Rivian has officially launched the next-generation R1S and R1T, new versions of the company’s flagship electric vehicles.
“We continue to evolve our flagship R1 vehicles,” CEO RJ Scaringe said, “offering quality and performance without compromise. Our revamped R1S and R1T push the technical boundaries further, creating our most capable products to date.”
Rivian aimed to refine and improve performance, design, range, and overall ownership experience with the new R1T and R1S, bringing everything from new drivetrains to new interior aesthetics to the EVs without compromising any of the features that owners loved about the first generation.
Additionally, Rivian is rolling out its new Autonomy Platform, which was developed in-house and utilizes eleven internally developed cameras along with five radars that perform over 250 trillion operations per second.
“For most owners, their R1 Gen 2 will be the most powerful computer that they own,” VP of Autonomy and AI for Rivian, James Philbin, said.
Let’s dive into some of the improvements Rivian has employed:
Performance
Rivian’s next-gen R1 platform now features more power, performance, and range, all stemming from a new drive unit offered in its Tri and Quad-Motor configurations. Dual-Motor has not gone anywhere either, and still offers great performance metrics:
- Dual-Motor Our Dual-Motor delivers incredible all-wheel drive capability along with 665 horsepower and 0–60 mph in as quick as 3.4 seconds for the Performance variant
- Tri-Motor Our all-new 850 horsepower Tri-Motor packs two motors in the rear and one in front for a blend of exceptional power and range. The Tri-Motor R1T delivers 0–60 mph in 2.9 seconds while offering an estimated range of 380 miles. In Conserve Mode, the estimated range is up to 410 miles.
- Quad-Motor For peak adventure, our new 1,025 horsepower Quad-Motor delivers 0–60 mph in less than 2.5 seconds in R1T — and ¼ mile in 10.5 seconds — with a staggering 1,198 lb-ft of torque when using Launch Mode. 60–80 mph acceleration is 1.5 seconds, with incredible torque control at each wheel for superior on-road performance and off-road capability.
Ride and Handling
Rivian also focused on the ride and handling experience in the R1 lineup for this second-generation vehicle launch. The suspension system has been fully re-engineered, improving on what customers called a “sport-tuned feel” in the first-generation EVs. Rivian decided to go with a “smoother” ride for the new R1T and R1S, which is adjustable to ensure comfortable on and off-road capabilities.
Vehicle equipment has also been refined. Rivian developed new wheels and fitted them with new tires, including a redesigned 22″ aerodynamic wheel design and Pirelli-developed tires to increase range.
For Performance, Rivian is going with an Ultra-High-Performance Michelin tire that will be available on the Quad-Motor configurations. Additionally, for a “well-rounded” experience, Goodyear has a 20″ ADV tire that offers “balanced all-around capability with the rolling-resistance of an all-season,” and comes standard.
Range and Batteries
Three battery pack sizes will still be offered by Rivian, but the Max and Large batteries have been completely re-engineered and offer ranges of 420 and 330 miles, respectively, based on estimations. They will continue to use 2170 cylindrical cells, and the pack enclosure features a “large high-pressure de-casting” system to simplify manufacturing and reduce mass.
The new Standard Pack will feature lithium-iron-phosphate (LFP) chemistry and provide an EPA-estimated 270-mile range.
140 miles of range can be regained in as little as 20 minutes and are compatible with all major public high-speed charging networks. This includes the Rivian Adventure Network and the Tesla Supercharger Network.
Design and Experience
Rivian honed in on new features with the R1T and R1S and also added two new premium interiors, new exterior paint options, and new darkout trim options.
These are in addition to the new wheel and tire choices, and now vehicles come with a new electronically tinted glass roof, new in-cabin storage, interior lighting themes, new digital interfaces, and new cell shading designs for the different drive modes. It has also improved on the wireless charger.
Surround Sound Audio with Dolby Atmos is available with Rivian Premium Audio.
Refined Electrical Architecture and Compute Platform
The second-gen R1 features new electrical architecture and a new compute platform that was developed in-house by the Rivian hardware and software teams.
“While the exterior of the R1 looks similar, the electrical system is completely redone, providing a significant increase in features as well as a dramatic increase in sensing and compute capability,” Rivian’s SVP of Electrical Hardware, Vidya Rajagopalan, said.
Trimming the ECU count from 17 in the first-gen to just 7 in the second-gen, the “massive simplification” was part of a shift in zonal architecture. Infotainment, autonomy, and vehicle access, as well as battery management, all have their own ECUs. Every other vehicle function is controlled by the remaining three.
Rivian Autonomy Platform
The Rivian Autonomy Platform utilizes “11 internally developed cameras and five radars performing over 250 trillion operations per second, an industry-leading level of compute power.”
The cameras are high-resolution and now include 4K HDR units, which have 360-degree visibility and can see three-times farther than the previous system, as well as 10 seconds ahead at highway speeds.
These are the most camera megapixels of any EV in North America and enable improved dynamic range and clear vision in high-contrast scenarios, like tunnel entrances and exits.
Rivian is also utilizing a cabin-facing camera in the rearview mirror to detect both driver fatigue and distraction when operating in Enhance Highway Assist mode, which will roll out later this year.
The Autonomy Compute Module is backed up by dual NVIDIA DRIVE Orin processors, delivering 10 times more compute performance than the previous system.
Pricing
The new R1S will start at $75,900 and the R1T at $69,900. Dual-Motor configurations can be ordered today and are available immediately. Tri-Max is expected to be launched in the late Summer, while Quad Max will come shortly after.
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Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.
Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.
This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.
NEWS: For the first time, Tesla has revealed how many people are subscribed or have purchased FSD (Supervised).
Active FSD Subscriptions:
• 2025: 1.1 million
• 2024: 800K
• 2023: 600K
• 2022: 500K
• 2021: 400K pic.twitter.com/KVtnyANWcs— Sawyer Merritt (@SawyerMerritt) January 28, 2026
In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.
Musk said on X:
“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”
The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.
It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.
The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.
Tesla is shifting FSD to a subscription-only model, confirms Elon Musk
Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.
News
Tesla confirms Robotaxi expansion plans with new cities and aggressive timeline
Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”
Tesla confirmed its intentions to expand the Robotaxi program in the United States with an aggressive timeline that aims to send the ride-hailing service to several large cities very soon.
The Robotaxi program is currently active in Austin, Texas, and the California Bay Area, but Tesla has received some approvals for testing in other areas of the U.S., although it has not launched in those areas quite yet.
However, the time is coming.
During Tesla’s Q4 Earnings Call last night, the company confirmed that it plans to expand the Robotaxi program aggressively, hoping to launch in seven new cities in the first half of the year.
Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”
These details were released in the Earnings Shareholder Deck, which is published shortly before the Earnings Call:
🚨 BREAKING: Tesla plans to launch its Robotaxi service in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas in the first half of this year pic.twitter.com/aTnruz818v
— TESLARATI (@Teslarati) January 28, 2026
Late last year, Tesla revealed it had planned to launch Robotaxi in Las Vegas, Phoenix, Dallas, and Houston, but Tampa and Orlando were just added to the plans, signaling an even more aggressive expansion than originally planned.
Tesla feels extremely confident in its Robotaxi program, and that has been reiterated many times.
Although skeptics still remain hesitant to believe the prowess Tesla has seemingly proven in its development of an autonomous driving suite, the company has been operating a successful program in Austin and the Bay Area for months.
In fact, it announced it achieved nearly 700,000 paid Robotaxi miles since launching Robotaxi last June.
🚨 Tesla has achieved nearly 700,000 paid Robotaxi miles since launching in June of last year pic.twitter.com/E8ldSW36La
— TESLARATI (@Teslarati) January 28, 2026
With the expansion, Tesla will be able to penetrate more of the ride-sharing market, disrupting the human-operated platforms like Uber and Lyft, which are usually more expensive and are dependent on availability.
Tesla launched driverless rides in Austin last week, but they’ve been few and far between, as the company is certainly easing into the program with a very cautiously optimistic attitude, aiming to prioritize safety.
Investor's Corner
Tesla (TSLA) Q4 and FY 2025 earnings call: The most important points
Executives, including CEO Elon Musk, discussed how the company is positioning itself for growth across vehicles, energy, AI, and robotics despite near-term pressures from tariffs, pricing, and macro conditions.
Tesla’s (NASDAQ:TSLA) Q4 and FY 2025 earnings call highlighted improving margins, record energy performance, expanding autonomy efforts, and a sharp acceleration in AI and robotics investments.
Executives, including CEO Elon Musk, discussed how the company is positioning itself for growth across vehicles, energy, AI, and robotics despite near-term pressures from tariffs, pricing, and macro conditions.
Key takeaways
Tesla reported sequential improvement in automotive gross margins excluding regulatory credits, rising from 15.4% to 17.9%, supported by favorable regional mix effects despite a 16% decline in deliveries. Total gross margin exceeded 20.1%, the highest level in more than two years, even with lower fixed-cost absorption and tariff impacts.
The energy business delivered standout results, with revenue reaching nearly $12.8 billion, up 26.6% year over year. Energy gross profit hit a new quarterly record, driven by strong global demand and high deployments of MegaPack and Powerwall across all regions, as noted in a report from The Motley Fool.
Tesla also stated that paid Full Self-Driving customers have climbed to nearly 1.1 million worldwide, with about 70% having purchased FSD outright. The company has now fully transitioned FSD to a subscription-based sales model, which should create a short-term margin headwind for automotive results.
Free cash flow totaled $1.4 billion for the quarter. Operating expenses rose by $500 million sequentially as well.
Production shifts, robotics, and AI investment
Musk further confirmed that Model S and Model X production is expected to wind down next quarter, and plans are underway to convert Fremont’s S/X line into an Optimus robot factory with a capacity of one million units.
Tesla’s Robotaxi fleet has surpassed 500 vehicles, operating across the Bay Area and Austin, with Musk noting a rapid monthly expansion pace. He also reiterated that CyberCab production is expected to begin in April, following a slow initial S-curve ramp before scaling beyond other vehicle programs.
Looking ahead, Tesla expects its capital expenditures to exceed $20 billion next year, thanks to the company’s operations across its six factories, the expansion of its fleet expansion, and the ramp of its AI compute. Additional investments in AI chips, compute infrastructure, and future in-house semiconductor manufacturing were discussed but are not included in the company’s current CapEx guidance.
More importantly, Tesla ended the year with a larger backlog than in recent years. This is supported by record deliveries in smaller international markets and stronger demand across APAC and EMEA. Energy backlog remains strong globally as well, though Tesla cautioned that margin pressure could emerge from competition, policy uncertainty, and tariffs.
Tesla hits major milestone with Full Self-Driving subscriptions
Tesla confirms Robotaxi expansion plans with new cities and aggressive timeline
