Ford invested $500 million in electric truck maker Rivian to build a new battery-powered electric vehicle for the Detroit manufacturer, the companies announced Wednesday.
The news comes just months after Rivian revealed two new products, an all-electric pickup and SUV, that analysts say could rival established truck manufacturers like General Motors and Ford. Industry executives even see it as real competition for electric car maker Tesla and its SUV and new crossover: the Model X and Model Y.
“This strategic partnership marks another key milestone in our drive to accelerate the transition to sustainable mobility,” said RJ Scaringe, Rivian founder and CEO. “Ford has a long-standing commitment to sustainability, with Bill Ford being one of the industry’s earliest advocates, and we are excited to use our technology to get more electric vehicles on the road.”