Rivian stock (NASDAQ: RIVN) rose on Friday in response to Tesla's (NASDAQ: TSLA) plans to launch its robotaxi service in San Francisco. Both companies are facing challenges in the electric vehicle market,

Tesla's stock fell nearly 7% due to declining sales and doubts over its future under CEO Elon Musk. Mounting challenges, including reduced U.S. EV incentives, tariff pressures, and controversies, strain Tesla.

Tesla's valuation gains today follow a bigger sell-off in yesterday's trading that was spurred by disappointing second-quarter results and comments from management suggesting that performance headwinds could continue in the near term. The company's share price has seen some big swings in 2025, and is down roughly 21% year to date with today's pop.

Elon Musk warned that Tesla could face "a few rough quarters," as it weathers shifting tariffs and the end of EV tax credits in the US.

San Francisco is likely to prove a more challenging area for Tesla’s self-driving systems. The city is significantly more densely populated and has more challenging roads, largely due to its extreme topography and steep streets.

Tesla finally did the damn thing. The company launched its hotly anticipated robotaxi service in Austin, Texas, on Sunday, June 22nd — and we’re now starting to see some of the first reactions roll in.