Should Tesla Fear Rivian? MKBHD Walks Through the R2 and R3 With CEO RJ Scaringe - More Affordable Vehicles To Compete With Tesla

Should Tesla fear Rivian? Rivian revealed its R2 and R3 vehicles today, smaller versions of their all-electric SUV, that will be released in the coming years at more affordable prices. Will this challenge Tesla?

Rivian - Should Tesla Fear Them?

Rivian revealed its R2 and R3 vehicles today, with CEO, RJ Scaringe talking with MKBHD about the future of these more affordable all-electric SUVs. With these smaller and more affordable vehicles, should Tesla fear what Rivian is doing?

RJ showed MKBHD an R2, which is a smaller R1, brought down in price and more accessible, that is still fun and has all the Rivian qualities. The R2 will have the same front face. What is different about the R2?

The R2 is smaller, with the iconic front end and frunk. There is room for 5 passengers. It has been optimized with comfort in the first and second row.

There is a lift gate in the back, which is nice for putting in a surf board or more belongings.

The R2 can have even the front seats go down for a very comfortable experience sleeping in your car. It has Tesla beat in that area...

The R2 looks like an R1S in every way, however, it is closest to a Model Y - though a little shorter. It's comfortable in the second row. The back row door has full drop glass without a division bar, creating an open air experience.

The base price of the R2 is $45,000. There will be several trims: rear-wheel drive, dual-motor, and triple-motor. The triple-motor should do a sub 3 second 0 to 60 mph. The dual-motor version is still very quick and has over 300 miles of range.

The smallest battery for the rear-wheel drive version will have about 270 miles and will have a smaller physical battery.

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Is Rivian a Threat To Tesla?

With the base R2 version costing $45,000, it makes it about $2,000 more expensive than the Model Y at $42,990. The range is similar between the two, therefore, I don't think the Rivian is a threat to Tesla. They are similar vehicles, but look very different. The R2 is more of a threat to gas cars than it is to Tesla.

The R3, which will be even smaller than the R2, will cost around $35,000, and will compete with Tesla's eventually compact SUV. I think both will come out at about the same time in 2026. I think both will look very differently and again not be a threat to each other.

They will both be threats to the gas versions of each. This is because the cars are very different from each other and appeal to different types of customers.

RJ showed the inside of the R2 and it looks nice. It has a flat ceiling instead of a curved ceiling like the Model Y. There are TWO glove boxes next to each other - one for the driver and the other for the passenger.

There is center console storage still and room is comparable to a Model Y.

The steering wheel is unique, like a PlayStation controller with a giant scroll wheel on the left. It's easy to use with a grooved wheel and amazing scrolling experience.

There is a lot of room in the back seat, with ample legroom. The Model Y is the same and has plenty of legroom. The Rivian R2 does not have a center screen in the back.

Look for the R3 to be a smaller R2 and to be a much smaller vehicle with high ground clearance that can still do off-roading, but is more of an every day vehicle.

For Further Reading: Tesla Cybertruck Towing Capabilities Compared to Rivian Trucks

What do you think about the Rivian R2 and R3? Are they a threat to Tesla?

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Hi! I'm Jeremy Noel Johnson, and I am a Tesla investor and supporter and own a 2022 Model 3 RWD EV and I don't have range anxiety :). I enjoy bringing you breaking Tesla news as well as anything about Tesla or other EV companies I can find, like Aptera. Other interests of mine are AI, Tesla Energy and the Tesla Bot! You can follow me on X.COM or LinkedIn to stay in touch and follow my Tesla and EV news coverage.

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