Rivian will provide 50,000 robotaxis to Uber in a deal worth $1.25 billion

Rivian and Uber have entered into a major partnership, with the former to provide the latter with 50,000 robotaxis in a deal worth $1.25 billion in funding. This starts with Uber purchasing 10,000 Rivian R2 robotaxis, which will be deployed in San Francisco and Miami by 2028.

If all goes well, Uber will scoop up 40,000 more robotaxis by 2030. The company plans to scale the initiative to 25 major cities by 2031. The full $1.25 billion investment is contingent on several autonomous milestones, according to a report by Yahoo Finance. However, Uber has already committed $300 million as an initial investment, though this is subject to regulatory approval.

The announcement actually caused Rivian's stock to surge by ten percent before settling down to around four percent. This speaks to optimism surrounding the deal, given that just about every other stock is on the downswing at the moment due to certain geopolitical concerns.

This isn't Uber's only partnership for this type of thing. It's a giant company with robotaxi hands in a number of cookie jars. The rideshare platform recently unveiled its own in-house robotaxi fleet, which is a design partnership with Lucid and Nuro.

It also announced a partnership with NVIDIA to develop software-driven autonomous vehicles, which will begin deployment in Los Angeles and San Francisco by the first half of 2027. Uber even teamed up with Waymo to bring robotaxis to cities like Atlanta and Austin.

As for Rivian, the company is slowly but surely becoming the "cool" American EV maker, a position once held by Tesla. It just announced pricing and availability for the long-anticipated R2 electric SUV. It arrives this spring, with a starting cost of $58,000. A cheaper model is expected to go on sale in 2027.