Rivian is expanding its electric commercial van business, making its vehicles available to any company with a fleet. The move marks the end of an exclusive deal with Amazon, opening up the market for the EV manufacturer.
For several years, Rivian’s electric vans were solely available to Amazon. However, that exclusive agreement has concluded. Now, any business can purchase the platform on which Amazon based its delivery fleet.
In 2019, Amazon agreed to purchase 100,000 Rivian vans as part of a deal that included a $1 billion investment in the startup. Under the original terms, Rivian was obligated to sell its vans exclusively to Amazon.
That exclusive relationship ended prematurely in November 2023. Amazon ultimately acquired approximately 20,000 vans, or about 20 percent of the original commitment. The e-commerce giant still plans to fulfill the full purchase order, and Amazon remains Rivian’s largest shareholder, with an estimated 17% stake in the company.
Rivian is now selling its vans to all commercial fleets, regardless of size, from single-van buyers up to those requiring thousands of vehicles. However, personal use is not permitted. The vans are available in two sizes and price points: the RCV 500 starting at $79,900 and the RCV 700 at $83,900.
Tom Solomon, senior director of business development at Rivian, stated, “Over the last year we have been focusing our efforts on testing with some larger fleets, and we’re really pleased with how those trials have gone. As a result, we’re excited to now be able to open sales to fleets of all sizes in the US, whether they want 1 van or thousands.”
The electric van market has seen shifts recently. General Motors temporarily discontinued its BrightDrop electric commercial vehicle business before reabsorbing it. Ford has had success with its E-Transit vans, selling 12,610 units in 2024, a 64 percent increase from 2023. Mercedes-Benz also revealed its eSprinter van in 2023, with deliveries scheduled to begin later this year.
Expanding its customer base could benefit Rivian’s financial position, which has been somewhat unstable. The electric vans generally provide better profit margins compared to the company’s R1T and R1S vehicles. Rivian also intends to offer subscriptions to the vans’ software features, which could enhance its long-term value.
Update February 11th: Amazon and Rivian’s exclusive partnership ended, but the e-commerce company still plans to complete its full order of vans.
