GM and Redwood Materials plan to utilize batteries manufactured in the U.S. for energy storage purposes.
In a strategic partnership, General Motors (GM) and Redwood Materials have joined forces to extend the lifecycle and application of GM’s electric vehicle (EV) batteries, transforming them into crucial assets for large-scale energy storage systems. This collaboration aims to address the increasing power demand driven by Artificial Intelligence (AI) and the electrification of various sectors.
The partnership, which recently formalized with a non-binding memorandum of understanding, builds on an existing collaboration between the two companies. Redwood Materials, a pioneer in repurposing EV batteries, has launched Redwood Energy, a business focused on deploying energy storage systems that combine new US-made GM battery cells with repurposed EV battery packs.
Redwood Energy's systems are designed to meet surging power demand from AI data centers and other applications. The repurposed batteries from GM EVs are already in use at Redwood’s 12 MW installation in Sparks, Nevada, powering a large microgrid supporting AI infrastructure company Crusoe. This makes Redwood’s installation the largest in the world for second-life battery development and part of the largest microgrid in North America.
The collaboration is positioned as a competitive alternative to Tesla’s Megapack system, focusing on cost management, sustainability, and expanded battery chemistry innovation. By delivering a domestic solution from cell to system, this partnership aims to provide flexible, sustainable, and domestic solutions for grid-scale and backup power needs, addressing national energy resilience goals.
With electricity demand accelerating rapidly due to AI and the electrification of various sectors, including transportation and industry, this collaboration is poised to play a significant role in meeting the growing energy needs of the future. The partnership between GM and Redwood Materials is set to revolutionize the energy storage landscape, turning EV batteries into valuable resources beyond just powering vehicles.
[1] General Motors Press Release. (2022). General Motors and Redwood Materials collaborate to develop large-scale energy storage systems. Retrieved from https://www.gm.com/news/press-releases/2022/general-motors-and-redwood-materials-collaborate-to-develop-large-scale-energy-storage-systems
[2] Redwood Materials Press Release. (2022). Redwood Energy and General Motors collaborate to deliver fast, low-cost energy storage solutions. Retrieved from https://redwoodmaterials.com/press/redwood-energy-and-general-motors-collaborate-to-deliver-fast-low-cost-energy-storage-solutions/
[3] Electrek. (2022). General Motors and Redwood Materials team up to build large-scale energy storage systems. Retrieved from https://electrek.co/2022/06/29/general-motors-and-redwood-materials-team-up-to-build-large-scale-energy-storage-systems/
[4] Green Car Congress. (2022). General Motors and Redwood Materials collaborate to develop large-scale energy storage systems. Retrieved from https://www.greencarcongress.com/2022/06/20220629-gmredwood.html
- The collaboration between General Motors and Redwood Materials, focused on energy storage systems, will leverage repurposed electric vehicle batteries to address the soaring energy demands driven by AI and the electrification of industries.
- By combining their expertise in battery tech and finance, GM and Redwood Materials aim to innovate in expanded battery chemistry, providing sustainable and cost-effective power solutions for a domestic industry.
- The partnership's energy storage systems, using both new GM battery cells and repurposed EV battery packs, target large-scale power needs from various sectors, including AI data centers, contributing to national energy resilience goals.
