Rivian Continues to Sink Slowly: Company Lost $1.7 Billion in 4 Months

Rivian, which was founded in 2009 to become a "competitor of Tesla" in the USA and received large investments from both Amazon and Ford, has been dealing with various problems since its establishment. The brand, which finally delivered its first electric cars 12 years after its establishment, produced impressive vehicles from the outside, but many of the vehicles sold were recalled on the grounds that the steering wheel came off.

It seems that Rivian cannot prevent its collapse, although it has signed partnerships with Amazon and Mercedes-Benz. The financial reports published by the company the other day also confirm this.

Rivian is slowly going bankrupt.

According to the report published by Rivian, the company lost 1.7 billion dollars only in the third quarter of 2022. When we examine the reports, we can see that the main reasons for this loss are inflation, the termination of some purchasing agreements, inventory increases and increased labor costs.

Although the company has raised $10.5 billion from partners and investors and preordered a total of 200,000 vehicles from Amazon, the failure of the first-release vehicles to meet quality standards has seriously damaged the company's reputation. On top of all these negativities, the inability to allocate sufficient budget for R&D studies due to financial inadequacies has made Rivian, "Tesla's arch-rival", a "hack of Tesla". In fact, many electric car lovers in the USA often make fun of Rivian on Reddit forums and make posts about the brand as an "Electric dustbin".

Some experts in the automotive industry state that Rivian's moves in 2023 will affect the fate of the brand. According to some sources, if Rivian does not solve its problems soon, the company may declare bankruptcy by the end of 2023 at the latest.