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3D_Eng
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Iron
Where to Invest
3D_Eng   8/25/2011 9:54:10 AM
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I realize that automakers are investing in battery technology, but with numbers like $26,000 for a 40kWh battery it seems that this is where the bulk of R&D money needs to be spent. 

What are the major cost drivers?  The battery technology, MFG technology or volume?

I like to think I can be objective in my purchasing decisions making conscious environmental choices.  But I am not likely to buy an electic car when I can buy a fairly nice second car for what the battery of the first costs.

Beth Stackpole
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Big batteries, big costs
Beth Stackpole   8/25/2011 8:55:18 AM
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Interesting post, Chuck. As you well note, there is thread of consistency here: Auto makers looking to appeal to the mass market (i.e., want lower cost) go for the smaller, less expensive batteries while the higher-end models go for the gusto with big, albeit, very pricey batteries to support their all-electric designs.

I'm wondering, though, if those companies opting for the smaller, less expensive batteries will ultimately jeopardize their offerings because consumers won't see the value as a whole in what they're expecting from an EV, even a hybrid EV. If battery size is inevitably going to go up and the prices accordingly, isn't this strategy just prolonging the inevitable and setting the wrong expectation?

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