Rivian Went to Great Lengths to Make the R2 Less Expensive

The first production Rivian R2 models are rolling off the factory lines, with customer deliveries starting in the future. It features a starting price in the high-$40,000 range, making it a little more than half as expensive as Rivian’s flagship R1S and R1T. The automaker achieved that cost reduction by exchanging some of the R1’s most expensive components for less pricey options. Here’s a closer look.

One of most significant changes came under the skin, where regular owners will never see it. Rivian cut 2.3 miles of wiring from the R1’s architecture with its zonal computing architecture, cutting the number of wiring connectors by 60 percent. The consolidated zonal architecture also helped remove 70% of the pricey high-voltage wiring needed in the R1.

The R2 also sports simplified new electric drive motors. Rivian’s Maximus Drive system is 41% less complex than the R1’s Enduro system, and the updated design allows the inverter and drive unit to share cooling components. Additionally, the R1’s ultrasonic external sensors were replaced with radar units, cutting sensor costs by 50%.

A MacPherson suspension system replaces the 70% more expensive double wishbone setup, and Rivian cast larger portions of the body in single pieces. That approach is a great way to cut production costs, but it can complicate body repairs, making it impossible to fix some collision damage. Further cost cuts came from simplifying the rear doors.

Beyond a seriously simplified design, Rivian worked with its suppliers to reduce component sourcing costs. The R2’s volume production and more approachable price should help the automaker become a more mainstream company, allowing it to purchase on a larger scale to cut unit costs.

The R2 looks to be an impressive electric SUV, even with its lower price tag and reduced production costs. Rivian promises 350 horsepower in the base single-motor RWD model and a 0-60 mph time of 5.9 seconds. The R2 also has 345 miles of estimated range, and Rivian offers a variety of adventure-ready upgrades and accessories.