Rivian showcased new technology at its first “Autonomy and AI Day” in Palo Alto, California. The company unveiled a custom chip, car computer, and AI models for self-driving features in its upcoming vehicles. Rivian plans to offer an Autonomy+ subscription with expanding capabilities in early 2026, priced at $2,500 upfront or $49.99 per month. Rivian’s CEO highlighted the role of AI in creating innovative customer experiences during the event.

Rivian intends to use lidar and radar sensors for fully automated driving in its upcoming “R2” cars, aiming for level 4 autonomous capability. The company’s CEO announced plans to explore robotaxis, expanding beyond personally owned vehicles. Rivian joins Tesla, GM, Honda, Lucid, and Nissan in developing autonomous systems to enhance driver safety and comfort.

Rivian is set to launch a new in-house chip in 2026, featuring high memory bandwidth crucial for AI applications. The company’s Chief Software Officer emphasized Rivian’s transition to an AI-defined vehicle. Rivian also introduced an AI-powered “Rivian Assistant” voice interface for its upcoming vehicle models.

Rivian faces pressure to demonstrate growth potential to investors amidst a competitive EV market and slowing sales in the U.S. The EV segment experienced a sales slump after the federal tax credit for EV buyers ended prematurely in September. Rivian’s stock has fluctuated, currently up 25% this year but down over 80% since its IPO in 2021 due to internal and external challenges.

Read more at CNBC: Rivian announces new AI tech, chip and robotaxi ambitions