Shares of Rivian Automotive (NASDAQ:RIVN) surged almost 4% in pre-market trading on Thursday after U.S. wireless carrier AT&T (NYSE:T) announced Thursday that they have entered into an agreement with Rivian to purchase electric vehicles through a pilot program aimed at evaluating ways to reduce cost, cut carbon emissions and improve safety.
AT&T expects to introduce the Rivian Commercial Van and R1 vehicles into its lineup by early 2024 with a goal of assessing the diverse ways in which these vehicles can enhance safety measures, diminish expenses, and significantly reduce the company's carbon footprint.
“We’re excited to purchase Rivian EVs for our fleet. This pilot is another important step in our ongoing efforts toward sustainability, reducing our carbon footprint and embracing a cleaner future for our operations.” Said AT&T SVP, Hardmon Williams.
“We couldn’t be happier to collaborate with AT&T as we work together to help cut emissions and protect our environment.” Added Rivian’s VP of Strategy & Fleet, Dagan Mishoulam.
In addition to Rivian collaborating with AT&T to provide fleet vehicles, Rivian and AT&T have joined forces to establish AT&T as the sole connectivity provider for all Rivian vehicles across the United States and Canada. This partnership enables an enhanced, more intelligent, and safer driving experience through seamless connectivity.
Leveraging AT&T's connectivity, Rivian employs over-the-air software updates to continually enhance its vehicles, introducing new features that elevate the overall driving experience for its clientele.
Shares of RIVN are up 3.76% in pre-market trading on Thursday.