Rivian has reworked its mortgage cope with the Division of Vitality and now expects to borrow $4.5 billion to construct its new manufacturing facility in Georgia, down from the original amount of $6.6 billion allotted below the Biden administration.
The corporate additionally introduced Thursday that it’ll draw on the mortgage ahead of deliberate, in early 2027, and expects to extend the overall capability of the Georgia plant from 200,000 to 300,000 autos in its preliminary part of operation. The bigger capability — a 50% improve over its preliminary plans — will assist decrease its per unit prices, whereas additionally offering important room for future enlargement of capability in later phases, the corporate mentioned Thursday.
Rivian has beforehand mentioned the Georgia manufacturing facility would have a complete capability of 400,000 autos. Whereas the preliminary part, which is tied to the DOE mortgage, has been elevated, Rivian didn’t share what its plans are for the second part. The unique plan was for 2 200,000-vehicle capability phases on the Georgia website. The corporate’s manufacturing facility in Regular, Illinois has a 215,000-vehicle capacity.
Through the earnings name, CFO Claire McDonough didn’t share what capability that second part can be, besides to say that it was reserved for future enlargement.
“The strategic resolution that we took was to extend the preliminary part of manufacturing capability to the 300,000 items,” she mentioned on the decision. “On our Georgia website, the complete preliminary capability can be placed on the higher pad on the website. So we now have the decrease pad, which remains to be going to be completely untouched inexperienced subject for future enlargement.”
She famous the significance of this $4.5 billion funding was to permit Riven to scale its operation as much as 515,000 items of general capability. That determine is 100,000 decrease than Rivian’s beforehand acknowledged mixed capability on the two factories.
A number of the manufacturing facility’s capability can be used to supply R2 robotaxis for Uber. Underneath a deal struck earlier this 12 months, Uber is making an preliminary $300 million funding in Rivian and is anticipated to buy 10,000 absolutely autonomous R2 robotaxis forward of a deliberate rollout in San Francisco and Miami in 2028. That preliminary $300 million fee is anticipated to shut within the second quarter, and one other $250 million funding is deliberate for later this 12 months, based on Rivian.
The ride-hailing firm has the choice to purchase as much as 40,000 extra autonomous R2 SUVs from Rivian beginning in 2030. Uber will has mentioned it’ll make investments as much as $1.25 billion in Rivian by 2031 if the automaker meets a collection of milestones.
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Rivian broke floor on the Georgia manufacturing facility late final 12 months and is to start with phases of doing so-called vertical development on the website positioned exterior Atlanta. The corporate expects to start out making autos by the tip of 2028. Till then, Rivian will construct R2 SUVs at its present manufacturing facility in Regular, Illinois.
The corporate recently started production of the R2 regardless of the plant struggling injury from a twister, and Rivian mentioned Thursday it has made preliminary deliveries to staff. Deliveries to prospects are anticipated to start out “within the coming weeks, based on Rivian.
The modifications to the DOE mortgage come as Rivian revealed monetary outcomes for the primary quarter of 2026 on Thursday. The corporate generated $1.38 billion in income, with $908 million coming from car gross sales and $473 million from software program and companies. Rivian’s automotive income declined about 2% from the identical year-ago interval, due partly to drop in regulatory credit.
The corporate misplaced $416 million within the quarter, down from a $541 million loss in the identical interval final 12 months. That internet loss shrank thanks, partly, to s $506 million acquire in different revenue associated to the Collection A capital elevate and associated deconsolidation of CEO RJ Scaringe’s new startup Thoughts Robotics, based on the corporate.
Rivian noticed its working bills and R&D prices develop year-over-year. Rivian’s R&D price range expanded 20% to $458 million because it elevated spending on R2 pre-production prices in addition to software program and cloud companies associated to the event of autonomous car expertise.
The mix of those rising prices, plus a small uptick in capital spending, was a drag on Rivian’s free money movement, which is in adverse territory. The corporate reported a adverse free money movement of $1 billion, practically double from a 12 months in the past.
This text has been up to date with feedback from Rivian’s CFO and beforehand acknowledged capability figures.
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