Your take makes sense if you're talking about high trim special edition R2. Dune is R1 and born of flagship model line. Demographic of this six figure segment is less affected by economic gyrations and lower priced segments.
that's a nice thesis, but the evidence of a limited trim R1 - more than one in fact - sitting in the shop indicates that there are not enough buyers
It's fact not a thesis. There is a reason Rivian is doing everything they can to keep R2 launch on track. R2 is the volume product. R1 was never meant to be a high volume seller. Rivian knows this. Everyone else knows this. You clearly don't have a handle on this fundamental fact and product positioning. Dune is a numbers limited special edition, its financial impact is not as great as you make it to be. It's also not a costly special edition to make. It's mostly packaging. Different paint. Different wheels. Different colorways for interior. Different material for floors. Costs (and profit margins) all figured and decided when Rivian secured orders with their suppliers. And despite slowing demand, which also is not as big of a problem as you make it to be, Rivian's gross margin is better in Q2 than Q1. Your opinion is just that and contrary to facts.
Mid-size CUV/SUV outsell everything else in the entire auto space. Even if a cheaper R1 doesn't impact resale of air-sprung R1s, it's utterly foolish to siphon resources away from R2 to make it happen. Some of you consistently cast doubt over Rivian's sustainability. Insisting Rivian should do things that jeopardize R2 launch would certainly fulfill that prophecy... especially at a time when lots of Tesla owners and would-be owners are looking for like-sized alternatives.
Depreciation isn't just about resale—it's about perceived value shifts. In Rivian’s case, the real depreciation event was the dilution of the Quad-Motor R1 “halo” status when the dual-motor variant launched. Dropping air suspension to enable a 7-seat R1S or lower-priced R1T is a cost-management move, not a market disruptor. It has no meaningful correlation to the positioning of a $45K R2 5 seater.
Rivian certainly expected more than 35-40k R1s sold a year after four years when they touted upto 85k capacity at Normal for this specific model line.
Just went through this, pulling the trigger on the order today.
Agreed, a coil sprung R1S/T changes the used value of air suspension variants by exactly zero - just as it does for various Land Rover models. BUT it might lead to lower entry points and, hopefully, better suspension performance as the current Gen 2 air suspension is quite poor on any road with 45+mph limits and some ruts/grooves/patches. It's literally jumping all over the place and can't track straight.
We've had our Dune R1S for 2 months. I confess that I seriously love it. I prefer driving it to my R1T (which has been awesome) and steal it from my wife whenever the opportunity arises. I love the interior, love the exterior and especially the color match wheels, love the way it does not show dirt, love the performance, even love the electrochromic roof which I thought was completely stupid but is awesome.
Congrats champ! Happy delivery day!
