Adam Jones, Global Auto Analyst at Morgan Stanley, warned that the production of an electric vehicle by either Tesla or Rivian could be bad news for traditional car makers in Detroit. Why? This wildly profitable segment of the vehicle industry is one that auto companies don't mess around with.
AMAZON PLUNKS DOWN MAJOR CASH TO INVEST IN TESLA COMPETITOR RIVIAN
As CCN reported, Amazon led a $700 million funding round in Tesla rival Rivian Automotive LLC. According to the reports, while GM wasn't included in the round as previously speculated, analysts expect the automaker to inject funds into Rivian in the future.
Speaking on the funding round, Rivian CEO RJ Scaringe remarked:
"Beyond simply eliminating compromises that exist around performance, capability and efficiency, we are working to drive innovation across the entire customer experience. Delivering on this vision requires the right partners, and we are excited to have Amazon with us on our journey to create products, technology and experiences that reset expectations of what is possible."