Eric D. Lawrence | Detroit Free Press

USA TODAY

Amazon will lead a $700-million investment in metro Detroit electric vehicle startup Rivian.

Recent reports have focused on a likely large investment in the company from the online package delivery behemoth and possibly General Motors, but the news, minus a GM announcement, was confirmed Friday.

"This investment is an important milestone for Rivian and the shift to sustainable mobility," R.J. Scaringe, Rivian founder and CEO, said in a news release.

"Beyond simply eliminating compromises that exist around performance, capability and efficiency, we are working to drive innovation across the entire customer experience. Delivering on this vision requires the right partners, and we are excited to have Amazon with us on our journey to create products, technology and experiences that reset expectations of what is possible."

In the same release, Jeff Wilke, Amazon CEO for Worldwide Consumer, praised Rivian and its founder:

"We're inspired by Rivian's vision for the future of electric transportation. R.J. has built an impressive organization, with a product portfolio and technology to match. We're thrilled to invest in such an innovative company."

Rivian, which is headquartered in Plymouth Township west of Detroit, debuted two vehicles at the Los Angeles Auto Show last year — the all-electric R1T pickup and R1S SUV.

The vehicles, which are expected to be delivered to customers in late 2020 with more than 400 miles possible on a charge, are to be built at the company's manufacturing plant in Normal, Illinois.

The news release said Rivian will remain independent, and that the funding round will be led by Amazon while including participation from existing shareholders.

While GM has remained tight-lipped about its part in any investment, a source familiar with the matter told the Free Press on Friday that there is nothing “imminent” to announce on Rivian. The source did not deny talks are ongoing. Bloomberg, quoting people familiar with the matter, also has reported that Rivian remains in talks with the automaker.

GM has hinted at developing an electric pickup in the future. During a talk at Harvard last fall, CEO Mary Barra teased that GM has given a “tiny bit” of thought to producing an electric pickup someday.

But when pressed, she declined to comment on future product programs. She has been asked about it since and has reiterated the line that GM envisions an all-EV future, but declines to offer specifics.

Michelle Krebs, executive analyst, Autotrader, said the Amazon investment will mean a lot to the Michigan startup.

“The investment is a drop in the bucket for Amazon, but it is huge for Rivian in terms of the amount of money and in terms of raising the profile of Rivian," she said. "Amazon is exploring ways to reinvent its delivery fleet, and Rivian’s electric-powered skateboard concept, which could carry a variety of body styles, offers an interesting possibility.

She continued: "While Rivian has shown a concept pickup truck and SUV, it could just as easily be offered as a delivery van. Electric vehicles for fleets makes more sense than individual ownership as routes, with charging stations strategically located, can be planned to optimize charging and range.”

Brian Moody, executive editor at Autotrader, said that while Rivian's pickup design is "really like nothing the industry has seen, with the battery strategy creating all sorts of opportunities for improved storage and functionality," there is always a question about production.

"Amazon does not bring vehicle production capability to the party, something Rivian would desperately need," Moody said. "Of course, with Amazon money, Rivian can easily make the Normal, Illinois, plant state of the art fairly quickly.”