Shares of the California-based EV truck startup surged about 23 per cent on Wednesday after Volkswagen Group said it would invest an initial US$1 billion in the company as part of a joint venture, with up to US$4 billion in planned additional investment. (The Logic)

Talking point: It’s a vote of confidence for Rivian as it, like many EV startups, struggles to meet investors’ expectations and compete with major automakers. As part of the deal, Volkswagen will license Rivian’s electrical infrastructure and use the EV startup’s software platform. The German automaker behind the Beetle and Golf, which is also the parent firm of Audi and Porsche, has previously tapped tech companies like BlackBerry to address challenges in rolling out its own software. Canada could play a key role in how the Volkswagen-Rivian joint venture fares. Vancouver is one of Rivian’s software development hubs, while Ontario is the site of Volkswagen’s biggest battery factory.