Rivian phases out cheap R1 models as it shifts to higher‑priced R2 lineup

Rivian has launched its new R2 electric vehicle and is removing the lowest‑priced variants of its earlier R1 lineup – the entry‑level R1T and R1S models that used the smallest battery pack and a dual‑motor powertrain. With those versions discontinued, the base price for the remaining R1 trucks and SUVs is now several thousand dollars higher. The company says the move reflects a focus on profitability and improving margins, noting recent gains in its financial results and a strategy to build a sustainable business before the broader rollout of the more affordable R2 SUV.

The discontinued R1 versions had appealed to cost‑conscious buyers seeking Rivian’s adventure‑focused EVs, but they generated lower margins than higher‑spec models. By consolidating the lineup around better‑equipped vehicles, Rivian aims to boost average selling prices and overall profitability.