Hello friends and new readers, welcome back to The Station, a newsletter dedicated to all the present and future ways in which people and packages move from Point A to Point B.
I changed things this week to make room for an interview we had with Mike Lelli, senior manager of advanced battery cell technology at GM. That means I don't have the typical rundown at the bottom of EVERYTHING, or most things, that happened this week. But don't worry, I'll bring that back in the next issue.
You may or may not recall that GM president Mark Reuss announced last week a partnership with SolidEnergy Systems, a spin-off of MIT. GM and SES intend to work together to improve the energy density of lithium-ion batteries. The companies will build a prototyping plant in Woburn, Massachusetts and aim to have a high-capacity pre-production battery by 2023.
As one reader pointed out to me, the partnership is an interesting next step in GM's interest in SES. Five years ago, GM Ventures, the automaker's VC arm, invested in SES. Rohit Makharia, a longtime engineer turned investment manager at GM Ventures, is now the COO of SES. In other words, this is not a casual relationship.
Scroll below for a question and answer session with Lelli.
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Questions and Answers: GM's Battery Plans
Following the announcement of the partnership between GM and SolidEnergy Systems, we (meaning TC reporter Rebecca Bellan and I) spoke on the phone with Mike Lelli, senior manager of advanced battery cell technology at GM, to try and learn about the plans. of the car manufacturer's battery.
Specifically, we wanted to find out if SES would provide the technology for the next generation of Ultium batteries. I'm not talking about the first generation of Ultium batteries that will be introduced in the next GMC Hummer. We are talking about the next generation. We also wanted to learn more about GM's approach to battery development.
The interview with Lelli was edited for clarity and brevity.
TECHCRUNCH: You said GM is looking to increase energy by two times and reduce the cost of batteries by 60%. So are you aiming to work directly with SolidEnergy Systems to build the next generation of Ultium batteries?
LELLI: The agreement with SolidEnergy Systems includes the construction of a prototype line in Massachusetts. Hence, this new technology will be built on that line.
TECHCRUNCH: Are you looking for other battery tech startups to accelerate research and development?
LELLI: I'd just like to say, stay tuned to this; we have a lot more to announce in the future. Meanwhile, work continues on lithium-metal batteries and other related technologies at our research and development laboratory. We are working on many different technologies at this point, including high voltage cathode, electrolyte, dry processing, battery raw material etc.
TECHCRUNCH: GM already has many critical IPs in the field of lithium metal batteries. How is SES filling in the gaps?
LELLI: Well, they have strengths and we have strengths and that's the beauty of this arrangement. SolidEnergy systems is a very innovative technology company and offers a lot of new ideas about lithium metal anode technology and manufacturing and of course we do too. This is where their strength lies.
They also have strength in electrolytes, but we also have strength in electrolytes and we have IP around electrolytes which we think may be an enabling factor for this technology. We have 49 patents and over 45 pending approval in this lithium metal space, so we've been working on it for a while. This isn't something we thought about, you know, a year ago and saying, "Hey, what are we gonna do next?" This is stuff we've been working on for a while now.
TECHCRUNCH: How does GM plan to push for nickel and cobalt reductions? Is it a priority?
LELLI: When we came out with the event last year on the Ultium battery, we were very focused on precious metals. And maybe you will remember that we have commented that our cathode would be NCMA - nickel, cobalt, manganese, aluminum. We said the technology we were adopting because it was able to reduce cobalt by over 70% and we can do that by building a cathode with aluminum.
We are always focused on these raw materials and on the reduction of high cost materials and difficult to obtain materials. It is part of the work of my group; my group is responsible for the technology roadmap related to all these different spaces within the cell: the active material of the cathode, the separator, the electrolyte, the material of the anode, the different ways of processing the cathode in production - in this moment we have a wet process and if we do it can dry to work, it will be less expensive. We work simultaneously in all these spaces to reduce costs.
The beauty with the SolidEnergy arrangement is that we can put any of those cathodes we develop and we can bond it to the lithium metal anode. The key work we are doing with SolidEnergy is getting the lithium anode technology to work and then, at some point in time, we can continue to change the cathode part of that cell for further cost reduction and less reliance on some of the these critical elements. battery materials out there.
TECHCRUNCH: Working around the anode is really the key to unlocking that energy density, it's my understanding. Are there any other benefits?
LELLI: Equally important is the electrolyte. Because the electrolyte is not just a commodity where you can buy it and put it in. It has electrochemistry and electrochemistry kinetics in the cell is very dependent on the electrolyte.
And so the life of a cell will depend a lot on which electrolyte - and the electrochemistry behind that electrolyte - and how it reacts with the materials you're using, like lithium.
Lithium gives us energy density, but then you also have to design a cell that lasts many cycles, and then to do that you have to understand all the other parts and pieces of the cell that allow it. A the electrolyte is an extremely critical part of this.
TECHCRUNCH: Is SES only working with GM or is it working with other automakers or customers?
LELLI: SolidEnergy Systems can work with other OEMs and, of course, we can work with other technologies. We are not limiting SolidEnergy Systems in any way.
TECHCRUNCH: What will be the range for the next generation of Ultium batteries?
LELLI: It is conceivable that the range of our production in lithium metal batteries could be between 500 and 600 miles, but that really depends on the car you put them in. If you put the same battery in a truck, it won't have the range as if we took the same battery and put it in a small car. It really depends on the product you are putting the battery into to answer that question, but to give you a framework, 500 to 600 miles are conceivable.
TECHCRUNCH: Has GM identified which vehicles will receive the first generation Ultium battery, in addition to the GMC Hummer?
The Cadillac Lyriq and Cruise Origin will be among the first.
Deal of the week
Earlier this year, I predicted Via would have a great year; I was right. The on-demand shuttle startup turned mobility-as-a-service provider has expanded, contracting with cities around the world. And now it's expanding through acquisitions.
Via bought Remix, the startup that developed the mapping software used by cities for transportation planning and road design, for $ 100 million in cash and equity. Remix will become a subsidiary of Via, an agreement that will allow the startup to keep its independent brand. Remix's 65 employees and two of its co-founders - CEO Tiffany Chu and CTO Dan Getelman - will remain.
Remix's strength is in planning, while Via brings experience in software and operations. The acquisition is expected to complement Via's current business and help it acquire more customers, which currently have more than 350 local governments in 22 countries.
I'm not so sure Via is done. I expect more deals - perhaps even an offer to go public - from this company which achieved a valuation of $ 2.25 billion last year after raising $ 400 million in a Series E round.
Other offers that caught my attention ...Damon Motors, the electric motorcycle company, raised more than $ 30 million in funding, completing a bridge tour led by Benevolent Capital, SOL Global Investments, Zirmania, and others.
FlexClub, the South African car subscription startup founded in 2019, has raised $ 5 million in equity and debt. This is a seed extension round, which brings FlexClub's total investment raised to over $ 6 million. The company recently expanded into Mexico.
Optibus, the transit-focused software-as-service company based in Israel, raised $ 107 million in a Series C round co-led by Bessemer Venture Partners and Insight Partners.
Populus AI, a San Francisco-based startup founded in 2017, raised $ 5 million from new investors Storm Ventures and contract manufacturing and supply company Magna along with existing backers Precursor, Relay Ventures and Ulu Ventures. The company has raised nearly $ 9 million to date.
Zego, the insurtech that started offering flexible motorcycle insurance for gig economy workers, raised $ 150 million. DST Global led the London-based company's Round C, which gave it a $ 1.1 billion valuation and unicorn status. Other new supporters include General Catalyst, whose founder and MD, Joel Cutler, joins Zego's board. Zego has since expanded its business to offer a range of technology-enabled commercial vehicle insurance products.
A dive deep: the Volkswagen ID. 4
I recently engaged Abigail Bassett, a World Car juror and longtime journalist who writes about cars and technology (among other topics) to review some of the most important vehicles of 2021. Last month, Tamara Warren (another reporter from long-standing in cars and technology) reviewed the Aston Martin DBX, a vital vehicle for the automaker's survival.
This month, Bassett takes a deep dive into the Volkswagen ID. 4, an all-electric five-passenger crossover with a starting price of $ 33,995 (before federal or state incentives).
The ID. 4 issues. A lot. Once a delight in electric vehicles, Volkswagen is now betting its future on technology.
Did ID.4 pass the grade? Bassett tested it on three separate occasions. I suggest you read the entire article, but for those busy folks here's the tl; dr: The VW ID.4 offers a balanced blend of technology, comfort and design for a more affordable price. It offers solid technology without being so out of this world that your average crossover buyer will hesitate ... with one exception. The lack of continuous charging makes searching for and connecting to a third-party charging station a clunky and even complex experience.
To find out more, click below.
