Longreach
Well-Known Member
And therein lies the problemā¦ selling 30k/year is not sufficient to justify the valuation by any stretch of the imagination.They will have much more competition for their R2 products (just a naturally more competitive part of the market), but they have little to no competition or threat to selling 30k/year each of the R1's for the foreseeable future, which is all they aspire/have the capacity to do.
You may be right about the preference for a mid size truck, but how long do you think it will take for the people who already build mid size trucks to built a functional equivalent at scale with a corresponding price. There is no barrier.
As for R2, by the time it arrives the market will be filled with comparable vehicles, some that will be entering their 3rd year of production, again built by companies with scale. At best, Rivian will be a niche offering which will not justify the valuation.
Sponsored