Rivian Automotive, Inc. (NASDAQ:RIVN) shares were steady on Wednesday as the electric vehicle maker’s partnership with Volkswagen AG (OTC:VWAGY) came into sharper focus at the IAA Mobility event in Munich.
The German automaker showcased its new semiconductor procurement framework at the 4th Semiconductor Summit, emphasizing a collaboration with Rivian and Volkswagen Group Technologies to jointly source more than 50 categories of chips.
The approach aims to cut costs, streamline supply, and secure components for future vehicle platforms.
Volkswagen executives said semiconductors remain central to automotive innovation, powering everything from electrification and safety to digital experiences.
The company noted how demand for chips has exploded: while the first-generation Golf required about 30 chips, modern EVs such as the ID.7 need closer to 18,000.
By diversifying suppliers and aligning sourcing with Rivian, the Group hopes to shield operations from past shortages and future disruptions.
The newly formed Rivian and Volkswagen Group Technologies joint venture will oversee procurement of microcontrollers, power devices, and circuit boards across Europe and North America.
According to co-CEO Carsten Helbing, combining Volkswagen’s global scale with Rivian’s software-defined vehicle expertise will help tailor semiconductor solutions while keeping development teams focused on innovation.
The Summit gathered senior leaders from chipmakers, automotive suppliers, and research groups to discuss how tighter collaboration is transforming the industry.
As automakers move toward increasingly digital, software-heavy designs, semiconductors are expected to define the pace of progress.
The Volkswagen–Rivian model underscores how manufacturers are no longer just buyers of chips but active participants in shaping next-generation components.
Price Action: RIVN shares are trading lower by 0.29% to $13.90 at last check Wednesday.
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