rivian. This was stated by Oliver Blume, CEO of the Wolfsburg-based company, in an interview with the German magazine Spiegel.
The idea is to make better use of economies of scale by bundling components and placing joint orders. "The Volkswagen Group can offer great advantages to a manufacturer like Rivian.
From software to the SSP platform
The collaboration between Volkswagen and Rivian started in the middle of last year. The initial idea was to combine the software expertise developed by the US start-up with the firepower of the world's second largest automotive group.
The Volkswagen Trinity project from which the SSP electrics will be born
Specifically, the creation of the joint venture between Volkswagen and Rivian would accelerate the development of the software-oriented electric cars that will be built on the Scalable Systems Platform (SSP) that will create the next generation of zero-emission cars from Wolfsburg.
The deal involves $5 billion (£4.1 billion) in funding from Volkswagen, which can thus get its hands on new technologies that will enable the group to catch up at least some of the time it has lost ground on the battery-powered models of the future, with the electric Golf in the lead.
There are also advantages for Rivian
The Volkswagen-Rivian marriage does not only benefit the German half of the pair. Rivian, as emphasised by its founder and CEO RJ Scaringe, has the opportunity to use the support of an automotive giant to expand into other markets.
Rivian R3X the sporty compact model also destined for Europe
Both in terms of marketing and possibly production, the timing is good. Last year, Rivian introduced new models (R2 and R3) that are smaller than the R1S and R1T, and they will also be launched in Europe. Having a partner like Volkswagen can only help in this growth process.
Now, going back to Blume's latest comments, the cooperation could extend to other areas, such as purchasing management and supplier relations. In short, it is not out of the question that a single automotive group could be created in the future. After all, this is the trend, as Stellantis or, in the supercar sector, Rimac-Bugatti have already shown.
Gallery: VW ID. GTI Concept at the Volkswagen Group Night IAA 2023
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