Here’s a detailed and easy-to-understand article based on the JETRO news about GM and Redwood’s partnership, incorporating related information:
Giving Old Batteries New Life: GM and Redwood Partner to Power Data Centers with Used EV Batteries
Tokyo, Japan – July 24, 2025 – In a significant move towards a more sustainable future, General Motors (GM) and Redwood Materials, a leading battery recycling and circular economy company, have announced a groundbreaking partnership. This collaboration will see used electric vehicle (EV) batteries repurposed to power data centers, a critical component of our increasingly digital world.
This initiative, reported by the Japan External Trade Organization (JETRO) on July 24, 2025, highlights a growing trend of “second-life” applications for EV batteries, moving beyond their initial automotive use.
What’s Happening?
GM, a major player in the automotive industry and a significant investor in electric vehicles, will be supplying Redwood Materials with retired EV batteries from their Chevrolet Bolt EV and Bolt EUV models. Redwood Materials, founded by Tesla co-founder J.B. Straubel, specializes in advanced battery recycling and the remanufacturing of battery materials.
The core of this partnership is repurposing. Instead of simply recycling the valuable materials within these batteries, GM and Redwood will work together to test and deploy these batteries in stationary energy storage systems. These systems are specifically designed to provide reliable power to data centers.
Why is This Important?
This partnership tackles several critical challenges and opportunities:
-
Sustainability and the Circular Economy:
- Reducing Waste: EV batteries, while powerful, have a finite lifespan in vehicles. Repurposing them extends their usefulness, significantly reducing the amount of battery waste generated.
- Resource Conservation: By reusing batteries for a second purpose, we lessen the immediate demand for newly mined raw materials like lithium, cobalt, and nickel, which are essential for battery production. This supports a more circular economy where resources are kept in use for as long as possible.
- Lower Carbon Footprint: Manufacturing new batteries is an energy-intensive process. Utilizing existing batteries for data centers, which require constant power, can contribute to a lower overall carbon footprint for both the automotive and data center industries.
-
Addressing the Growing Demand for Data Center Power:
- Energy Intensity of Data Centers: Data centers, the backbone of cloud computing, artificial intelligence, and the internet, are notoriously energy-intensive. They require a constant and reliable supply of electricity to operate 24/7.
- Grid Strain and Renewable Energy Integration: As the demand for digital services grows, so does the strain on existing power grids. Stationary battery storage can help stabilize the grid, absorb excess renewable energy (like solar and wind), and provide power during peak demand or outages.
-
Economic Benefits:
- New Revenue Streams for Automakers: This partnership opens up new revenue streams for automakers like GM by providing a valuable second life for their batteries.
- Cost-Effective Power Solutions: Repurposed batteries can potentially offer a more cost-effective energy storage solution for data centers compared to solely relying on new battery installations or traditional power sources.
How Does it Work? (The “Second Life” Concept)
When an EV battery can no longer hold enough charge to reliably power a vehicle, it’s not necessarily “dead.” The battery management system (BMS) determines its suitability for automotive use, but the battery might still retain a significant percentage of its original capacity.
Here’s the general process for repurposing:
- Collection and Testing: GM will collect retired EV batteries. Redwood Materials will then thoroughly test and grade these batteries to assess their remaining capacity, performance, and safety.
- Repurposing and Integration: Batteries that meet specific performance criteria will be reconfigured into larger battery energy storage systems (BESS). These systems will include advanced power electronics and battery management software to ensure safety and optimal performance for stationary applications.
- Deployment in Data Centers: These repurposed battery systems will then be deployed within or near data centers to provide:
- Backup Power: Ensuring uninterrupted operations in case of grid outages.
- Peak Shaving: Storing energy during off-peak hours (when electricity is cheaper) and discharging it during peak demand (when electricity is more expensive), reducing operational costs for data centers.
- Renewable Energy Integration: Storing excess renewable energy generated on-site or from the grid, allowing data centers to utilize cleaner energy sources more effectively.
What Does This Mean for the Future?
This partnership between GM and Redwood Materials is a significant step towards a more sustainable and efficient future for both the automotive and technology sectors. It signals:
- A Maturing EV Battery Ecosystem: As the EV market grows, the need for robust battery recycling and repurposing solutions becomes increasingly crucial. This partnership demonstrates that such solutions are becoming a reality.
- Innovation in Energy Storage: The demand for reliable and sustainable energy storage is only set to increase. Repurposing EV batteries offers a compelling alternative to traditional methods.
- Industry Collaboration: This type of cross-industry collaboration is vital for addressing complex environmental and technological challenges.
While the initial focus is on data centers, the potential applications for repurposed EV batteries are vast, including powering homes, businesses, and even entire communities. This groundbreaking initiative by GM and Redwood Materials is a powerful example of how innovation can drive both economic growth and environmental responsibility.
EVバッテリーをデータセンター用蓄電池に転用、米GMとレッドウッドが提携
The AI has delivered the news.
The following question was used to generate the response from Google Gemini:
At 2025-07-24 01:25, ‘EVバッテリーをデータセンター用蓄電池に転用、米GMとレッドウッドが提携’ was published according to 日本貿易振興機構. Please write a detailed article with related information in an easy-to-understand manner. Please answer in English.