Volkswagen Boosts Stake in Rivian as EV Partnership Grows

Volkswagen is delivering its second $1 billion investment to Rivian this week after the EV maker hit key financial targets, including back-to-back quarters of gross profit. This follows VW’s initial $1 billion buy-in last year, which gave the German automaker an 8.6% stake in the company.

The funding is part of VW’s broader $5.8 billion commitment, which includes equity and contributions to the previously announced joint venture focused on EV software and architecture. If all tranches are completed, Volkswagen could surpass Amazon as Rivian’s largest shareholder.

Despite the progress, Rivian still reported a $541 million net loss last quarter, though that’s down significantly from $1.445 billion a year ago. Additional payments from VW are planned through 2027, tied to future tech milestones and product integration.