Rivian founder tells investors why incoming shareholder VW needs his help to take on Tesla just as much as he needs the cash boost

RJ Scaringe, chief executive officer and founder of Rivian Automotive Inc., during an unveiling event in Laguna Beach, California, US, on Thursday, March 7, 2024. (Credit: Kyle Grillot—Bloomberg via Getty Images)

Volkswagen’s planned $5 billion investment in Rivian is a lifeline for the troubled carmaker—but not necessarily the one you may think. 

The cash injection plugs a hole in Rivian’s spending plans, providing much-needed investor confidence in founder R.J. Scaringe at a critical juncture when other EV startups like Fisker are declaring bankruptcy.