Rivian launches "ALSO" micromobility EV startup for e-bikes, scooters, other small electric vehicles

[TexasBob]

This out this morning: Rivian (significant minority shareholder) launching "a new electric micromobility company that spun out of Rivian and aims to release a flagship product by 2026 that isn't a car, but will help city-dwellers get around in other ways. "

I'm sure this will be a real enhancement to Rivian's prospects for future success. (eye roll)

Article
https://insideevs.com/news/754567/also-rivian-scooter-mobility/

Press Release
https://ridealso.com/news

Sponsored

 

[COdogman]

 

[Dark-Fx]

This out this morning: Rivian (significant minority shareholder) launching "a new electric micromobility company that spun out of Rivian and aims to release a flagship product by 2026 that isn't a car, but will help city-dwellers get around in other ways. "

I'm sure this will be a real enhancement to Rivian's prospects for future success. (eye roll)

Article
https://insideevs.com/news/754567/also-rivian-scooter-mobility/

Press Release
https://ridealso.com/news

I'd buy a Rivian micromobility device to use while DC charging at poorly placed chargers where amenities are 1/4 mile away or more...

 

[Blueassassin]

Wasn't there talks of them making bikes a long time ago?

 

[mikehmb]

This out this morning: Rivian (significant minority shareholder) launching "a new electric micromobility company that spun out of Rivian and aims to release a flagship product by 2026 that isn't a car, but will help city-dwellers get around in other ways. "

I'm sure this will be a real enhancement to Rivian's prospects for future success. (eye roll)

Article
https://insideevs.com/news/754567/also-rivian-scooter-mobility/

Press Release
https://ridealso.com/news

A spinout is just that - spun out, and a lot less of an eye roll than people understand.

What often happens in companies, even newish ones like Rivian, is that someone gets put on a project, it gets moderate funding and some traction, but languishes. Corporate HQ realizes there's value in the asset, so rather than shut it down, they spin it out into a NewCo.

I have done this several times with big corps. It saves them a ton of money and gives the fledgling NewCo a shot at success. It also gives potential upside to Rivian as a shareholder.

 

[jplblue]

I think it's smart. The spinoff is raising funds separately, and it could turn out to be a low-risk gamble. Also, I see these things in the city -- I'm sure Rivian's fleet solution would be an upgrade.

 

[Killer95Stang]

Sign me up for one of the Rivian Micro mobility bikes...

 

[TexasBob]

A spinout is just that - spun out, and a lot less of an eye roll than people understand.

What often happens in companies, even newish ones like Rivian, is that someone gets put on a project, it gets moderate funding and some traction, but languishes. Corporate HQ realizes there's value in the asset, so rather than shut it down, they spin it out into a NewCo.

I have done this several times with big corps. It saves them a ton of money and gives the fledgling NewCo a shot at success. It also gives potential upside to Rivian as a shareholder.

I have done the same, but not at a company as fragile as Rivian. The test for me will be to see the management and funding architecture. If it is real third party capital that is funding this and it is independent (not seconded) staff and management that does not pull critical resources out of Rivian, it is a minimal distraction. I doubt both of those things since they involve giving up too much.

RJ has full information and I do not have enough to pass judgement on the wisdom of this beyond observing the obvious: Rivian needs high volume, profitable models in the market and its new model launch process is very, very slow versus global competitors. It is significantly behind on ADAS and it is short on cash.

 

[Zoidz]

A spinout is just that - spun out, and a lot less of an eye roll than people understand.

What often happens in companies, even newish ones like Rivian, is that someone gets put on a project, it gets moderate funding and some traction, but languishes. Corporate HQ realizes there's value in the asset, so rather than shut it down, they spin it out into a NewCo.

I have done this several times with big corps. It saves them a ton of money and gives the fledgling NewCo a shot at success. It also gives potential upside to Rivian as a shareholder.

Agree. RJ recognized that spinning out was the right thing to do for multiple reasons. Regardless, there will be critics who think they know better than RJ what he should be doing.

 

[Riviot]

I'm still waiting on my Inder electric bass boat

 

[SSteveEV]

Speeeeed!

 

[PBRAZ]

I have done the same, but not at a company as fragile as Rivian. The test for me will be to see the management and funding architecture. If it is real third party capital that is funding this and it is independent (not seconded) staff and management that does not pull critical resources out of Rivian, it is a minimal distraction. I doubt both of those things since they involve giving up too much.

RJ has full information and I do not have enough to pass judgement on the wisdom of this beyond observing the obvious: Rivian needs high volume, profitable models in the market and its new model launch process is very, very slow versus global competitors. It is significantly behind on ADAS and it is short on cash.

Full agreement here. I think as a feel-good side project it's fine. But what disruption is hoped for here? Golf carts? Scooters? Segways? Inter-city transportation is a highly competitive category, and certainly not ones investors will get excited about. Although, one of the pictures on social media is of water. Maybe we'll see an R1B(oat)?

I too will reserve final judgement until I see what's planned. But unless these things fly (or float), I have some doubts.

 

[SSteveEV]

I'd buy a Rivian micromobility device to use while DC charging at poorly placed chargers where amenities are 1/4 mile away or more...

I struggled with that placement too and bought this at deep discount a couple years ago. Only scooter at the time that fit well in the gear tunnel.
https://store.segway.com/ninebot-kickscooter-air-t15
$670 on Amazon but think I got mine for around $300. Not perfect but was just what I wanted to upgrade from my 20+ year old razor scooter.

 

[narmstrong79]

Seams like a lack of focus, all hands should be on hitting R2 targets and advancing R3. The bike scooter space is pretty well occupied, and if the market for that was to go, players in this space can scale up quicker and a lot of stuff could get imported from China. Also, ALSO seems like a better fit for Aptera than Rivian.

 

[savethemanual]

I'd love an E-Scooter that has oversized tires and the power to get off the beaten path.

Sponsored