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Rivian’s ‘Boring’ Commercial Van Is Turning Into A Secret Weapon

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Rivian’s ‘Boring’ Commercial Van Is Turning Into A Secret Weapon

The R2 is clearly the star of the show for Rivian. Designed from the start to be cheaper than its flagship R1 line of rugged EVs, the $45,000 (eventually) crossover is Rivian’s first real shot at taking on the Tesla Model Y and a shiny beacon of hope for its scramble toward profitability. The gamble is paying off. On Thursday, the California startup announced that the R2 was its best-selling vehicle in Q3, just a few months after it hit the market in June.

But there’s another, less flashy vehicle in Rivian’s stable that’s quietly cleaning up and becoming a serious revenue driver: the humble EDV commercial van. You’ve probably seen the bug-eyed cargo-hauler silently doing Amazon-delivery duty in your neighborhood. Get ready to see a whole lot more of them.

“This year we have seen a significant step up in the level of demand from Amazon,” Rivian founder and CEO RJ Scaringe said on an earnings call this week. He said the logistics giant, which was an early Rivian investor, is scooping up more vans due to the vehicle’s lower running costs. That’s not hard to believe, given the lower maintenance burden of running EVs generally and the eye-watering price for diesel these days.

Rivian says its seeing more demand from Amazon for its EDV commercial delivery van.

“It's creating true and very real structural cost advantages that are leading Amazon to double down to continue to buy more vehicles,” Scaringe said.

While Rivian doesn’t break out delivery volumes across models, the company’s financials point to a booming van business.


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