The mastermind behind the excellent suspension setup Rivian vehicles currently boast may have returned to McLaren. Still, the young and promising automaker is now adding another great name to its team – Kjell Gruner, former CEO and President of Porsche North America. This move has the potential to impact Rivian's short- and medium-term future positively. Here's why.
Around three years ago, Kjell Gruner was promoted from Chief Marketing Officer of Porsche North America to Chief Executive Officer of the beloved Stuttgart-based brand. He took the reigns during a difficult time for the company and managed to weather the storm rather well. Two weeks ago, Porsche NA confirmed he was leaving the company of his own will.
Porsche's sales have remained on a steady positive trend, and the presence of the brand in the minds and hearts of well-off gearheads is at extremely satisfactory levels, to say the least.
Meanwhile, Rivian is in a pickle. Its vehicles are great, with most customers saying they provide a rewarding ownership experience. Moreover, nearly all tests reveal a good build quality accompanied by strong on- and off-road capabilities. The software is not that great, and some production hiccups have led to a bit of anger and confusion among pre-order holders. But for now, nothing seems to stop Rivian from becoming another great American manufacturer.
However, despite making much progress in the deliveries department, the startup is still burning through its enormous pile of Initial Public Offering (IPO) cash. Its high price tags for the R1T and R1S are currently acceptable. But Ford, Chevrolet, and Tesla might soon become even more significant threats for the Irvine-based entity. The F-150 Lightning, the Silverado EV, and the Cybertruck might not be available for immediate delivery today, but these giants will sort it out eventually. Plus, money becoming more expensive is putting a strain on American households' car budgets.
Then, there's Amazon and the other possible partnerships with other commerce giants that need vans and the supporting fleet supervising software. The EDV requires a more robust push beyond the partnership with the prominent online retailer.
Photo: FridayAdventureClub on Reddit
Thus, Rivian is forced to tread carefully. It cannot afford any mishaps, which is why the onboarding of Porsche NA's former CEO is excellent news for the company and its shareholders.
At the time of writing, Kjell Gruner's role at the EV maker is unknown. But one thing that won't happen is replacing RJ Scaringe as CEO. We anticipate he'll use his vast marketing expertise to make Rivian better known stateside. He could also be of help in helping Rivian find new revenue sources.
German newspaper Manager Magazin said the deal is done, but Automotive News couldn't get a straight answer from Rivian or Gruner. However, Rivian did not deny that Porsche NA's former CEO is joining the EV maker.
Besides working for Porsche for over a decade, Gruner has also been at Daimler, Mercedes-Benz's owner. But marketing isn't the executive's only strong suit. He has been involved in Porsche's digital services department, where the company explored how to tackle subscriptions, on-demand rentals, partial car ownership, ridesharing, and carsharing. This know-how may prove very useful for Rivian, as it finds itself in dire need of cash.
Lastly, when he announced his departure from Porsche NA, Gruner said, "Sometimes there is the next mountain to climb," indicating that he was ready for another challenge. It remains to be seen how all this will pan out.
Car shows on TV and his father's Fiat Tempra may have been Florin's early influences, but nowadays he favors different things, like the power of an F-150 Raptor. He'll never be able to ignore the shape of a Ferrari though, especially a yellow one. Full profile
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