To be finalized by the middle of this year, Tesla is acquiring Maxwell Technologies, a company that supplies lithium-ion batteries for electric vehicles (EVs) manufactured by automakers other than TESLA. Allegedly, the acquisition will allow Tesla to reduce the per kilowatt-hour costs of its batteries.
A key part of the deal is Maxwell Technologies’ proprietary dry-electrode technology. Freedonia Group analyst Kyle Peters believes Maxwell's dry electrode technology is a significant step forward in Tesla's goal of reducing battery costs. He says, "By reducing battery costs, which are typically the most expensive component of an electric vehicle, Tesla can offer lower priced EVs that will very likely feature a longer range. These are major steps that Tesla needs to take to make their vehicles more affordable, which has been a major roadblock to faster adoption across all EV suppliers."
For additional analysis of the hybrid and electric vehicle and batteries industries see the studies:
- Global Hybrid and Electric Vehicles by Type, Vehicle Segment and Region, 4th Edition
- Global Batteries by Product and Market, 11th Edition
For more details, visit The Freedonia Group.