Rafael Reyes on Thursday, 23 September 2010 15:10
Better Place, GE plug in
BACC partner Better Place has struck a partnership with GE:
Under the new partnership, GE and Better Place will develop a battery financing program, beginning with a project to finance 10,000 batteries in Israel and Denmark. The two companies will also push for electrification of corporate fleets.
Through the deal GE will also make its WattStation charger launched earlier this year in San Francisco compatible with Better Place's network.
The entry of GE earlier this year signaled a dramatic step up in the competition and maturation of the electric vehicle market. With a market cap of over $160 billion, GE is larger than any individual automaker (Toyota being the largest at over $110).
GE brings financing clout, an essential component, and marketing reach. But this deal also signals the importance of the backend part of the business model of charger startups - it's not just the chargers, but it's also the network.
In another sign players are looking ahead, GM has begun testing having batteries put power back on the grid to smooth electrical demand eg: "vehicle to grid". Still a way off but it is perhaps a key strategy to support renewable energy.