Uber Technologies plans to invest up to $1.25 billion in Rivian Automotive through a multiyear deal. The agreement could put as many as 50,000 self-driving vehicles on ride-hailing and delivery networks in three countries by 2030.
The deal, announced Thursday, focuses on Rivian’s upcoming R2 electric vehicle. Uber and its partners will first buy 10,000 self-driving versions of the R2, with the option to add up to 40,000 more starting in 2030. An initial $300 million investment, equal to about 19.55 million Rivian shares, is set to close soon if regulators approve. Four more payments will depend on meeting certain performance goals through 2031.
According to the agreement, R2 robotaxis will run only on Uber’s platform in 25 cities across the United States, Canada, and Europe. San Francisco and Miami will be the first cities to launch, with service expected to start in 2028. Uber will also pay to use Rivian’s special self-driving software.
After the news, Rivian’s stock went up by almost 4%, while Uber’s shares fell slightly.
This deal adds to Rivian’s recent partnerships with other big companies. The Michigan automaker signed a $5.8 billion software deal with Volkswagen in late 2024. The Uber partnership is another sign of trust in Rivian’s approach, which combines vehicle design, computing, and manufacturing in one system.
For Uber, this deal strengthens its self-driving vehicle plans, which already include partnerships with Lucid, Zoox, Stellantis, and Nvidia. Uber has had trouble turning its robotaxi goals into real business, a problem faced by many in the industry.
This news comes as investors show growing excitement about self-driving technology, with experts predicting the market could be worth trillions in the long run. Waymo, owned by Alphabet, is currently the leader in U.S. robotaxi services. Rivian’s leaders say that improvements in artificial intelligence and powerful computer chips could help new companies compete, thanks in part to Rivian’s own Autonomy Processor and its growing network of vehicle data.
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