Ola switches on electric vehicle battery cell tech pioneered by Tesla

Starts trial run with 4680 battery cells

In the coming months, Ola Electric is set to join a select group of electric vehicle (EV) manufacturers by starting the commercial use of the cutting-edge 4680 battery cells.

Currently undergoing trial runs in Ola Electric’s two-wheelers, these battery cells are designed and manufactured in-house by Ola Electric’s subsidiary, Ola Electric Mobility.
 

The 4680 battery is viewed as a game-changer in the global battery market. The name originates from Tesla’s decision to use a larger cylindrical structure, increasing the size from 21 millimetres (mm) in diameter and 70 mm in length to 46 mm in diameter and 80 mm in length, hence ‘4680.’
 

The new battery cells offer 5x more energy density and 6x more energy output than the current 2170 battery cells. In layman’s terms, they can store more energy and handle heat, leading to a mileage and range boost of over 20 per cent.
 

According to an Ola Electric project report, only 40 cells per battery pack will be required for a 4 kilowatt-hour-powered electric scooter, compared to the 110 cells needed with the current technology. 

This results in reduced costs (fewer cells mean less material), fewer failure points, and improved efficiency due to the lower weight of the batteries.
 

Others in this elite group include Elon Musk’s Tesla, which pioneered the commercial use of this new technology in 2021 for its Model Y and Cybertruck by producing the batteries in-house. Tesla is now also collaborating with global battery manufacturers.

German giant BMW, America’s General Motors, the European vehicle group Stellantis (owner of Jeep, Citroën, Fiat, and Peugeot), and several Chinese automakers are also adopting this technology.
 

In electric two-wheelers, VinFast, which has also launched electric cars and is planning a factory in India, has announced a partnership with the Israeli company StoreDot to commercially produce Tesla-like 4680 batteries by 2025.
 

According to sources, Ola Electric Mobility has filed over 200 patents for developing the new battery technology. It will be among the dozen or so battery companies worldwide that own and manufacture these indigenously developed batteries.

Ola will use the batteries it manufactures at its Tamil Nadu plant for captive consumption, starting with a production rate of 10,000 cells per day.
 

Estimates indicate that its plant will produce 5.45 million cells by the second half of 2025, with a capacity of 6.4 gigawatt-hours (GWh) per annum.
 

With monthly sales of 100,000 EVs, Ola will require around 4 million cells per month. Ola has received approval under the production-linked incentive scheme to build a 20 GWh capacity plant. The company has also just received a green light from the Securities and Exchange Board of India for its upcoming Rs 5,500 crore initial public offering and is awaiting formal approval.
 

A spokesperson for Ola declined to comment.
 

India will be among the few countries with this battery cell technology, joining China, Japan, South Korea, and the US.

LG Energy Solution has started mass production of cylindrical batteries for Tesla and plans to invest billions to ramp up production.
 

Close competitors, including Samsung SDI Co. and SK on Co., are also working to produce the 4680 batteries, with Panasonic set to roll them out sometime this year.
 

China, led by Contemporary Amperex Technology Co. (CATL), the world’s largest battery maker, began mass production of the 4680 battery in March 2023, providing a range of over 1,000 kilometres per charge. CATL has licensed the technology to Tesla.

Other Chinese players include BAK Power, Sunwoda Electronic Co., SVOLT Energy Technology (which has a technology tie-up with Exide in India), and Yahua.
 

However, many automakers contend that the 4680 batteries might initially be more expensive — this was Tesla’s experience — until large-scale production begins. Additionally, they might have a shorter shelf life.

Supercharged
 

 Pros

> Stores more energy per unit of volume or weight, thus increases range

> Reduces capex compared to 2170, as fewer cells and materials required, lowering assembly costs. It also reduces failure rates

> Delivers higher power for better acceleration and performance
 

 Cons

> Could cost more until volumes kick up

> Alternatives like BYD’s ‘blade technology’ are already available 

> Shelf life might be shorter