Rivian spins out startup focused on small, lightweight electric vehicles

Rivian, known for its ample electrical trucks, is mounting its sights connected tiny and lightweight vehicles.

The Irvine-based automaker said Wednesday it’s spinning retired its micromobility concern into a caller startup called Also Inc.

Micromobility encompasses a assortment of vehicles, including electrical bikes, scooters and skateboards.

Rivian said successful a quality merchandise that it started moving connected micromobility respective years agone and concluded that concern should beryllium its ain company. Rivian didn’t specify what benignant of products the startup plans to merchandise and when.

“For the satellite to afloat modulation to electrified transportation, a scope of conveyance types and signifier factors volition beryllium needed,” RJ Scaringe, Rivian laminitis and main executive, said successful a statement.

The determination comes arsenic Rivian aims to turn its concern portion facing challenges specified arsenic proviso concatenation woes, regulations and consumers wary astir spending wealth amid economical uncertainty.

Scaringe antecedently hinted that Rivian was moving connected micromobility. He said astatine TechCrunch’s Disrupt league successful 2022 that the institution planned to determination to adjacent smaller vehicles. In 2023, helium told unit Rivian was processing an electrical bike, Bloomberg reported.

Rivian said it has a “substantial number ownership stake” successful Also, which volition beryllium based successful Palo Alto.

Scaringe volition service arsenic the president of the startup’s committee of directors. Venture superior money Eclipse Ventures is investing $105 cardinal successful Also.

The institution declined to supply further details astir the venture.

Rivian besides has been moving connected a midsize SUV with 5 seats that starts astatine $45,000, a little terms compared to its larger vehicles. Known arsenic the R2, the SUV is expected to beryllium delivered to customers successful the archetypal fractional of 2026.

In 2024, Rivian reported yearly gross of astir $5 cardinal and a nett nonaccomplishment of $1.2 billion, according to its quarterly fiscal results.

The company’s finances person been improving arsenic losses person narrowed.

The institution reported a gross nett of $170 cardinal successful the 4th fourth of 2024, compared to a nonaccomplishment of $606 cardinal during the aforesaid play successful 2023.

Rivian expects to present 46,000 to 51,000 vehicles successful 2025.