Uber to Invest Up to $1.25 Billion in Rivian for 50,000 Robotaxis Uber Technologies has announced a partnership with electric vehicle manufacturer Rivian Automotive, committing up to $1.25 billion to deploy up to 50,000 autonomous taxis, or robotaxis, across multiple countries by 2031. The agreement includes plans for Uber or its fleet partners to purchase 10,000 autonomous versions of Rivian’s R2 electric vehicle, with an option to acquire an additional 40,000 units starting in 2030. The deal marks a significant step in Uber’s expansion into autonomous transportation, leveraging Rivian’s technology to advance its goals in the sector. Rivian’s shares rose sharply in premarket trading on Thursday, gaining around 10% before moderating to a 3% increase by the end of the day. In contrast, Uber’s stock declined by 1% following the announcement. The investment comes amid a wave of renewed interest in autonomous vehicles, as companies seek to capitalize on what analysts predict could be a multitrillion-dollar market. However, many firms, including Uber, have faced challenges in meeting earlier targets for robotaxis, prompting a renewed focus on partnerships and technological advancements. The initial investment from Uber to Rivian is expected to be $300 million, which translates to approximately 19.55 million shares of Rivian, according to a company spokesperson. Additional funding tranches will be released contingent on meeting specific milestones by unspecified dates through 2031. Uber is also set to pay licensing fees for using Rivian’s autonomous driving software. The collaboration aims to integrate Rivian’s R2 robotaxis exclusively into Uber’s ride-hailing and delivery platforms, initially launching in 25 cities across the U.S., Canada, and Europe.#rivian_automotive #uber_technologies #r2_electric_vehicle #dara_khosrowshahi #rj_scaringe
The U.S. stock market experienced declines amid geopolitical tensions, with oil prices fluctuating due to the ongoing conflict between Israel and Iran. Investors reacted to the uncertainty, leading to mixed performances across sectors. Meanwhile, the Federal Reserve's next monetary policy move has sparked speculation, as markets anticipate potential interest rate adjustments in response to inflationary pressures. Retail investors, often referred to as "mom-and-pop" traders, have shown heightened bearish sentiment, reflecting concerns about market volatility. In the energy sector, oil prices surged following the U.S.-Israeli strike on Iran, which intensified regional tensions. However, the U.S. dollar and Treasury yields defied conventional market patterns, rising instead of falling as energy prices spiked. Analysts noted that the U.S. position as a net exporter may insulate the economy from some of the oil price shocks, though inflation risks remain elevated. Technology stocks also saw divergent movements, with Rivian Automotive rising after announcing a $1.25 billion investment deal with Uber to deploy 50,000 robotaxis by 2031. Conversely, Uber's shares fell, likely due to investor skepticism about the deal's long-term viability. The financial landscape remains complex, with geopolitical risks and economic uncertainties shaping market dynamics. Investors are closely monitoring central bank policies and global events as they navigate an increasingly volatile environment.#oil_prices #federal_reserve #u_s_stock_market #russia_israel_conflict #rivian_automotive
