What happened
Many investors unplugged the stock of specialty electric-vehicle (EV) maker Rivian Automotive (RIVN 2.84%) on Wednesday. Looming over the company was an announcement from a big rival that it was rolling out a new EV that'll compete with one of Rivian's models. As a result, the EV-company's share price took a nearly 5% hit on the day.
So what
In what was probably an inevitable move, Chrysler parent Stellantis (STLA 1.55%) took the wraps off an EV version of its storied Ram pickup. The Ram 1500 REV, which was unveiled at the New York International Auto Show, will provide stiff competition for Rivian's R1T, the EV pickup foundational to its business.
Stellantis quoted Ram brand CEO Mike Koval as saying that the new EV "pushes past the competition in areas customers care about most including range, towing, payload and charge time."
The Ram 1500 REV will be offered in two power configurations. The standard has a 168 kilowatt-hour battery pack that can apparently haul the vehicle up to 350 miles on a full charge. Buyers can opt for a 229 kilowatt-hour large battery pack, which Stellantis says is good for as much as 500 miles of range.
Now what
What's good for Stellantis surely won't be good for Rivian, as the new Ram and the R1T are direct competitors. As the successor to an old-line U.S. auto incumbent, Stellantis has the marketing reach and power -- not to mention the existing user base -- to convince plenty of pickup enthusiasts to buy its new EV. Rivian sure has its work cut out for it with this competitor.
