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Understanding the Relationship Between Rivian and Ford

At present the partnership between Ford and Rivian appears to have dissipated, but the potential for future collaborations remains uncertain.

Understanding the Relationship Between Rivian and Ford

Rivian, the electric vehicle (EV) startup making waves in the automotive industry, has often been linked with Ford, prompting inquiries about the nature of their relationship. Speculations and discussions about ownership have circulated, but the truth behind this affiliation is more nuanced than a straightforward acquisition.


Initially investing $500 million in Rivian back in 2019, Ford held a minority stake. The investment has facilitated collaboration between the two companies, showcasing a symbiotic relationship that aims to leverage each other's strengths. While Ford has a rich history and extensive expertise in traditional automotive manufacturing and distribution, Rivian stands out for its innovative approach to electric trucks and SUVs, incorporating advanced technology and sustainable design principles.

Despite Ford's minority stake, Rivian operates independently, retaining its unique identity and control over its operations, designs, and strategic decisions. This autonomy allows Rivian to pursue its vision while benefiting from the financial support and potential synergies with Ford.

The recent developments highlight the evolution of their relationship. By the end of 2022, Ford made a strategic move, selling approximately 90 percent of its stake in Rivian for $3 billion. This sale represented a significant profit compared to Ford's initial investment of $500 million, which underlines the remarkable growth and potential that Rivian has demonstrated in the electric vehicle market.

The decision to divest a substantial portion of its stake in Rivian could be part of Ford's broader financial strategy or a strategic reallocation of resources within its electric vehicle portfolio. Despite reducing its stake, Ford's ongoing minority interest in Rivian signifies an ongoing relationship between the two companies. While the extent of their collaboration might change following this divestiture, Ford's continued involvement could potentially include partnerships on specific projects or technology-sharing initiatives.

Collaboration Explained

The collaboration between Rivian and Ford extends beyond financial investment. In addition to the capital infusion, the companies announced plans to co-develop a new electric vehicle using Rivian's flexible skateboard platform, a modular chassis that houses the battery pack and electric drivetrain.

Ford intended to utilize Rivian's electric platform for its own branded EVs, including the F-150 Lightning and the Mustang Mach-E. However, in April 2020, Ford announced a pivot away from using Rivian's skateboard platform for its vehicles, citing a decision to focus its development efforts differently.

However, the decision to halt this collaborative project suggests a shift in priorities or strategic directions for both Ford and Rivian. While the specifics behind the decision to cease the joint development are not always publicly disclosed, shifts in market conditions, changes in company strategies, or differing priorities could contribute to such alterations in collaborative endeavors.

The automotive industry is highly competitive and rapidly evolving, characterized by technological advancements, changing consumer preferences, and regulatory shifts. Such dynamics often lead companies to reevaluate their partnerships and projects to align with their evolving objectives and market conditions.

Despite discontinuing their joint development plans, Ford's continued minority stake in Rivian signals an ongoing relationship between the two companies, albeit in a different capacity. While the co-development project might have been put on hold or canceled, the broader partnership between Ford and Rivian may still involve other forms of collaboration, technology sharing, or strategic initiatives in the electric vehicle space.

In conclusion

While Ford does not outrightly own Rivian, its minority stake in the company represents a strategic investment, fostering collaboration and mutual growth opportunities. At present the partnership between Ford and Rivian appears to have dissipated, but the potential for future collaborations remains uncertain. However, both companies are now charting their own courses in the competitive electric vehicle market, aiming to navigate challenges and realize their respective visions.

As developments in the automotive industry continue, the strategic decisions made by both Ford and Rivian will likely shape their trajectories and contributions to the evolving landscape of electric mobility.

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