GM eyes new battery chemistry to grow AI data center, energy storage business
General Motors is expanding its energy storage and battery technology efforts, including next-generation sodium-ion batteries and vehicle-to-grid capabilities, to support the growing demand from AI data centers and combat rising energy costs. The company is partnering with Peak Energy for sodium-ion development and continuing work with Redwood Materials and LG Energy Solution on other battery solutions.
General Motors (GM) is advancing its energy storage and battery technology initiatives, signaling a strategic move to capitalize on the burgeoning demand from artificial intelligence (AI) data centers and to address escalating energy costs. The Detroit-based automaker unveiled plans to enhance its vehicle-to-grid (V2G) capabilities for electric vehicle (EV) owners and to develop next-generation sodium-ion batteries, which Kurt Kelty, GM's vice president of battery and sustainability, anticipates will "reshape grid-scale energy storage."
GM's collaboration with Denver-based startup Peak Energy is central to its sodium-ion battery development, aiming to produce cells for customer use post-2028. These sodium-ion batteries are expected to operate without active cooling, potentially reducing complexity and costs. Furthermore, GM is continuing efforts to repurpose large EV batteries for energy storage systems with companies like Redwood Materials and to produce lower-cost lithium iron phosphate (LFP) battery cells through a joint venture with LG Energy Solution.
The company's efforts align with a broader industry trend among automakers, including rival Ford Motor, to leverage battery production capacity for energy storage solutions amid the "artificial intelligence boom" and rising U.S. residential electricity prices, which have surged nearly 48% since January 2020.