Illustration: Lazaro Gamio/Axios

Ford's $500 million investment in EV maker Rivian is a stark sign of how legacy automakers are looking outside their walls to find competitive advantages in the emerging market.

The big picture: It's the latest in a wave of corporate partnerships and joint ventures in the auto industry as big players seek their footing, a topic Axios explored here.

Why it matters: The investment and collaboration deal, which comes in addition to Ford's broader $11 billion in EV-related investments planned over the next few years, could be vital to Ford's future, Morgan Stanley analysts said in a note.

  • Ford's reliance on profits from pickup trucks is the "highest dependency on the segment" among automakers, per Morgan Stanley.
  • That makes Ford "particularly exposed to advancements in commercialized EV technology in the segment that could pose an obsolescence risk to Ford’s core franchise," they wrote.
  • The New York Times reports: "Ford is counting on the partnership to accelerate its efforts to field a range of electric cars and trucks, while it also pushes to streamline operations, slash costs and increase profitability."

What's next: In addition to Ford's equity investment, Ford and Rivian plan to develop an all-new EV of some sort (they didn't provide details) using Rivian's "skateboard" platform, which is engineered to accommodate a range of designs.

  • Rivian is already planning to launch 2 EV models next year, a pickup and an SUV, while Ford is also planning new models including an electric version of its popular F-150 pickup.
  • However, per Quartz, Ford won’t use Rivian’s technology for the electric F-150, because that would delay the 2021 launch date.

The bottom line: "In our view, if there were one global OEM who would benefit the most from the advantage of Rivian’s momentum in EVs, it’s Ford," Morgan Stanley analysts said.

Go deeper: This EV startup for adventurers has a two-part strategy for success

Go deeper

Trump claims TikTok will be banned if not sold by Sept. 15

President Trump said Monday that TikTok will be shut down in the U.S. if it hasn't been bought by Microsoft or another company by Sept. 15.

Why it matters: Trump appears to have backed off his threat to immediately ban TikTok after speaking with Microsoft CEO Satya Nadella, who said Sunday that the company will pursue discussions with TikTok’s Chinese parent company ByteDance to purchase the app in the U.S.

Updated 18 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 2 p.m. ET: 18,147,574 — Total deaths: 690,573 — Total recoveries — 10,753,815Map.
  2. U.S.: Total confirmed cases as of 2 p.m. ET: 4,687,828 — Total deaths: 155,062 — Total recoveries: 1,468,689 — Total tests: 56,812,162Map.
  3. Politics: White House will require staff to undergo randomized coronavirus testing — Pelosi says Birx "enabled" Trump on misinformation.
  4. Business: Virtual school is another setback for retail — The pandemic hasn't hampered health care.
  5. Public health: Former FDA chief says MLB outbreaks should be warning sign for schools.

Filing suggests Manhattan DA is investigating Trump for possible fraud

Photo: Brendan Smialowski/AFP

The Manhattan District Attorney's office suggested for the first time Monday that it's investigating President Trump and his company for "alleged bank and insurance fraud," the New York Times first reported.

The state of play: The disclosure was made in a filing in federal court that seeks to force accounting firm Mazars USA to comply with a subpoena for eight years of Trump's personal and corporate tax returns.