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Ford EV Partner VW Forms Joint Venture With Rivian

It was just a few years ago when Ford was a major investor in Rivian as The Blue Oval funneled large amounts of cash in the then-upstart maker of EVs with intentions of using its Skateboard platform to underpin a future model of its own. Things quickly changed, however, and Ford pivoted to developing its own platforms while also utilizing Volkswagen’s MEB architecture in two European models, all while selling off most of its stake in Rivian. However, VW is now stepping in to somewhat fill that void left by Ford’s exit from its partnership with Rivian, shortly after an expected deal with Mercedes-Benz to jointly produce EV vans fell through.

Volkswagen ID.3 - Exterior 003 - Side

Volkswagen and Rivian have announced that the two automakers will be creating a joint venture together to create next generation EV platforms, which will then be used in future electric vehicles from both brands. The motivating force behind this move is to accelerate the development of software as well, leaning on the strengths of both companies and lowering the effective costs associated with these developmental tasks.

In the short term, Volkswagen will utilize Rivian’s existing electrical architecture and software platform in its own future EVs, and will also make a $5 billion dollar investment in that company as well. That investment will begin with a $1 billion infusion made via an unsecured convertible note that will convert into Rivian common stock this coming December, followed by an addition $4 billion dollar infusion of cash at a later date. The joint-venture is also expected to be operational by Q4 2024, pending regulatory approval.

Rivian R2 - Exterior 002 - Front Three Quarters

In the meantime, Ford and Volkswagen continue to work together as part of a partnership agreement that the two formed back in 2020. That partnership is expected to continue to grow moving forward as well, though for now at least, it’s unclear if The Blue Oval will continue to utilize VW’s MEB platform in additional future models.

We’ll have more on this joint venture soon, so be sure and subscribe to Ford Authority for 24/7 Ford news coverage.

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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Comment

  1. Boomer

    Wholly Molly. Hopefully Rivians Software / IT person who runs RIVIANS software / OTA updates takes over FORDS IDIOT that can’t get nothing done with proper OTA UPDATING!!! We own a 2022 F-150 with Blue Cruise that is just Useless unless you are going unobstructed in a Straight LINE!!! Otherwise it’s just not Usable!!! It’s a JOKE!!! And ford has 3 new updates that it refuses to pass along to it existing customer’s / Owners???? W H Y F O R D???? W H Y???

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