Volkswagen AG will invest an additional $1 billion into its electric vehicle joint venture with Rivian. The funding follows successful winter testing of the partnership's software-defined vehicle architecture. Volkswagen, Audi, and Scout Motors prototypes all utilized the new software during these trials.
This investment is part of a 2024 agreement potentially worth up to $5.8 billion. Volkswagen plans to use Rivian’s zonal architecture to accelerate its own software development.
The capital provides Rivian with resources to scale production and reach profitability. Rivian expects to receive a further $2 billion from Volkswagen in 2026.