A Morgan Stanley analyst claims that electric start-up Rivian could soon end Tesla’s dominance in the EV market.
Analyst Adam Jones speculates that despite Rivian only being a new player to the world of electric vehicles, it has an advantage over establish OEMs by being able to start with a clean sheet of paper for all its future products.
Rivian will be “the next serious competition from a ‘clean sheet’ start-up with access to talent & capital focused on the fastest growing segments of pickup trucks & SUVs,” Jones told CNBC.
“We believe companies like Rivian will take elevated importance in investors’ minds as EVs become the focus of OEM investment and strategy.”
Rivian has so far shown off two prototype vehicles which it intends on producing in the coming years. The first of these is the Rivian R1S, a seven-seat passenger SUV with a range exceeding 400 miles (643 km). Whereas the R1S will have to compete with a plethora of other electric SUVs when it launches, Rivian’s second model will have much of the market to itself.
This second model is the R1T and it’s an all-electric pickup truck. Like the R1S, it has roughly 400 miles of range and thanks to four individual electric motors, also has all-wheel drive. It will allegedly reach 60 mph (96 km/h) in three seconds and tow up to 11,000 lbs (5000 kg). Rivian better be quick bringing the R1T to market as Tesla chief executive Elon Musk says his company is working on its own electric pickup truck.