Rivian’s Blockbuster IPO Is the Ultimate Validation of Tesla
Why is a company with no sales worth $130 billion? Belief in EVs.
Rivian Automotive Inc.’s blockbuster initial public offering on Nov. 9—the biggest since Facebook’s in 2012—was a sign of how far the electric vehicle industry has come. It also represented the ultimate confirmation of Tesla Inc.’s success.
Tesla, the sole trillion-dollar automaker, has had sales growth of 270 times since its 2010 IPO. Now another startup from California, where climate change is a constant calamity, is already worth $130 billion—more than Ford Motor Co. or General Motors Co.—even though it’s delivered fewer than 50 zero-emission, battery-powered pickup trucks during its 11-year life. Irvine-based Rivian says the market for electric vehicles will be at least $1 trillion by 2025 and exponentially larger within a decade.