GM Invests $60 Million in Battery Startup Mitra Chem to Develop Lower-Cost EV Batteries
General Motors (GM) announced on Wednesday that it will lead a $60 million financing round in Mitra Chem, a California-based startup working on developing lower-cost batteries for electric vehicles (EVs). The investment comes as GM aims to expand its presence in the EV market and develop breakthrough battery technologies.
Mitra Chem, founded by veterans of Tesla and Toyota, is focused on developing new types of batteries based on lithium iron phosphate (LFP) chemistry. LFP batteries are of significant interest to EV manufacturers as they eliminate the need for expensive minerals like cobalt and nickel, resulting in lower production costs compared to standard lithium-ion cells. Automakers such as Tesla, Rivian, and Ford Motor are already utilizing LFP cells in their more affordable EV models.
While LFP cells have proven to be durable in EVs, they do have a drawback. Their power density is lower than that of standard cells, meaning EVs require more LFP battery cells and, consequently, more weight to achieve comparable range to vehicles powered by conventional batteries. Furthermore, most LFP cells currently available in the market are produced by Chinese companies, posing challenges for automakers aiming to qualify their EVs for U.S. subsidies.
Mitra Chem is addressing this power density issue by incorporating manganese into the batteries’ cathodes. This addition aims to increase the battery cells’ power density while retaining the cost advantage of LFP batteries. The company utilizes an “AI-powered platform” that expedites the process of testing new battery chemistries, helping it find the optimal formula.
Mitra Chem CEO Vivas Kumar stated that their battery materials R&D facility can synthesize and test thousands of cathode designs monthly, allowing for shorter learning cycles and quicker time-to-market for new battery formulas.
GM Vice President Gil Golan, tasked with accelerating the introduction of new EV technologies, expressed optimism about the collaboration with Mitra Chem. He highlighted the compatibility between Mitra Chem’s labs, methods, and talent with GM’s own R&D team’s work.
If successful, Mitra Chem’s batteries could potentially be incorporated into GM’s vehicles in the latter part of this decade, according to Golan. The financial details of GM’s investment in Mitra Chem were not disclosed.
GM’s financing of Mitra Chem underscores its commitment to advancing battery technology and making EVs more affordable. As the popularity of electric vehicles continues to grow, innovative solutions such as lower-cost batteries could play a crucial role in accelerating the transition to sustainable transportation.