Rivian Layoffs Grow

Deeply troubled EV company Rivian, which is almost certainly too small to survive the current downtrend in EV sales, has set another round of layoffs. Shares are down 53% this year, compared to Tesla’s drop of 36% in the same time frame.

EV Market Share –Problems At Ford

As EV sales have slumped, it appears the long-term winners will be Tesla and several Chinese companies led by BYD. Rivian and Lucid are not likely to survive. They also have to contend with the EV efforts of every major manufacturer in the world, which have invested tens of billions of dollars in the sector. While they may never be large players, they have enough money to buy modest market share. 

The EV industry has also become a cutthroat business with regular price cuts. Some EV companies lose money on every vehicle.  Rivian is among these. 

Rivian delivered only 13,588 vehicles in the first quarter, which disappointed Wall Street. It said it would meet its 57,000 vehicle target for 2024, but with the EV market falling apart, that is unlikely.