Battery industry will boom, but will profits?
July 2018

July 2018

This article discusses a new report by Arthur D. Little entitled, ‘Future of batteries: Winner takes all?’ The report says that for electric vehicles to become cost-competitive with traditional models, a battery pack cost of $100/kWh is needed, which means a rather significant cost reduction as present prices are on the order of $190 to $250/kWh. According to the report, the battery market is anticipated to grow to $90 billion plus by 2025. It was $60 billion in 2015. But these figures are not all EV-related, as batteries for internal combustion engine vehicles (starter, lighting, ignition), as well as electronic device and storage applications are included. The article discusses three scenarios that may play out in the next few years regarding battery technology development based on the report findings.