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Rivian has made major waves in the electric vehicle space in the past few years. The electric vehicle automaker has grown so much recently that it is mentioned alongside industry giants like Tesla. Amazon and Ford Motor Company took an early interest in Rivian. The brand successfully produced North America’s first-ever fully-electric pickup truck, and it was one for the books. The question is, how will Rivian follow its two impressive electric vehicles? Its next best move may be to produce a small electric SUV.

Maybe Rivian should think smaller

A gray 2023 Rivian R1S full-size electric SUV is parked.
The 2023 Rivian R1S | Rivian

Thinking big is often rewarded, but did Rivian go too big with the Rivian R1T and R1S? Its EVs are undoubtedly impressive, but they’re too pricey to be mainstream, and that could hurt the company in the long run. The way to occupy the most market share and compete with the likes of automakers like Tesla is to produce an EV that more consumers can purchase. Rivian thought big and accomplished big things with its first two electric vehicles. Maybe it’s time that the brand takes a different approach now that it has more production experience.

The most popular electric vehicle in the industry is the Tesla Model Y. The Model Y has an impressive driving range and a luxurious interior. It has engaging driving dynamics and some standard features that seem reserved for Tesla vehicles. Hyundai and Ford have produced successful small electric SUV nameplates as well. Volkswagen’s small electric SUV, the Volkswagen ID.4, has made a huge impact in Europe.

If Rivian wants to compete with Tesla, Hyundai, and the other big dogs in the EV space long-term, it’ll need a more mainstream electric vehicle that more consumers can afford. The 2023 Rivian R1S starts at a whopping $78,000. It boasts impressive performance specs and capabilities, but the EV is just too expensive for the average consumer.

What it takes to beat the Tesla Model Y

The 2023 Tesla Model Y | Tesla

Tesla’s rise to the top of the electric vehicle space is one of the greatest business stories of the last two decades. Investors like the CEO of Ark Invest Cathie Wood have bet big on Tesla stock when it fell and were rewarded. Tesla has experienced highs and extreme lows in recent years, but it remains one of the most successful electric vehicle and clean energy companies on the planet. The company has big plans for the future of vehicles.

The Tesla Model Y is leading the charge as it dominates the EV marketplace. If an electric vehicle were to dethrone it, it would have to offer incredible performance specs and a value proposition that’s hard to ignore.

Can Rivian produce a Tesla Model Y rival?

Rivian has proven that it can produce impressive capable electric vehicles. Now consumers are wondering whether or not the company can produce affordable EVs as well.

If Rivian does make a small SUV that embodies some of the same characteristics as the R1S for a more affordable price, it could easily have a hit on its hands. At this point, it’s just a matter of time until Rivian produces a real Tesla Model Y rival to disrupt rankings and chip away at the brand’s market share.

CarScoops claims that the Rivian R2S SUV will be built at a new Rivian plant in Georgia. When the small SUV finally arrives, it will make a huge impact on the electric vehicle space.


The Abandoned Rivian R1S is Free Thanks to Construction Equipment and a 20,000-lb Winch