QuantumScape and PowerCo broaden their collaboration in solid-state battery projects
PowerCo Expands Partnership with QuantumScape to Scale Up Solid-State Battery Production
PowerCo, a subsidiary of the Volkswagen Group, has expanded its partnership with QuantumScape to increase the production of QuantumScape's QSE-5 solid-state batteries. The updated licensing agreement allows PowerCo to produce up to an additional 5 gigawatt-hours (GWh) of QSE-5-based cells annually, catering to both internal and external customers of the Volkswagen Group.
Key details of the expanded partnership include:
- Financial commitment: PowerCo will provide up to $131 million in new payments over the next two years, contingent on milestone achievements by the joint scale-up team, in addition to a previously announced $130 million upon technical progress and licensing execution.
- Pilot line acceleration: The agreement is designed to accelerate the QSE-5 battery pilot production line in San Jose, enabling earlier PowerCo involvement in production and automation efforts to scale manufacturing and technology transfer.
- Broader manufacturing rights: Beyond the additional 5 GWh, the broader licensing arrangement allows PowerCo to manufacture up to 40 GWh annually using QuantumScape’s technology, with an option to increase to 80 GWh per year. This capacity could supply batteries for around one million vehicles annually.
- Technology focus: The QSE-5 battery, QuantumScape’s first commercial product, features approximately 5 Ah capacity, energy density over 844 Wh/L, and fast charging (12.2 minutes from 10% to 80% state of charge).
- Collaboration framework: A dedicated joint scale-up team with specialists from both companies will drive production scale-up and commercial readiness.
This expanded partnership marks a major advance in the commercialization of QuantumScape’s technology. PowerCo's increased production rights enable significant scale-up of QSE-5 solid-state battery production and broaden their ability to supply batteries beyond the Volkswagen Group. The production scale includes the potential for cells beyond those needed by the Volkswagen Group. PowerCo is integrated early into the production and automation processes of QSE-5 cells by QuantumScape. Production capacity includes cells for customers outside the Volkswagen Group. PowerCo also gains access to certain future technologies from QuantumScape.
The partnership continues to be contingent on achieving certain milestones. With this expanded partnership, both companies aim to accelerate the development and production of solid-state batteries, contributing to a more sustainable future for the automotive industry.
[1] PowerCo press release, July 2024. [2] QuantumScape press release, July 2024. [3] Volkswagen Group press release, July 2024.
Science and technology are at the forefront of PowerCo's expanded partnership with QuantumScape, as the agreement focuses on the scalable production of QuantumScape's QSE-5 solid-state batteries, which boast energy densities over 844 Wh/L and fast charging capabilities. This collaboration is expected to contribute significantly to a more sustainable future for the automotive industry through advanced battery technology.
