Reuters: VW locks in production of QuantumScape Solid State Batteries

[Zoidz]

Reuters Article

"Volkswagen has secured production of solid-state batteries developed with U.S. startup QuantumScape both companies said on Thursday, as the German carmaker aims to bring the technology into more vehicles.
Under an agreement announced on Thursday, Volkswagen's battery unit PowerCo will receive the licence to mass-produce battery cells based on QuantumScape technology, pending technological progress and certain royalty payments, they said.

The deal replaces an earlier joint venture between the two companies, Volkswagen said. Volkswagen owns 17% in QuantumScape, according to its annual report, a stake that is currently worth $459 million.
Shares in QuantumScape soared 40% in pre-market trade on the news."

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[Invzibl]

So how does this, if at all, affect the Rivian partnership going forward? My understanding is that solid state batteries have significantly larger range and it would be awesome for the R2 or R3’s of the future.

 

[Autolycus]

So how does this, if at all, affect the Rivian partnership going forward? My understanding is that solid state batteries have significantly larger range and it would be awesome for the R2 or R3’s of the future.

doesn't affect it at all. The VW-Rivian joint venture is all about software and zonal architecture controllers.

 

[VSG]

The Sept 3, 2020 announcement linked above says:

San Jose-based QuantumScape, a 2010 spinout from Stanford University, said it will form a joint venture with VW to produce solid-state battery cells, starting in 2024, for VW's electric vehicles, and eventually for other carmakers.

The current announcement says:

Volkswagen's battery unit PowerCo will receive the licence to mass-produce battery cells based on QuantumScape technology, pending technological progress ...

So, it seems to me they've just kicked the can down the road. These batteries are still not ready to be mass produced and they still don't know when they will be ready - that's what "pending technological progress" means.

 

[OneForTheRoad]

doesn't affect it at all. The VW-Rivian joint venture is all about software and zonal architecture controllers.

That would still probably give Rivian insight into the batteries that others will lack. With it being a non-exclusive agreement, it could put Rivian into a good position to be towards the front of the line if things are on a good trajectory for VW.

 

[Cosmacelf]

Look, this is still a lab based battery technology that needs to be scaled into volume production. Tesla has been trying to do this with their dry electrode 4680 form factor battery cells for five years, and while they are finally ramping into meaningful volume production numbers, they still haven’t hit competitive industry benchmarks for energy density or cost. They hope to hit the cost number by end of year, but that isn’t a guarantee.

Look to the battery majors like CATL, LG, Panasonic, Samsung and others who have volume production for meaningful battery cell breakthroughs. They aren’t standing still.

 

[RivianRunner]

QuantumScape's solid state batteries are too expensive to compete with existing lithium-ion batteries for as far as the eye can see.

This is nothing more than a "fluff" announcement to fool gullible people.

 

[Zoidz]

Funny how people didn't read, or attempted to read but didn't comprehend the announcement. It clearly states it is a long term R&D to Production transition/scaling agreement, nothing more:

"QuantumScape's technology is poised to enter a pivotal stage where PowerCo's specialized expertise, resources and global factories can help facilitate the transition to industrial-scale production," said PowerCo CEO Frank Blome.

The companies will target a product that will be scaled-up for integration into a Volkswagen Group vehicle series.

 

[COdogman]

Funny how people didn't read, or attempted to read but didn't comprehend the announcement. It clearly states it is a long term R&D to Production transition/scaling agreement, nothing more:

"QuantumScape's technology is poised to enter a pivotal stage where PowerCo's specialized expertise, resources and global factories can help facilitate the transition to industrial-scale production," said PowerCo CEO Frank Blome.

The companies will target a product that will be scaled-up for integration into a Volkswagen Group vehicle series.

So 2026 Rivians will get solid state batteries, not 2025s?

 

[Autolycus]

That would still probably give Rivian insight into the batteries that others will lack. With it being a non-exclusive agreement, it could put Rivian into a good position to be towards the front of the line if things are on a good trajectory for VW.

Sorry, I really don't see how having a software joint venture would give Rivian any insight into the batteries that every EV maker won't likely have anyway. They're all getting cars from each other to do thorough testing. If Rivian is a potential customer of QuantumScape, they'll be able to get cell samples directly.

There will have to be firewalls between the JV software teams and Rivian's and VW's hardware teams for anything that's outside the scope of the JV's work to make sure there isn't any leakage of trade secrets.

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