Micro Fuel Cells: A Coming-Out Party in 2005

Ongoing fuel cell research may provide an alterative energy/power source for vehicles in a decade or so. However, 2005 should be a pivotal year for micro fuel cells as an alternate energy source for portable products. In 2004, DoCoMo, the mobile phone unit of Nippon Telegraph and Telephone announced plans to launch a fuel cell powered 3G handset by 2005. Other well-known technology leaders working in this area include Nokia, Toshiba, Hitachi, Casio, Sharp, NEC, and Motorola. However, not-so-well-known companies such as MTI MicroFuel Cells, Inc. and Medis Technologies could be the first companies with initial product introductions in 2005. Both companies have unique approaches for micro fuel cells.

MTI Micro's methanol fuel cell technology, dubbed Mobion, reduces system complexity by eliminating two pumps and is less than 40cc in size. Late in 2004, MTI Micro was on schedule to deliver its first product powered by Mobion before the end of the year for an Intermec handheld RFID device.

William Acker, President and CEO of MTI MicroFuel Cells says, "In 2005 our sales forecasts are modest, but we will be gathering real customer and field experience that will prove invaluable as we finalize plans for future high volume, new product introductions."

Medis Technologies' has taken a significantly different approach with its disposable Power Pack micro fuel cells. They use a proprietary non-methanol liquid electrolyte that has a flammability of 250C instead of the 11C flammability of methanol, so it can be carried on airplanes today.

"We expect that in 2005 we will complete the final steps in setting up our tooling so that Power Packs are available for customers," says Robert K. Lifton, Chairman and CEO of Medis Technologies. "By the end of next year, we will begin volume production."

To attract high volume customers fuel cells must address challenges such as standardization, energy density (fuel efficiency rates), methanol crossover, and other key challenges, says Sara Bradford, an analyst for Frost & Sullivan who authored a fuel cell research report in September 2004.

Semiconductor companies, including start-ups such as Phoenix Analog, could help with the standardization. "You need an application-specific IC for monitoring and controlling the cell and for regulating and converting its output if you expect to meet the size and cost goals," says Zohar Raz, vice president of sales & marketing for Phoenix Analog. Phoenix Analog plans to design such an application specific standard product (ASSP) to meet the ramp up of micro fuel cell production, which they expect to occur by 2006.