RJ: R2 conversion rate is "much higher" than internal expectations

[macb00kemdanno]

"We had our own set of projections as to what we thought the conversion [rate] would be for those Launch variants, and it's meaningfully higher. So the conversion rate is much higher than our own internal expectations, which is fantastic," Scaringe said, adding that the team is excited thinking about what happens when base, mid, and premium trims are added to the mix.

Rivian reaffirmed its full-year delivery guidance range of 65,000 to 70,000. The company lifted the forecast from 62,000 to 67,000 earlier in the month when it announced Q2 deliveries...

With that said, earlier this month Rivian reported it produced 12,613 vehicles at its plant in Normal, Ill., and delivered 12,194 during the quarter, topping its own outlook of 9,000 to 11,000 units.

https://finance.yahoo.com/markets/s...tronger-than-expected-ceo-says-185442823.html

Sponsored

 

[NinjaWrap]

Good, that means the backlog won’t be so bad when RAP1 ships

 

[Eric9610]

What it means is that RAP 1 and Lidar are delayed...

 

[NinjaWrap]

What it means is that RAP 1 and Lidar are delayed...

Not according to RJ
https://www.rivianforums.com/forum/threads/rap1-lidar-still-on-track-for-this-year.62054/

 

[Eric9610]

Not according to RJ
https://www.rivianforums.com/forum/threads/rap1-lidar-still-on-track-for-this-year.62054/

Read the article he points out the global shortage in DRAM, thats a subtle way of saying RAP 1 is delayed.

 

[NinjaWrap]

Read the article he points out the global shortage in DRAM, thats a subtle way of saying RAP 1 is delayed.

So he point blank says it’s still on track but you want to try to assume from other comments that it’s not?

 

[macb00kemdanno]

Read the article he points out the global shortage in DRAM, thats a subtle way of saying RAP 1 is delayed.

Unless the DRAM is on-die with RAP1, why would it really make a difference? And it's not like the current Nvidia (I think) chips don't need DRAM as well. The only problem I could see is if Rivian already had negotiated prices on DRAM for the current crop of R2s, and they're having to pay 5x or 6x more for the chips that will go with RAP1.

Then that would simply be more of a cost issue... which they can pass along.

 

[Eric9610]

So he point blank says it’s still on track but you want to try to assume from other comments that it’s not?

He says "Targeting" not Will launch in the comments you posted... Completely different meaning. He actually said that the DRAM shortage is a big concern. They will not launch a feature if they cant get steady supply

 

[Dark-Fx]

Read the article he points out the global shortage in DRAM, thats a subtle way of saying RAP 1 is delayed.

It's probably a few hundred dollars a car extra. Should Rivian absorb that cost? Maybe. Can they afford to? Probably not at this point. Once they decide to switch over, there's probably not much of a choice.

 

[NinjaWrap]

He says "Targeting" not Will launch

I’m talking about later when he was directly asked

 

[carsly]

expect prices to go up every year anyway. whether they go up $1,000 or $2,000 or $2,500 is the question

 

[macb00kemdanno]

expect prices to go up every year anyway. whether they go up $1,000 or $2,000 or $2,500 is the question

All the more reason to get a Launch Edition

 

[Eric9610]

Also everyone assumes that Autonomy+ will stay at $2,500. I suspect it goes up with the RAP1 to $3,500 or even $4,500.

 

[NinjaWrap]

Also everyone assumes that Autonomy+ will stay at $2,500. I suspect it goes up with the RAP1 to $3,500 or even $4,500.

If they want people to buy it they won’t raise it. That’s a big reason Tesla only has a 15% take rate despite how good FSD is. My wife doesn’t want to add $99 on top of her $395 lease payment on her new Y. I’ve heard many people say the same about price.

 

[Eric9610]

If they want people to buy it they won’t raise it. That’s a big reason Tesla only has a 15% take rate despite how good FSD is. My wife doesn’t want to add $99 on top of her $395 lease payment on her new Y. I’ve heard many people say the same about price.

I think once more features are added the price will go up. Especially for LiDAR equipped cars. FSD was cheap originally then went up to $8k and now is only monthly. I can see incremental increases based on Eyes off capability. I see the price going to $75 a month on lease to recapture the equivalent 1-time price over 36 months and the one-time price going up to $3500.

I don't think the adoption rate is due to price... I think it's due to need and actual value. Once people have a truly reliable safe option and can do P2P in the passenger seat you will see it change.

Sponsored