DETROIT -- BMW and Ford are leading a $130 million funding round in a solid-state battery startup, Solid Power, as automakers push to lower the cost of electric vehicles by investing in the development of affordable but powerful rechargeable batteries, BMW said in a statement.
The Series B investment round, which includes venture capital firm Volta Energy Technologies, allows Solid Power to expand in-house manufacturing capabilities and positions the battery maker to eventually supply future EVs, possibly by the end of the decade, according to BMW battery cell technology chief Peter Lamp.
Solid Power declined to say at what level the funding round values the company.
"The partnerships and the capital that comes along with it are really going to put us on a good footing to execute on our road map, which simply speaking is qualifying this technology for vehicle use and getting them into vehicles in the not-too-distant future," Solid Power CEO and co-founder Doug Campbell said in an interview.
Automakers are racing to develop EVs amid tightening CO2 emissions standards in Europe and China.
Solid-state battery technology involves a high-capacity energy storage device that improves on lithium ion batteries, replacing the liquid or gel-form electrolyte with a solid, conductive material. Among other benefits, the new technology offers more energy density and better safety due to a lack of flammable components.