AT&T has signed an agreement to purchase Rivian electric vehicles for its commercial fleet, working to cut its transport emissions as a part of its carbon neutrality goals, and the partnership marks the first commercial EV van agreement for Rivian since its exclusivity pact with Amazon ended last month.
AT&T will initially use Rivian’s commercial van and R1 vehicles through a pilot program starting in 2024, aiming to evaluate how the vehicles improve safety, reduce emissions, and lower costs for the company. In addition to the adoption of EVs through the pilot, AT&T reportedly plans to optimize its routes, use AI to make its fleet more efficient, and reduce the overall size of its fleet. AT&T said it is committed to reducing the miles it drives in its day-to-day operations, which can reduce emissions by more than 25,000 tons.
AT&T maintains a commitment to carbon neutrality of Scope 1 and 2 emissions by 2025 and reported a reduction of 45% of its emissions from 2015 to 2022 in its 2022 Sustainability Summary.
“We couldn’t be happier to collaborate with AT&T as we work together to help cut emissions and protect our environment,” said Dagan Mishoulam, vice president of strategy and fleet for Rivian. “Around a quarter of CO2 emitted in the transportation sector in the U.S. comes from commercial vans, so it’s imperative we do all we can as soon as possible to help cut emissions.
In 2019, Amazon and Rivian established a partnership aiming to bring Rivian EVs to over 100,000 U.S. cities by 2030. Earlier this year, Amazon also added hundreds of Rivian’s electric delivery vans to its fleet in Europe.
According to a Reuters report, Rivian recently ended its exclusivity pact with Amazon, allowing the partnership with AT&T to take place and resulting in steep increases for Rivian’s stock.
Beyond the environmental benefits of its electric van model, Rivian emphasizes the safety and low comparative ownership cost of the vehicle. The van is reportedly designed to be one of the safest vehicles on the road, the company said, and it includes automatic emergency braking, collision warnings, and 360-degree visibility. The vehicles also use Rivian’s software stack which may improve efficiency and lower costs through an innovative fleet management system.
“Our category-defining vehicles offer some of the most advanced technology in the sector and are continually improved through over-the-air updates,” said Mishoulam. “We’re very much looking forward to expanding our relationship with AT&T to help them achieve their climate goals.”
Rivian vehicles are connected through an exclusive agreement with AT&T, which provides over-the-air software services to all Rivian vehicles in the United States and Canada. Rivian may use these insights to further improve its vehicles and supplement customers’ driving experience.
