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Honda Makes Surprise Bet on Solid-State Batteries With New Research Deal

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Why This Matters

Honda's partnership with QuantumScape signifies a major step forward in solid-state battery development, which could revolutionize electric vehicle performance and safety. This collaboration highlights the industry's growing confidence in solid-state technology as a viable next-generation energy storage solution, with potential impacts across various sectors beyond automotive. For consumers, advancements in this technology promise longer-lasting, faster-charging, and safer batteries in the near future.

Key Takeaways

Honda R&D, the independent research and development arm of Honda Motor Company, has signed a multi-year joint research agreement with California-based battery technology company QuantumScape. The deal, announced on Thursday, is focused on developing and manufacturing solid-state battery cells.

The agreement follows Honda's review of QuantumScape's technology, providing an important vote of confidence in the company's solid-state battery efforts.

Why solid-state?

Solid-state batteries are often viewed as one of the most promising advances in next-generation energy storage. They could allow electric vehicles to travel farther, charge more quickly and operate more safely than those using today's lithium-ion batteries. The potential uses go beyond electric vehicles. The technology could also help power AI data centers, aircraft and defense systems.

Not every solid-state battery claim has gone unchallenged. Earlier this year, Finnish startup Donut Lab attracted attention after announcing what it described as the world's first production-ready solid-state battery. More recently, battery researcher Ryan Inis Hughes, who publishes on YouTube as Ziroth, questioned that claim, arguing that the cell appears to rely on conventional lithium-ion chemistry rather than the sodium-ion solid-state design the company implied.

Enlarge Image QuantumScape kicked off pilot production of its 5-amp-hour QSE-5 solid-state cell earlier this year at its San Jose, California, headquarters. Antuan Goodwin/CNET

QuantumScape, by contrast, appears to have stronger validation for its technology. An existing deal licensing its technology to PowerCo SE, the battery company of the Volkswagen Group, gave the company its first major automotive alignment. Honda's more recent evaluation and research agreement reinforces the appearance that its technology is holding up under serious scrutiny.

"QS technology demonstrated compelling and unique advantages during our evaluation," Atsushi Ogawa, chief operating officer of Honda R&D, said in a statement accompanying the announcement. "We see potential for QS technology to add value across a range of applications, including automotive, and we are excited to move forward into the next phase of our partnership."

The deal is a meaningful step toward solid-state battery tech reaching consumer cars. Earlier this year, QuantumScape opened its Eagle Line pilot facility at its Silicon Valley headquarters. The facility will produce QSE-5 solid-state battery samples for partner evaluations and serve as a blueprint for large-scale manufacturing before customers such as Honda commit to licensing the technology.

Honda's wider electrification picture

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