Now reverberating in the boardrooms of GM, Ford and Ram (FCA)..."WTH just happened?".












.

 

Are you sure, the conversation could have just as easily been. Amazon: We'd like 100K vans for free, we will let you publicize that and the value of that advertising should more than cover the cost of the Vans. We are doing you a favor. Just be glad we don't ask you to pay us to give us vans.
GM/F/FCA laughing as they leave the room.

 

Didn't Amazon recently make a huge investment in Rivian?

 

That's correct! A $700 million investment round in Rivian led by Amazon was announced in February 2019.

 

:barf:

 

And... those electric vans won't pay any road tax until rules are changed.

 

Hopefully Honda trademarked their E design already!!

 

Fleet trucks is really the only good use of EV tech right now. But 100K is only half of the run of pickups for the each of the big 3. Just like the new US Postal truck bid, it's a good win for a startup like Rivian or Workhorse.

 

It's a big jump to contract with a company that hasn't built any vans (or anything else for that matter) to supply their needed vans. Good luck there.

 

I'd say delusions of grandeur is not an overstatement of this enterprise. A motor vehicle is as complex a critter as almost any of us ever touch or set foot in.

I'll be buying Big Tent stock in the meantime.

Doesn't Amazon have subcontract delivery drivers and vans?

https://www.detroitnews.com/story/b...os/2019/09/19/michigan-ev-startup-rivian-build-electric-vans-amazon/2373507001/

And I presume they're planning on putting the hurts, at least, on FedEx and UPS, if not snuffing them.

 

Isn't Rivian in bed w/ Ford? I'm assuming they're going to leverage some Ford factory space to build these.

 

Rivian purchased the old Mitsu plant in Normal, IL.

 

Ford is an investor in Rivian but they are developing a Lincoln together. Ford does have electric Transit BEV on the way which is not related to Rivian. I don't think Ford is involved here, but it would seem an obvious partnership.

 

Ford also is in cooperation with DHL to build the Work XL, an BEV transporter based on the Ford Transit.

 

Doesn't Amazon have subcontract delivery drivers and vans?

https://www.detroitnews.com/story/b...os/2019/09/19/michigan-ev-startup-rivian-build-electric-vans-amazon/2373507001/

With an initial investment of as little as $10,000, the company says it can get you leased vans, insurance, gas cards and training to launch your own delivery fleet. The site also promises to be your first – and, possibly, only – customer. A delivery fleet owner with 20 to 40 vans can potentially earn $300,000 a year, Amazon says.

Hi risk/low return, no wonder Amazon is out sourcing it.

 

Just some self interest promotion going on here that's all. Another start up that has to learn how to be a volume vehicle manufacturer, what could go wrong?

 

Other than just about everything, just about nothing. Easy button.

 

Hope it turns out well, because I'd rather an American company gets that contract than a foreign one.

 

Like FCA, or were you talking about GM?

It’s genius on Amazons part, they invest 700 million in a company, that looks to have a great product. Amazon wants to look green, so why not place a order with a company you have invested in. Rivian looks to have a great product, and how hard can it be to put a electric motor and battery pack into a box. It’s much easier than building a new car with a ICE motor, complicated transmission with hundreds of parts and cooling system, gas tank and so on. Plus the big key is that they will get back 750 million in taxes on the 100k vans they buy. Rivian has the full tax credit available for their first 200k customers. This is a win, win, win for both. I wish them all the success in the world.

Hang-tight, he's going to spend 4~5 billion to get 750 million tax credit; are you one of those guys that thinks you are winning by saving 25 cents in taxes, for paying a $1.00 in interest?



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To all of you that are getting worked-up about 100K, I think you'll find this interesting.



"The first batch of vans is expected to hit U.S. roadways by 2021, with 10,000 on the road by late 2022, said Rivian spokeswoman Amy Mast. All 100,000 are to be operating in Amazon's fleet by 2030."




Fuzzy-math we are talking about 10,000 vans a year?

I question if some of the early-years units will still be on the road?..............

 

I remember the Bright IDEA vans. It was right idea but market may never was mature to give this big order.
Now look, the guys who dont have a van gets the order. Times are crazy .

 

Indeed. This is truly The Age of Insanity. Even crazier, insanity is contagious, like mob rule, being spread electronically.

 

It’s genius on Amazons part, they invest 700 million in a company, that looks to have a great product. Amazon wants to look green, so why not place a order with a company you have invested in. Rivian looks to have a great product, and how hard can it be to put a electric motor and battery pack into a box. It’s much easier than building a new car with a ICE motor, complicated transmission with hundreds of parts and cooling system, gas tank and so on. Plus the big key is that they will get back 750 million in taxes on the 100k vans they buy. Rivian has the full tax credit available for their first 200k customers. This is a win, win, win for both. I wish them all the success in the world.

 

To add to the positives......this move will help to greatly increase the value of the amazon's $700 million investment. When it's all said and done, these 100k vehicles may be close to free for amazon.

 

So once again, Amazon scams the tax man. Clever, you and I pay, Bezos buys another yacht. As to how easy it is to make a van. I assume it has to pass crash tests, not have water build up in bumpers that cause them to fall off, lights that properly illuminate the road, ... Not having an ICE only solves a few problems. Cars today are much more that what they were in the 60's.

 

What's the bet that now Rivian and Ford are in bed, the vans will be
Transit based and use a rear compartment set out to Amazon specifications.

I kinda suspect that this whole thing has been set up to suit Ford and Amazon
but equally, Rivian get a big leg up and guaranteed supply contracts that run
years in front.

 

You know they'll probably just build a few hundred trucks then sell off their Ev credits to GM or Tesla.

 

They gotta produce MANY to accrue enough ZEV credits to be truly valuable.