Rivian announces new AI tech, chip and robotaxi ambitions

PALO ALTO, Calif. – Electric vehicle maker Rivian Automotive has developed a custom chip, car computer and new artificial intelligence models that will enable it to bring self-driving features to its forthcoming vehicles, the company revealed at its first “Autonomy and AI Day” on Thursday in Palo Alto, California.

Shares of Rivian were off roughly 3% during the hourlong event, and fell further as OpenAI made its own AI announcement Thursday, revealing its most advanced model yet.

Rivian also said it plans to roll out an Autonomy+ subscription with “continuously expanding capabilities” to customers of its second-generation vehicles in early 2026, to be powered by its Rivian Autonomy Processors and autonomy computers.

The Autonomy+ offering will be priced at $2,500 as a one-time upfront purchase or is available for $49.99 per month to start. By comparison, competitor Tesla offers its premium FSD (Supervised) option for $8,000 upfront or a $99 per month fee.

“AI is enabling us to create technology and customer experiences at a rate that is completely different from what we’ve seen in the past,” Rivian founder and CEO RJ Scaringe said during the hourlong event.

Company executives said in a statement that a near-future software update will include a “Universal Hands-Free,” capability, allowing Rivian customers “hands-free driving” on over 3.5 million miles of roads in North America, covering the vast majority of marked roads in the U.S.

Scaringe said the new advanced driver-assistance system will continue to improve as more miles are driven, learning through a data flywheel through reinforced learning.

Unlike its primary competitor, Tesla, Rivian said it intends to use lidar, or light detection and ranging, systems and radar sensors in its forthcoming “R2” cars to enable “level 4,” or fully automated driving, as defined by SAE Levels of Driving Automation.

A passenger can sleep in the back seat in a level 4 self-driving car while it carries them to their destination in normal traffic and weather conditions. Waymo, the Alphabet-owned robotaxi leader in the U.S., considers its vehicles level 4.

Scaringe said Thursday the company’s forthcoming self-driving vehicles enable the company to pursue robotaxis, which Tesla has promised for years but has yet to launch.

“Now, while our initial focus will be on personally owned vehicles, which today represent a vast majority of the miles to the United States, this also enables us to pursue opportunities in the rideshare space,” Scaringe said during the event.

Rivian is not alone in aiming to deliver autonomous systems that meet level 4 expectations, while rolling out partially automated features along the way to drivers who generally want these to reduce fatigue on long drives…