Rivian CEO Takes Marketing Helm Ahead of R2 Launch

Rivian Restructures Ahead of R2 Launch, CEO Takes on Marketing Role

RJ Scaringe, founder and CEO of Rivian, is assuming a new role within the company as part of a restructuring initiative. This precedes the anticipated launch of the R2 SUV. The restructuring includes a workforce reduction impacting over 600 employees.

CEO to Lead Marketing Efforts

In a communication to staff on Thursday, Scaringe announced he will serve as Rivian’s interim chief marketing officer while the company conducts a search for a permanent replacement. This marks the first time Rivian will have a dedicated head of marketing.

According to a copy of the email reviewed by TechCrunch, the leaders of Rivian’s “marketing experiences” team and the creative studio will now report directly to Scaringe.

The exact number of direct reports Scaringe currently manages remains undisclosed. However, he indicated in a prior interview with the Decoder podcast that it is a “large number.”

Multiple Rounds of Layoffs in 2024

The workforce reduction announced this week represents Rivian’s third round of layoffs this year. Previously, approximately 140 manufacturing employees were let go in June, as initially reported by TechCrunch.

A similar number of positions were eliminated within the sales and service departments in September. These cuts followed a more substantial reduction of 10% of Rivian’s total workforce earlier in 2024.

“I am writing to share a difficult update,” Scaringe stated in his email to employees. “With the R2 launch approaching and the necessity to achieve profitable scaling, we’ve made the challenging decision to implement structural adjustments across our teams. This results in a team size reduction of roughly 4.5%.”

External Factors Influencing Decisions

Scaringe attributed the changes to a “changing operating backdrop.” This includes the expiration of federal EV tax credits, increased tariffs stemming from the Trump administration, and broader challenges facing clean energy initiatives within the U.S.

These factors have prompted the company to “rethink how we are scaling our go-to-market functions.”

Streamlining Customer Experience

Beyond Scaringe’s expanded role, Rivian is also focused on “streamlining” the customer experience. The company is consolidating its “vehicle operations” team with its service division.

Furthermore, Rivian’s delivery and “mobile operations” will now be integrated into the sales division.

These organizational changes are intended to “ensure the purchase experience is as seamless as possible with a single touchpoint throughout the entire sales process and to delivery,” Scaringe explained.