Report: VW forms task force to deal with Rivian software JV partnership disagreements & delays

[Katsudon]

Report: https://eletric-vehicles.com/rivian...-rivian-software-alliance-falls-short-report/

Volkswagen Forms Task Force as Rivian Software Alliance Falls Short: Report

January 23, 2026

Volkswagen‘s software alliance with US EV maker Rivian is falling short of expectations, prompting the German automaker to assemble a task force as delays mount across key vehicle programs.

“Volkswagen CEO Oliver Blume has made the software alliance with Rivian a central priority. But the Americans are delivering less than expected,” the German outlet Manager Magazine reported Thursday.

“Concern is growing particularly at subsidiary Audi about a further setback,” the report added.

The partnership, announced in June 2024 with an initial $1 billion investment from Volkswagen later expanded to up to $5.8 billion, aimed to leverage Rivian‘s expertise in vehicle software architecture to overhaul digital systems across Volkswagen‘s brands including Audi, Porsche, and the main Volkswagen marque.

However, Rivian is delivering less than anticipated, leading to integration difficulties and pushing back several model launches, according to the report.

Software Mismatch

Central to the challenges is a mismatch between Rivian‘s software, which is tailored for pure battery-electric vehicles, and Volkswagen’s broader portfolio that may continue to include combustion engine and hybrid models longer than originally planned, according to Manager Magazine.

This has compelled Volkswagen to sustain operations at its in-house software unit Cariad GmbH at additional cost running into billions of euros, the report said.

Cariad, established in 2020, has been plagued by development setbacks that contributed to delays in models including the Porsche Macan EV and Audi Q6 e-tron.

Customization Tensions

Internal tensions have emerged over software customization, according to the report.

Rivian favors a standardized platform to streamline development and reduce complexity, while Volkswagen’s premium brands — particularly Audi and Porsche — are pushing for greater flexibility to incorporate brand-specific features and user interfaces.

The disagreements have prompted crisis meetings, including sessions involving Rivian Chief Executive Officer RJ Scaringe, to reorganize project plans, Manager Magazine reported.

Model Delays

Specific vehicle programs affected include Audi’s refreshed Q8 e-tron SUV and the successor to the electric A4 sedan, both now delayed until 2028, and Porsche’s flagship K1 large SUV, which has been postponed indefinitely, according to the report.

The setbacks echo Volkswagen’s historical struggles with software development, which have drawn scrutiny from investors and analysts.

Blume has publicly championed the Rivian partnership as transformational, but the current hurdles have fueled concerns about the company’s competitive position against Tesla Inc. and Chinese rivals.

The company has said the joint venture remains on track for initial deliverables but declined to comment on specific delays. Rivian did not immediately respond to a request for comment.

Lincensing

Last November, Rivian’s Software Chief, Wassym Bensaid — who is also co-CEO of its joint venture with Volkswagen Group — said the companies could license its software to other automakers.

The executive said that the tech stack jointly developed by the two automakers “could become basically an opportunity for a standard technology stack that others can use as well.”

Bensaid believes RV Tech’s software could become the Android of cars — a standard “reference operating system” that other automakers could use as the foundation for their own technology stacks.

Rivian and VW Group Technologies

In late 2024, the two automakers formalized their partnership, with the German company committing an investment of up to $5.8 billion in the US EV maker.

In turn, Volkswagen adopts Rivian‘s zonal architecture and software stack for its future electric vehicles.

The Scalable Systems Platform (SSP) is expected to be used on up to 30 million vehicles across multiple brands and price segments of the Group.

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[Donald Stanfield]

Hopefully, R2 does well.

 

[kenyee]

pushing for greater flexibility to incorporate brand-specific features and user interfaces.

Would be curious what they want but we'll probably never find out.

VW wanting to use this for gas cars seems odd...the Scout is an EREV so that should be ok.

 

[Dark-Fx]

I really wonder how they are going to tackle the vampire drain issues for ICE vehicles. You can't just abuse a HV battery that doesn't exist.

 

[kurtlikevonnegut]

This smells like inside baseball.

Sounds like some execs at VW who weren't happy with the move have the knives out. Similar to the report from a few months back about difficulties in the JV which were also focused on the inclusion of ICE vehicles.

I also thought that it was announced that the small new VW would be the first of their vehicles to feature a JV software stack so I don't really understand how they are saying this is the driving factor in delaying several Audi vehicles.

 

[Zoidz]

I can't help but wonder if there is a "systemic" problem at VW regarding their approach to EVs. It's well know they struggled and had poor results with thier own software development. Is Rivian not delivering, or are VW's expectations and/or timeline unrealistic?

 

[savethemanual]

Sounds like too many cooks in the kitchen (VW Brands). This JV was a huge lifeline for Rivian, I hope it works out for them...and VW!

 

[Nixapatfan]

Sounds like VW is tired of hearing s00n too often.

 

[mkhuffman]

There is definitely more to this story that we don't know.

But it is reasonable that Rivian would want to keep a standard configuration, and all the VW brands would want something unique. Seems like the JV negotiators would have thought about this.

 

[skyguyscott]

This would be challenging under the best of circumstances. Consider:

Cultural, linguistic and time zone differences are always hurdles and sources of friction, but add to that the generational differences (comfort with tech, history, priorities, industry perspectives, world views) between the principal drivers, and the corporate cultural differences between a silicon valley start-up and a storied German brand(s) -- that evidently have differences among themselves -- and you have a very challenging (to put it delicately!) recipe for all kinds of snafus.

Then the article touches on the different goal posts the German brands have, and how they want the flexibility to move them, and it's no wonder VW threw up it's hands and looked to outside third parties for help (and/or for someone to blame, in this eyes of their customers, share-holders and labor force).

When the internal disagreements get to the point requiring "crisis meetings" involving the CEOs (!), that is one or two steps short of winding down the collaboration. (And it's not like RJ has nothing else on his plate)

I would not want to be in Rivian's position here. Not saying it's a no-win situation, but odds are long. Sometimes the "help" or payment you get for your efforts isn't worth it in the long run, but sometimes you don't have much choice. (Hey, I was young, homeless and starving...) But maybe, if they can reign in egos, lower temperatures, and focus, arrive at disappointing but agreeable compromises they can craft admirable solutions.

 

[COdogman]

Amazing how VW has been dysfunctional trash for decades but it’s Rivian’s fault it’s not all fixed in 1 year

 

[Rade]

I don't get this. All, and I mean ALL I hear about is how VW is in dire financial straits. Layoffs in the European plants, plant closings, consolidating product lines, etc. Where in the Hell are they getting all these billions of dollars from?

 

[Doc]

I think the biggest problem is....they (VW) are trying to extend their I.C. business by continuing with hybrids/EREV's/etc. Rivian was always planning on developing software for pure EVs and VW threw a curveball by changing intentions after the JV was formed. Sort of like the change of administrations here in the US did away with the push for EV adoption and allowed US manufacturers to extend their focus on I.C. vehicles. Ford, GM, etc. have been taking huge write offs of their EV investments to continue focusing on traditional gas vehicles. VW is trying to hang on to the I.C. portion of their business as long as they can. This means delaying new models of EVs. The problem is....they want software that can "run" all sorts of brand specific features in their current models, but Rivian is developing a "generic" software stack that can be adopted by all sorts of manufacturers. Trying to have different software features for all the different VW brands (Porshe, VW, Skoda, Audi, etc., etc.) is part of what got CARAID into trouble. Things change in the world.......

 

[Gen(R3)Xer]

Uh-oh. Sounds like this relationship is headed south. I don’t know the exact wording of their agreement, but if it says something like this

“Volkswagen adopts Rivian‘s zonal architecture and software stack for its future electric vehicles.”

Then I don’t think VW can force Rivian to create software to support ICE vehicles or even hybrids. It’s currently against Rivian’s core ethos.

 

[DuoRivian]

I don't get this. All, and I mean ALL I hear about is how VW is in dire financial straits. Layoffs in the European plants, plant closings, consolidating product lines, etc. Where in the Hell are they getting all these billions of dollars from?

VW is profitable but wants to maintain that so the are cutting spending and factories including in Germany.

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