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Electric car maker Rivian announced on Wednesday that it’s laying off 10 percent of its salaried workforce to cut costs after facing a quarterly loss. The Amazon-backed company that it lost $1.5 billion in the fourth quarter of 2023 and said that it expects to build 57,000 electric vehicles in 2024, the same number it built last year.
“Our business is facing a challenging macroeconomic environment — including historically high interest rates and geopolitical uncertainty — and we need to make purposeful changes now to ensure our promising future,” Rivian’s founder and CEO wrote to employees in an email, CNN . "We must strategically prioritize our growth areas of the business, including the launch of Peregrine and R2 as well as investing in our go-to-market capabilities."
As part of its plans to cut costs, Rivian will shut down a factory in Illinois in the middle of this year and will upgrade its manufacturing line to boost production rates by 30 precent.The company is the R2, a compact SUV in the $40,000 to $60,000 range, on March 7, although deliveries of the vehicle won’t start until 2026.
This article originally appeared on Engadget at
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“Our business is facing a challenging macroeconomic environment — including historically high interest rates and geopolitical uncertainty — and we need to make purposeful changes now to ensure our promising future,” Rivian’s founder and CEO wrote to employees in an email, CNN . "We must strategically prioritize our growth areas of the business, including the launch of Peregrine and R2 as well as investing in our go-to-market capabilities."
As part of its plans to cut costs, Rivian will shut down a factory in Illinois in the middle of this year and will upgrade its manufacturing line to boost production rates by 30 precent.The company is the R2, a compact SUV in the $40,000 to $60,000 range, on March 7, although deliveries of the vehicle won’t start until 2026.
This article originally appeared on Engadget at
Console Bang News!