Earlier this year, Tesla CEO Elon Musk mentioned that the company was negotiating with “one major automaker about licensing Full Self-Driving (FSD) technology.” However, Rivian CEO RJ Scaringe clarified on Wednesday that Rivian is not pursuing this route.
At Morgan Stanley’s 12th Annual Laguna Conference, Scaringe explained that Rivian is developing its own software to maintain “full control over design, functionality, and safety features,” as reported by RivianTracker.
Regarding supply chain issues, Scaringe acknowledged that these challenges have affected the company’s short-term production rates.
This week, Deutsche Bank analyst Edison Yu resumed coverage of Rivian’s stock with a Hold rating and a $14 price target. Yu views Rivian as “one of the few western upstart OEMs left standing” but still significantly behind Tesla. He noted that Rivian has the potential to become “a more niche lifestyle brand that could eventually achieve sustainable profitability.”
