September 19, 2023
Drive Shift | 3rd Edition: EV Battery Swap Solutions, Autonomous Trucks' Hurdles, and Exploring Data Privacy Concerns
Ample's Partnership with Mitsubishi Marks Next Step in the Expansion of the EV Battery Swapping Market Beyond China
As the adoption of electric vehicles continues to expand globally, so too do complementary markets like EV charging and its alternatives, garnering significant attention from the EV industry. Clearly, without reliable, fast and accessible charging solutions, the goal of mass EV adoption cannot be fulfilled. While it appears that the consensus for EV charging revolves around home or public charging stations, other solutions are striving to gain recognition and establish themselves as effective alternatives. One such alternative that warrants further exploration is battery swapping.
So, what exactly is battery swapping? In essence, it involves replacing a depleted EV battery with a fully charged one to enable rapid refueling and extended driving range. According to several comparisons, when executed correctly, battery swapping can provide a faster, more convenient, and safer charging solution that can also be gentler on the battery compared to typical fast EV charging methods.
If the idea sounds familiar to you, you are not mistaken. Companies like Tesla and the Israeli Better Place tried to develop EV battery swapping initiatives years ago. However, it seems that this concept is only recently gaining momentum. A recent example comes from last month when the Japanese automaker Mitubishi signed a global partnership with Ample, an American battery swapping startup, to implement its solution for Mitsubishi trucks sold to fleets worldwide.
The significance of this agreement goes beyond mere cooperation. In the EV industry, China is at the forefront of the battery swapping market. Chinese OEMs such as Nio and Geely, along with other local players, are considered world leaders. In addition to their ambitious plans to deploy approximately 25,000 battery swapping stations in China by 2025, they have also started to operate in the US and Europe. Nevertheless, the recent developments involving Ample, which managed to raise about $290M in the last two years and to form some significant partnerships, may indicate that battery swapping is not confined to China alone.
In conclusion, while direct EV charging currently enjoys consensus in the emerging market, battery swapping and other potential solutions (which we will likely discuss in future blogs) are poised to challenge it and vie for a share of the EV charging landscape.
While Self-Driving Trucks Could Lead the Way for Autonomous Vehicle Mass Adoption, Waymo's Fold Signals Challenges Ahead for the Industry
In the automotive market, there has been a prevailing opinion that cracking the challenge of autonomous trucks is easier than achieving autonomy in private cars. This perception stems from the fact that trucks and long haul delivery vehicles primarily operate on highways, follow predictable routes, and involve reduced complexity in maneuvering. These factors support the notion that self-driving technologies will find their initial implementation in trucks. In recent years, we have indeed witnessed rapid developments in the field, with numerous companies worldwide securing substantial financing, forming collaborations with OEMs, launching pilot projects, and even deploying the first self-driving trucks in partnership with major customers.
However, there have been recent indications that the autonomous trucking industry is facing significant challenges. Just last month, Waymo, the American autonomous driving technology company owned by Alphabet (Google), announced that it is temporarily discontinuing its autonomous truck operations, also known as Waymo Via, to focus on its robo-taxi operations. Waymo's decision coincides with the demise of another promising self-driving trucking company, Embark Trucks. Embark went public in a $5.2 billion SPAC deal and garnered more than 10,000 reservations just two years ago, with plans to expand into new markets by late 2022. However, due to a lack of funds required to commercialize the technology and a substantial drop in the share price, the company recently ceased its operations and began selling its assets.
In addition to these developments, the autonomous trucking industry faces another potential threat in the form of new regulations rapidly gaining traction in California. These regulations propose requiring human safety operators to be present in autonomous trucks. While proponents of the legislation argue it’s for safety reasons, the move is also influenced by organizations seeking to safeguard the employment of truck drivers. Given that one of the primary motivations for adopting autonomous technology is cost savings associated with eliminating driver salaries, the potential expansion of such regulations to other states or beyond the US will call into question the economic feasibility of transitioning to self-driving trucks in the coming years.
The autonomous trucking sector remains promising, and it is reasonable to expect that it will gain widespread adoption sooner or later. Nonetheless, whether the recent events represent a typical shake out process of developing technological markets or if they signify a larger trend still remains to be seen.
While the Wealth of Data Collected from Connected Vehicles Holds Promise for Drivers, California's Regulator Raises Concerns About Potential Dangers
In our rapidly evolving technological landscape, the advent of connected vehicles promises to revolutionize the way we experience transportation. While in the past, vehicles were primarily a means of transportation, recent vehicle launches more closely resemble "smartphones on wheels''. According to estimates, today there are about a quarter of a billion connected vehicles on the road, each offering varying levels of complexity and internet-based features, including navigation, infotainment, payment options, safety features, communication with external applications, and many more.
However, akin to other revolutionary technological innovations, connected cars also raise concerns regarding the vast amount of data they generate. The California Privacy Protection Agency's (CPPA) Enforcement Division has brought attention to this issue. Last month, the CPPA announced its intention to scrutinize the data privacy practices of connected vehicle providers and other relevant services providers. The objective of this review is to gain a better understanding of the data collected from each driver, how it is handled, and whether it complies with California’s privacy regulations. The CPPA is concerned that the quantity and quality of data collected from connected vehicles could potentially be used against the drivers.
Today, many car manufacturers and technology companies use the diverse data collected from vehicles to offer advanced services to drivers. These services encompass data-driven insurance, predictive maintenance, safety enhancements, and personalized value propositions. However, the emergence of these services also raises concerns. If the collected data falls into the wrong hands, it could be exploited for tracking, personal data theft, and creation of manipulative business offers.
So, what measures are being taken to prevent these kinds of incidents? Cybersecurity and data management systems for the automotive industry have become standard for OEMs, especially as cybersecurity companies like the Israel-based Upstream rapidly expanded and formed partnerships with major OEMs. The CPPA’s actions are expected to further bolster this trend, as it becomes increasingly evident that this direction benefits not only drivers but also obliges the manufacturers to prepare accordingly.
Ample's Partnership with Mitsubishi Marks Next Step in the Expansion of the EV Battery Swapping Market Beyond China
As the adoption of electric vehicles continues to expand globally, so too do complementary markets like EV charging and its alternatives, garnering significant attention from the EV industry. Clearly, without reliable, fast and accessible charging solutions, the goal of mass EV adoption cannot be fulfilled. While it appears that the consensus for EV charging revolves around home or public charging stations, other solutions are striving to gain recognition and establish themselves as effective alternatives. One such alternative that warrants further exploration is battery swapping.
So, what exactly is battery swapping? In essence, it involves replacing a depleted EV battery with a fully charged one to enable rapid refueling and extended driving range. According to several comparisons, when executed correctly, battery swapping can provide a faster, more convenient, and safer charging solution that can also be gentler on the battery compared to typical fast EV charging methods.
If the idea sounds familiar to you, you are not mistaken. Companies like Tesla and the Israeli Better Place tried to develop EV battery swapping initiatives years ago. However, it seems that this concept is only recently gaining momentum. A recent example comes from last month when the Japanese automaker Mitubishi signed a global partnership with Ample, an American battery swapping startup, to implement its solution for Mitsubishi trucks sold to fleets worldwide.
The significance of this agreement goes beyond mere cooperation. In the EV industry, China is at the forefront of the battery swapping market. Chinese OEMs such as Nio and Geely, along with other local players, are considered world leaders. In addition to their ambitious plans to deploy approximately 25,000 battery swapping stations in China by 2025, they have also started to operate in the US and Europe. Nevertheless, the recent developments involving Ample, which managed to raise about $290M in the last two years and to form some significant partnerships, may indicate that battery swapping is not confined to China alone.
In conclusion, while direct EV charging currently enjoys consensus in the emerging market, battery swapping and other potential solutions (which we will likely discuss in future blogs) are poised to challenge it and vie for a share of the EV charging landscape.
While Self-Driving Trucks Could Lead the Way for Autonomous Vehicle Mass Adoption, Waymo's Fold Signals Challenges Ahead for the Industry
In the automotive market, there has been a prevailing opinion that cracking the challenge of autonomous trucks is easier than achieving autonomy in private cars. This perception stems from the fact that trucks and long haul delivery vehicles primarily operate on highways, follow predictable routes, and involve reduced complexity in maneuvering. These factors support the notion that self-driving technologies will find their initial implementation in trucks. In recent years, we have indeed witnessed rapid developments in the field, with numerous companies worldwide securing substantial financing, forming collaborations with OEMs, launching pilot projects, and even deploying the first self-driving trucks in partnership with major customers.
However, there have been recent indications that the autonomous trucking industry is facing significant challenges. Just last month, Waymo, the American autonomous driving technology company owned by Alphabet (Google), announced that it is temporarily discontinuing its autonomous truck operations, also known as Waymo Via, to focus on its robo-taxi operations. Waymo's decision coincides with the demise of another promising self-driving trucking company, Embark Trucks. Embark went public in a $5.2 billion SPAC deal and garnered more than 10,000 reservations just two years ago, with plans to expand into new markets by late 2022. However, due to a lack of funds required to commercialize the technology and a substantial drop in the share price, the company recently ceased its operations and began selling its assets.
In addition to these developments, the autonomous trucking industry faces another potential threat in the form of new regulations rapidly gaining traction in California. These regulations propose requiring human safety operators to be present in autonomous trucks. While proponents of the legislation argue it’s for safety reasons, the move is also influenced by organizations seeking to safeguard the employment of truck drivers. Given that one of the primary motivations for adopting autonomous technology is cost savings associated with eliminating driver salaries, the potential expansion of such regulations to other states or beyond the US will call into question the economic feasibility of transitioning to self-driving trucks in the coming years.
The autonomous trucking sector remains promising, and it is reasonable to expect that it will gain widespread adoption sooner or later. Nonetheless, whether the recent events represent a typical shake out process of developing technological markets or if they signify a larger trend still remains to be seen.
While the Wealth of Data Collected from Connected Vehicles Holds Promise for Drivers, California's Regulator Raises Concerns About Potential Dangers
In our rapidly evolving technological landscape, the advent of connected vehicles promises to revolutionize the way we experience transportation. While in the past, vehicles were primarily a means of transportation, recent vehicle launches more closely resemble "smartphones on wheels''. According to estimates, today there are about a quarter of a billion connected vehicles on the road, each offering varying levels of complexity and internet-based features, including navigation, infotainment, payment options, safety features, communication with external applications, and many more.
However, akin to other revolutionary technological innovations, connected cars also raise concerns regarding the vast amount of data they generate. The California Privacy Protection Agency's (CPPA) Enforcement Division has brought attention to this issue. Last month, the CPPA announced its intention to scrutinize the data privacy practices of connected vehicle providers and other relevant services providers. The objective of this review is to gain a better understanding of the data collected from each driver, how it is handled, and whether it complies with California’s privacy regulations. The CPPA is concerned that the quantity and quality of data collected from connected vehicles could potentially be used against the drivers.
Today, many car manufacturers and technology companies use the diverse data collected from vehicles to offer advanced services to drivers. These services encompass data-driven insurance, predictive maintenance, safety enhancements, and personalized value propositions. However, the emergence of these services also raises concerns. If the collected data falls into the wrong hands, it could be exploited for tracking, personal data theft, and creation of manipulative business offers.
So, what measures are being taken to prevent these kinds of incidents? Cybersecurity and data management systems for the automotive industry have become standard for OEMs, especially as cybersecurity companies like the Israel-based Upstream rapidly expanded and formed partnerships with major OEMs. The CPPA’s actions are expected to further bolster this trend, as it becomes increasingly evident that this direction benefits not only drivers but also obliges the manufacturers to prepare accordingly.
