Rivian Offshoot Also Closes $150M Round as It Pivots to Autonomous Delivery

From Skunkworks to Standalone

Also, the micromobility venture that spun out of Rivian in 2025, has closed a $150 million Series D round. The financing was led by Prysm Capital, with participation from Eclipse, Greenoaks, and MVP Ventures. The raise brings Also's total funding to $455 million since its inception less than two years ago, according to the company.

What began as an internal experiment at the electric vehicle maker has transformed into an independent entity chasing a different segment of the mobility market. RJ Scaringe, Rivian's founder and CEO, initiated the skunkworks project out of personal interest in smaller-form-factor electric vehicles. The team assembled talent from Apple, Google, Specialized, and Tesla before formally spinning out with $150 million in initial backing. Rivian retains a minority stake, and Scaringe sits on Also's board.

The latest capital injection signals a strategic shift. While Also launched with pedal-assist electric bikes and commercial cargo quads, the company now intends to accelerate development of autonomous driving technology across multiple vehicle formats, according to Also. All future autonomous models will share the same electric architecture developed for its existing consumer bike and commercial quad.

Betting on Vertical Integration at Smaller Scale

Prysm Capital's involvement is notable for its parallel bet structure. Jay Park, co-founder and managing partner at Prysm Capital, drew a direct line between the firm's early Rivian investment and its backing of Also. The thesis centers on vertically integrated design and manufacturing applied to smaller vehicles, Park explained.

At DailyTechWire, we've tracked how vertical integration strategies have played out across Asia's EV supply chain. Companies that control both hardware design and software stacks often gain margin advantages but face longer capital cycles. Also's approach mirrors this trade-off: deeper control over the technology in exchange for heavier upfront investment.

The Series D follows a $200 million round closed earlier in 2026, led by Greenoaks with participation from Prysm Capital and a strategic investment from DoorDash. That deal included a multiyear commercial agreement for Also to develop and deploy autonomous delivery vehicles for DoorDash's platform.

Product Delays and Market Entry Challenges

Also revealed its first products in October 2025: the TM-B, a two-wheeler priced at $4,500, alongside two quad vehicles. One quad model is designated for Amazon's logistics network. However, execution has lagged. The Launch edition of the TM-B experienced months of delays before beginning shipments to customers, according to Also. The company has now opened preorders and configuration access for its performance and standard models, with initial deliveries of those variants expected in the fall.

The delays underscore a common tension in hardware startups: ambitious timelines colliding with supply chain realities and manufacturing ramp complexities. Also's reliance on Rivian's infrastructure, including retail presence and economies of scale, was intended to smooth this process. Yet the stumbles suggest that even with a well-capitalized parent relationship, bringing new vehicle formats to market remains difficult.

The Autonomous Delivery Wedge

Also's pivot toward autonomous technology reflects broader momentum in last-mile logistics. The combination of labor cost pressures, delivery density in urban markets, and regulatory tailwinds in certain jurisdictions has made autonomous delivery an attractive target for venture capital. DoorDash's strategic investment and commercial agreement provide Also with a built-in customer and deployment partner, reducing go-to-market risk.

The company's plan to deploy autonomous capabilities across multiple form factors suggests a platform play rather than a single-product bet. By standardizing the electric architecture and autonomy stack, Also aims to amortize R&D costs across consumer and commercial lines. This mirrors strategies employed by Chinese robotaxi operators and logistics automation firms that have scaled quickly by reusing core technology across vehicle types.

Still, the path is uncertain. Autonomous delivery remains in early innings outside a handful of pilot zones. Regulatory frameworks vary widely across markets, and the unit economics of small autonomous vehicles are unproven at scale. Also will need to demonstrate not only technical capability but also cost-per-delivery metrics that outcompete human couriers and existing robotic solutions.

Capital Velocity and the Race to Revenue

Raising $455 million in under two years is a striking pace, particularly in a funding environment that has grown more selective since the 2021-2022 peak. The capital velocity suggests investor confidence in Also's team and technology, but it also raises the stakes. The company must now show traction in both its consumer e-bike business and its autonomous delivery partnerships.

For Rivian, the relationship with Also offers optionality. If Also succeeds in commercializing autonomous small-format vehicles, Rivian gains exposure to a high-growth adjacency without diverting internal resources. If Also struggles, Rivian's minority stake limits downside. For Also, the Rivian connection provides credibility and infrastructure access, but it also invites comparisons to the parent company's own execution challenges and stock market volatility.

The fall delivery window for Also's performance and standard e-bike models will be an early test. Sustained delays could erode consumer confidence and complicate the narrative for future fundraising. Meanwhile, progress on the DoorDash autonomous deployment will signal whether Also can move from prototype to operational scale. The next twelve months will clarify whether the company's vertical integration bet and autonomous pivot can deliver returns that justify the capital deployed.