When reality sets in, deals are reworked and revised. There is no need to fight on such issues. Yes, Amazon and Rivian will revise their EV exclusive deals since market conditions have made it hard for Amazon to meet targets: ” Amazon has been Rivian’s sole EV van customer since 2019, but the retailer has recently “underwhelmed” Rivian with small orders”. Indeed, while we work to respect business agreements and contracts, people have to be flexible and pragmatic if we want to transition from just holding CEO titles to being leaders of organizations.
What Amazon and Rivian are doing here would have been endless litigation in places where companies read only legal lines, and not the core missions of firms: fix frictions in markets. Pragmatic leadership advances companies, sectors and nations.
Rivian and Amazon are revisiting their exclusive electric delivery truck deal, an Amazon spokesperson confirmed to CNBC. Amazon has been Rivian’s sole EV van customer since 2019, but the retailer has recently “underwhelmed” Rivian with small orders, The Wall Street Journal writes. Amazon said it wanted only 10,000 new vehicles this year as part of the 100,000 EVs it promised to buy by 2030, leading Rivian to reconsider its exclusivity agreement through ongoing talks. Amazon is Rivian’s largest shareholder and a has a seat on Rivian’s board of directors.
Of course, Amazon being the largest shareholder of Rivian will like the company to do well, even if that does not come from Amazon itself. It is winning via strategic partnership.
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That explains why Microsoft has already made all the truckloads of money it invested in ChatGPT after the chatbot helped Bing to nearly double its annual revenue – and surpass 100 million daily active users threshold: ““We are pleased to share that after a number of years of steady progress, and with a little bit of a boost from the million plus new Bing preview users, we have crossed 100 million daily active users of Bing.” Google has a big fight ahead.
“For every 1 point of share gain in the search advertising market, it’s a $2 billion revenue opportunity for our advertising business,” said
The Verge noted that Microsoft has boosted its ad business – growing it to $18 billion in revenue over the past 12 months, compared to $10 billion in the previous fiscal year. But the growth, which is largely attributed to Bing, still falls significantly short of Google’s $200 billion revenue within the same time period.
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Talking about deals and honouring agreements, that legendary club called FC Barcelona is still scratching its head on how to resolve some ridiculous deals it signed with average footballers in years past. After all the financial gymnastics and acrobatics, the figures are not still pleasant.
The reality is that some agreements are not worth keeping, so the parties must have the needed awareness to adjust their positions.
Nigeria still has some outstanding with one PI&D or what’s the name, hovering around $9 billion, just for signing papers, with nothing serious ever done.
From the days of Esau, people have been signing away their futures…