Yesterday, CEO Jeff Bezos revealed that Amazon’s carbon footprint is roughly comparable to that of a small country. He also announced an official Climate Pledge which has Amazon going carbon neutral by 2040, and EVs will play a major role.
It’s a comprehensive plan to drastically reduce carbon emissions, which were pegged at 44.4 million tons last year. One way the company will curb emissions: rolling out a massive new fleet of fully electric delivery vans.
Amazon’s commitment is great news for all of us, but it’s even better for the folks at EV startup Rivian. Why? Because Amazon placed an order for 100,000 vehicles.
The deal bolsters Rivian’s position as a force to be reckoned with in the electric truck and van segment. Rivian says this is the largest single order ever placed for electric delivery vehicles.
Rivian’s first R1T trucks and R1S SUVs will ship to buyers will start shipping to buyers next year. Amazon will start receiving vans in 2021. The company hopes to have 10,000 on the road by 2022. If things go to plan, all 100,000 will be in service by 2024.
Rivian R1S seen at the New York International Auto Show at the Jacob K. Javits Convention Center in New York on April 17, 2019. (Photo Credit: Michael Brochstein / SOPA Images / LightRocket via Getty Images)
This week’s order is just the latest way that Amazon has thrown its weight behind Rivian. Back in February, Amazon was part of a $700-million funding round.
Rivian followed up with a second round that brought in another $500 million. A third round earlier this month bagged $350 million more. That ought to be enough to get the production line rolling along nicely.
It may be hard to keep up if another company made an Amazon-sized order, but that may have been part of Bezos’ plan. Amazon secured itself a steady supply of electric vans and may have prevented some of its competitors from doing the same in the process.
There’s only so much lithium to go around, after all, and Rivian will probably have no trouble getting special treatment from battery makers. Not with the weight of Amazon’s order behind them.
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