### Rivian and Volkswagen Partner to Launch Affordable High-Tech Electric Car

Rivian and Volkswagen have revealed plans to collaborate on creating cost-effective electric vehicles that maintain advanced technological features. This dynamic partnership aims to develop a $22,500 electric car, according to Rivian's Chief Software Officer, Wassym Bensaid. Despite the low price point, the planned EV will not compromise on tech enhancements.

The collaboration stems from an agreement announced last year, where Volkswagen committed to a $5 billion investment in Rivian. This collaboration includes the formation of a joint company focused on advancing software and electric vehicle (EV) technology. Bensaid and Volkswagen executive Carsten Helbing have been appointed as co-CEOs of this joint venture.

In March, Volkswagen unveiled its new electric hatchback, the ID Every1. This vehicle is noted for being the first to incorporate software developed jointly with Rivian. The compact, 13-foot-long four-seater is forecasted to hit the European market in 2027, with a price tag around 20,000 euros, equivalent to approximately $22,500. However, there is no indication yet whether this model will be available in the United States.

Bensaid emphasized that affordable vehicles should not be synonymous with low technology. "It's something which is extremely close to my heart because it's a way to bring that technology into many more cars," he told Business Insider during the Financial Times' Future of the Car conference.

The software design of the ID Every1 will rely on Rivian's architecture, which uses a central computer to control various car components like seats, lights, and doors. This integrated approach is expected to reduce costs by minimizing the number of parts and simplifying the overall vehicle design.

Notably, the ID Every1 is not the first vehicle to benefit from the Rivian-VW joint venture; that honor belongs to Rivian's R2, set for a 2024 launch. The introduction of more affordable EVs is a critical move, considering the current high prices of electric cars deter many potential buyers. Volkswagen is hopeful that its budget-friendly ID Every1 will help bridge this market gap.

Competition in the affordable EV market is heating up, with Slate Auto making headlines recently with its announcement of a $25,000 electric pickup truck for the U.S. market in 2026. Unlike Rivian-VW's tech-centric approach, Slate Auto's strategy de-emphasizes advanced smart technologies.

Commenting on the competition, Bensaid reiterated Rivian's belief in delivering a rich user experience without a steep price. "Inexpensive cars shouldn't be cars with limited features," he stated. Rivian is committed to making efficient vehicle technology to achieve this goal.

"Our approach is to enable choice for customers without compromising the overall experience," Bensaid concluded.