Rivian Lays Off Hundreds Amid R2 Deliveries
Rivian, the electric vehicle maker, has laid off hundreds of workers, less than 2% of its workforce, just a week after launching R2 deliveries. The company is trying to narrow losses and become profitable, but has yet to turn an annual profit.
Key points
- Rivian laid off hundreds of workers, less than 2% of its workforce, in service and customer segments.
- The layoffs come a week after R2 deliveries began, with Rivian targeting 20,000 to 25,000 R2 deliveries this year.
- Rivian has never turned an annual profit, with losses totaling around $30 billion to date.
- The company is working to develop autonomous vehicle technology, but has yet to demonstrate its capabilities.
- Rivian's profitability goal has been pushed back to 2027 due to increased spending on autonomous technology.
Rivian, the electric vehicle maker, has laid off hundreds of workers as it continues to try and become profitable. The company, which has never turned an annual profit, is targeting 20,000 to 25,000 R2 deliveries this year, but has yet to demonstrate its capabilities in autonomous vehicle technology.
The layoffs, which affect less than 2% of Rivian's workforce, come just a week after the company launched R2 deliveries. Rivian's profitability goal has been pushed back to 2027 due to increased spending on autonomous technology.
Rivian has accumulated losses of around $30 billion to date, and is working to develop autonomous vehicle technology to become a mainstream competitor to Tesla. However, the company has yet to demonstrate its capabilities in this area, and has instead focused on developing a hands-off, eyes-on-the-road feature.
The layoffs are the latest in a series of cost-cutting measures taken by Rivian, which has cut more than 600 workers in the past year. The company is looking to boost efficiency and become profitable, but the road ahead remains uncertain.
Sources
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