Rivian and Volkswagen’s New Partnership + Scott’s Tax Strategy | Prof G Markets

Rivian's Market

Rivian's market position is precarious, with its stock experiencing significant volatility. Scott Galloway notes that Rivian's stock surged by 30-35% recently but remains highly unstable, reflecting broader challenges in the EV market 1. He humorously shares his personal excitement about owning a Rivian, despite its financial struggles 2.

Rivian stock popped about 20 or 30% in the last few days. It went up. It was trading at twelve. It went up to 16. So what was that? It was up 30 or 35%. Now it's down to 14 and a half.

--- Scott Galloway

Ed Elson highlights the dire situation of other EV startups, suggesting a trend towards market consolidation 1.

   

VW Partnership

Volkswagen's $5 billion investment in Rivian is seen as a lifeline for the struggling EV manufacturer. Ed Elson explains that Rivian lost $39,000 per car in the first quarter, making this partnership crucial for its survival 3. Scott Galloway believes this deal offers Volkswagen a strategic option to eventually acquire Rivian if the partnership proves successful 4.

Effectively, what they've done is they've peed on this thing, and no one else is. That's it. No one else. Any other dog or choir is going to go, oh, Volkswagen's here.

--- Scott Galloway

This collaboration could leverage Rivian's technology and Volkswagen's manufacturing capabilities to strengthen both companies' positions in the EV market.