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Autonomous Driving? That’ll Be $10,000

Rivian’s Initial Public Offering filing to launch themselves onto the stock exchange revealed quite a bit of detail regarding the startup company’s future plans. The IPO revealed financial information regarding net loss and potential revenue that will come in once the company launches its semi-autonomous driving system.

Thanks to InsideEVs, we know a lot more about Rivian than we previously did, including the IPO revealing that there are 48,390 preorders for the R1T and R1S in the US and Canada. We also know that Rivian had a net loss of $994 million within the first half of the year, but that’s to be expected from an automaker that has only just begun to release its product.

Rivian R1T and R1S deliveries are slated to begin in July, marking a big step for the electric vehicle company.
Image Via Rivian

“Vehicle Lifetime Revenue”

The filing hinted at plans to offer a semi-autonomous driving system along with a subscription for connectivity services. Rivian estimates the lifetime revenue potential for consumer and commercial vehicles to be $67,900 and $64,600. Rivian’s SEC S-1 filing reports that $10,000 would comprise the cost of the semi-autonomous driving feature. At the same time, they will offer subscriptions for infotainment and other connectivity-based services, which could be around $5,500 accumulated over ten years per vehicle.

Rivian expects the driverless tech to use the hardware installed within the R1S and R1T’s Driver+ system. Driver+ uses 11 cameras, 12 ultrasonic sensors, a high-precision GPS antenna, and five radars.

It’s hard to tell how long it’ll take Rivian to start turning a profit, but they expect a large chunk of their revenue to come from Amazon Logistics. Rivian is expected to produce up to 100,000 electric delivery vans for Amazon. Production for those vehicles is scheduled to start in December. In addition, whenever the budding automaker releases its driving tech and connectivity subscription, it will generate a considerable amount of income for the company and help them turn a profit.

Rivian R1T R1S electric truck SUV
Photo via Rivian

Written by Zac Quinn

Zac's love for cars started at a young age, after seeing the popular Eleanor from Gone In 60 Seconds. From there, fascination and enthusiasm blossomed and to this day the Ford Mustang remains a favorite. His first job started out detailing cars, but also provided the opportunity to work on restoration including an 1968 Ford Mustang, Pontiac Firebird, and a C3 Corvette, though he left that job before further work and experience could be had. From there, he was a detailer at a car dealership before quitting that job to try and finish college.

Much of his free time while studying was spent watching YouTube videos regarding new cars, or off-roading. 4WD247 is a personal favorite channel which rekindled a dying flame in car enthusiasm, now tailored towards trucks and SUVs and the fun that can be had building up an overlanding rig, and going on adventures, though, that chapter remains unwritten for the time being.

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