Does the R2 actually kill Rivian?

[s4wrxttcs]

I don't believe that you have as many people in the wrong EV as you did back in the days of the Model S before the Model 3 was released.

So I don't think by introducing the R2 that it in any shape or form kills the R1.

The R1T was never going to be a massive sales success. It's a vehicle that it's a bit niche.

The R1S on the other hand is very much a sales success, and any short term demand issue is due to market conditions. That isn't to say there isn't things they could do like offering captains chairs with 2 rows for people who don't need 3 rows.

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[Khaos]

What you just described is demand going down.

Exactly, people are so in love with Rivian (as am I) and have blinders on and don't realize it's happening across the entire industry for premium priced vehicles. Demand is down. That's why Tesla slashed prices so aggressively. I literally have a friend of mine who picked up a Y last month and his exact quote was "if they hadn't dropped prices, i wouldn't have bought it, it never was an option for me."

It's a reality. Rates are up, it's not helping. I've said this in several threads that Rivian needs to drop of the price of the R1 to move units and get the volume up, it's just the nature of the beast. They will technically lose more per car in the short term of course because Rivian is still losing on each additional car they sell, but hopefully that improves with the production line updates.

 

[TexasBob]

It’s a valid question, but I think it’s pretty simple actually: If the R2 is popular Rivian will have no problem raising money to get it built.

Tesla models 3, Y coming into existence did not kill Tesla. They still sold the S, X even though numbers were less, but that has been the plan all along for Rivian. Most manufacturers start with their “halo” model(s) and then offer more affordable options later.

Tesla continued to see accelerated S / X deliveries following the Model 3 reveal.:

2015 S/X = 51k
2016 S/X = 84k
2017 S/X = 101k
2018 S/X = 99k

S/X sales started dropping off in 2019. For now, it should give Rivian additional visibility and help sales.

 

[Rivdog]

Most people who can afford an R1 and want one aren’t gonna wait another 2+ years. A small percentage might, but the vast majority are still gonna buy the R1 and consider a trade when an R2 is available

 

[lefkonj]

Did the Boxster kill 911 sales? Nope. Did the A5 kill A7 says for Audi? Nope. This is normal for an auto manufacturer. There will be a R2 for 50k but it won't be anything like a R1S, a fully loaded R2 will be in the low 60s close to a low end R1, which is totally normal. Buyers for R1 are R1 buyers, R2 buyers will be someone looking for something smaller and will probably be new to the brand.

 

[s4wrxttcs]

Lots of things could happen. Asteroid strike wiping out humanity, for example.

But, at the same time humans are 99.9% more likely to suffer the consequence of their own actions.

Like sure I might die from a lightning strike, but its almost certain that there are only so many donuts that one can eat in their lifetime.

The only guarantee in life is consumers are going to consume until they have nothing left to consume.

 

[emoore]

If this is accurate, it's four inches shorter than the 4-door Bronco... good size!

330 mi range is going to need a 100kWh battery (assuming 3.3mi/kWh), for $47K that's a great offer if true.

I doubt the 330 mile range R2 will be $47k. Probably closer to $55k

 

[bummin]

Capitalism, build it and they will come. If most existing owners were are concerned about Rivian surviving and not burning cash, we should have accepted the March price increase as a necessary evil to ensure a companies success.

Every auto mfg has been on the edge of bankruptcy at one point, many more than once. I say be positive and do what you can to support Rivian either by purchases, good reviews, and general word of mouth. I get only horrific news sells and gets clicks, I choose to roll the dice and help keep them going with future purchases and positive comments about the product and company.

 

[Count Orlok]

given the delivery time for my R1S I look forward to taking delivery of my R2 in 2030.

 

[NY_Rob]

I doubt the 330 mile range R2 will be $47k. Probably closer to $55k

Yeah, 330mi range will require at least a 100kWh battery in a 4-door SUV shaped vehicle. I doubt they can deliver that for $47K.

 

[Rividiculous]

Seems like every time you turn around, there’s another Rivian doomsayer you’re gonna hear. (Apologies to Bob Dylan.)

Having a more robust product offering is a good thing. Of course they will cannibalize some R1S sales with the R2, but they are going to steal a lot more sales from the Model Y. (That may be why Elon is trying to raise doubts about Rivian these days.)

Further, the R1S will remain the choice for folks needing a THIRD ROW or extra space. And here in ‘Murica, there will still be plenty of takers for big. (Embarrassingly, I’m going with the R1S for the third row because of kids. I generally like smaller vehicles.)

And keep the focus on the long game. Next time gas prices spike, you can bet EV inventories will disappear.

 

[KRG]

The R2 peaked my interest in Rivian. I’ve never been a truck guy and thought the R1 was too big for my needs (I’ve always preferred smaller, sportier crossovers). The excitement building over the R2 drove me to test drive the R1 just for fun, then I bought an R1T which I NEVER would’ve expected. So who knows. I think it’ll definitely drive interest across the board for a while.

 

[srkz]

Until Ford comes out with an electric Maverick, or Toyota an electric Taco the R1T is still the only reasonably-sized electric pickup truck on the market, and the only one you can buy right now without a huge delay or having to deal with the greed, markups, and shady business practices of dealership hucksters. Yes, the bed is small, but it's still a bed. I can still bring an old water heater to the dump in it, I can still pick up a load of topsoil and mulch, etc. etc.

Demand is softening across the entire EV industry because of interest rates and inflation, it's got nothing to do with people changing their opinion on the vehicles.

 

[runwithscissors]

Nah, FUDsters like you can't kill Rivian either. Rivian's numbers don't look great today but that's ignoring their upcoming cost reductions through the retools happening this year. Rivian is dropping the Bosch quad for in house motors with more power and significantly better margins.

People like me are going to trade in Launch R1 vehicles for another sale. Since Rivian contracts out trade-in resale, they don't really need to worry about the used inventory.

You'll potentially trade Launch R1 for R2? State taxes make it painful to keep buying/selling expensive but depreciating toys.

 

[sevengroove]

- The R2 announcement is going to connect with new buyers. Some of them may decide to buy an R1 now instead of an R2 in 2026.

I think this point is underrated. There are going to be buyers who might not want to wait until 2026 for their next vehicle and timing could stipulate they need one now. If they're sold on Rivian as a brand, they could pick up an R1 from the shop right now to tide them by. Especially if Rivian offers 2-year lease terms on R1s? That's a pretty compelling proposition.

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