Rivian Exec Shuts Down Rumors About Souring VW Joint Venture

Rivian is pushing back on a report that Volkswagen could sideline its software in Europe. Rivian Chief Software Officer Wassym Bensaid, who co-leads the joint venture, said on X that the Volkswagen partnership is “going incredibly well and the JV roadmap remains unchanged.”

He also had a message for anyone spreading unverified reports: “Please do not share rumors and speculations without even checking with Rivian.”

What the Report Claimed

Bensaid was responding to a RivianTrackr story citing Reuters and Manager Magazin. The report said VW is considering using its China Electronic Architecture, developed with Chinese EV maker Xpeng, for around three-quarters of its next-gen VW, Skoda, and Cupra models in Europe. VW declined to comment.

So far, VW has used the Xpeng system in China while building a separate platform for Western markets with Rivian. Audi and Scout weren’t part of the reported proposal, so Rivian would keep a role inside VW Group either way.

Bensaid said the affordable VW ID.1 (originally unveiled as the ID.EVERY1 concept vehicle) “is on-track to launch next year,” despite an aggressive schedule and a new architecture that uses a single zonal computer. He added that he’ll be driving it over the weekend, and that it’s exciting to see that much technology at a low price point.

What’s at Stake for Rivian

The joint venture is a big deal for Rivian. VW first announced plans to invest up to $5 billion in Rivian in June 2024, and the deal later grew to $5.8 billion. The JV brings Rivian’s zonal electronic architecture and software to VW’s next-generation vehicles, including subcompact cars like the ID.1, while Rivian keeps its intellectual property.

Most of that money is already locked in. VW’s payments for the IP license and JV stake are done, and a $1 billion loan from VW closed earlier this month. The final payment is tied to the first VW model built on the JV’s tech or January 2028, whichever comes first.

Rivian’s longer-term upside is in revenue. Its software and services revenue tripled to $1.55 billion in 2025, almost entirely because of the JV. Bensaid has also said Rivian is in talks to bring Rivian Assistant to VW vehicles built as part of the JV, which would create a recurring licensing stream that grows with every VW sold. Fewer VW models on the platform would mean less of that revenue over time.

VW hasn’t officially responded to the report. The ID.1’s launch next year will be the first real look at how Rivian’s tech performs in a mass-market Volkswagen.