VW's capital to Rivian isn't guaranteed, and neither is the success of the joint venture. Major automotive tie-ups don't always result in long-term successes.

Volkswagen has increased its planned investment in the electric automaker Rivian through a joint venture that officially launches Wednesday. The first Volkswagen models made with Rivian’s technology are expected to launch in 2027.

The investment boost comes at a crucial time for Rivian, which aims to cut costs, achieve profitability, and launch its smaller, more affordable R2 SUV to attract budget-conscious consumers. The joint venture,