British startup Ionetic, specializing in the development of electric vehicle battery packs for low-volume automakers, has commenced production at its pilot plant in the UK, as the company prepares to expand its operations in collaboration with various manufacturers, according to a statement made on Tuesday.
The facility, located in Brackley, Northamptonshire, represents an investment of £5 million ($6.3 million) and is part of Ionetic’s initiative to create EV battery packs for several British and U.S. automotive companies, as noted by CEO James Eaton in his comments to Reuters.
Major global automotive manufacturers have pledged substantial investments, totaling hundreds of billions of dollars, to facilitate the development of electric vehicles, with the battery packs and the associated software systems being among the most intricate and costly components.
Ionetic is specifically focusing on catering to lower-volume manufacturers involved in the production of various vehicles, including buses, commercial trucks, sports cars, and off-road vehicles, as well as niche products like golf carts and beach buggies, which may find it challenging to finance their own EV development efforts.
“The really big players can throw hundreds of millions or even billions at electrification,” Eaton remarked. “But around 90% to 95% of manufacturers are small and don’t have hundreds of millions of pounds to go electric.”
Eaton further elaborated that while an automaker might have to invest over £30 million in developing an in-house EV battery pack, Ionetic aims to provide a cost-effective solution, typically under £1 million, for its customers. “We want customers to spend as little as possible to get to production with a great battery pack,” he added.
Although low-volume manufacturers could consider generic off-the-shelf battery technologies, there is a risk that these solutions might not satisfy their specifications for range, power, and performance. Ionetic is currently engaged in a research and development initiative with Alexander Dennis, a subsidiary of Canada’s NFI Group, though Eaton has not disclosed other automotive partners at this stage.
This announcement aligns with Nissan’s recent commitment to a turnaround plan, which the automaker is progressing this month. Ionetic has partnered with Rockwell Automation to incorporate hardware and software into its pilot plant operations. Rockwell is supplying digital twin software, enabling Ionetic to conduct virtual tests on battery packs prior to initiating production, Eaton noted.
Source: Reuters
