Mercedes-Benz and U.S. battery startup Factorial are working on a solid-state battery that should dramatically increase electric vehicle range and be ready for production by the end of the decade, the companies said on Tuesday.

The new battery, dubbed Solstice, should extend EV range about 80% above today’s average, with an energy density of 450 Watt-hours per kilogram, the companies said in a statement.

Solid-state batteries have been billed as a game-changing technology for EVs, as they should reduce fire risk and allow for lighter, lower-cost cars than can travel further on a single charge.

But they have proven harder than expected for major automakers and battery making partners to develop at scale.

Auto groups are urgently seeking ways to cut costs and boost EV range as sales have stagnated in Europe in particular.

Factorial has already developed a quasi-solid-state battery that automakers including Mercedes are testing and should be in EVs on the road in 2026.

Mercedes has invested in Factorial, which raised $200 million in 2022, alongside rivals Stellantis and Hyundai.

“Factorial developed quasi-solid-state batteries first because they can use similar production lines to conventional lithium-ion batteries, meaning they can scale up faster”, CEO Siyu Huang said in a statement.

In a solid-state battery, the liquid electrolyte through which the electrical charge passes should be replaced with a solid substitute, reducing fire risk and shrinking battery pack size.

Huang said that solid-state batteries would not require expensive, heavy cooling systems needed for today’s battery packs, allowing automakers to further reduce costs.

“We’re not just focused on the cost of (battery) cell, but the cost of the overall vehicle,” she said.

The challenges of developing solid-state batteries include poor performance in cold weather and the battery pack’s tendency to expand.

Mercedes Chief Technology Officer Markus Schaefer told Reuters that Factorial’s solid-state batteries could provide a 40% improvement in energy density over the German premium automaker’s high-performance batteries today.

This would enable Mercedes to either significantly reduce EV battery pack size – batteries are an EV’s most expensive and heaviest component – or provide long-range electric cars for those who want them.

He added that lighter batteries would allow Mercedes to use steel for EV bodies instead of far more expensive and carbon intensive high-strength aluminum.

Mercedes is also working with Taiwanese battery maker ProLogium, in which it has invested, on solid-state batteries and is researching high-silicon anodes as an alternative solution to increase EV battery density.

“There are some challenges that you have to get under control, but … we have great engineering solutions to address them,” Schaefer said, adding that he believed Factorial’s goal of developing Solstice at scale by the end of the decade was realistic.

The House of Representatives has asked the Bureau for Public Enterprise (BPE) to account for about N10 billion allegedly spent to register two companies for the Nigeria Postal Service (NIPOST).

Rep. Bamidele Salam, Chairman, House Committee on Public Accounts made the call in Abuja at the resumed investigative hearing of the committee.

The legislator is more worried that the companies registered with such enormous amount have folded up after one year of takeoff.

According to Salam, the companies, NIPOST Transport and Logistics Ltd., and NIPOST Property reportedly took off in May 2023 and folded up through a Presidential directive in May 2024.

“No reasonable Nigerian will believe that N10.4 billion was spent to register the two companies. The companies eventually folded up one year after takeoff,” he said. 

However, the BPE Head of Finance and Accounts who stood in for the Director-General of the Agency, Mr Imam Rilwan, told the committee that for the said amount, N10 million was given to the two companies for their take-off.

He said that about N400 million was given to the BPE to prepare the ground for the takeoff of the companies, noting that the issue of registering the two companies for NIPOST was approved in 2017.

He explained that this paved the way for BPE to expend about N423 million in registering and carrying out other activities for the eventual takeoff of the companies.

He said when the money was eventually released in 2023 the bureau had to recover its money, adding that the N423 million given to the BPE was used to rent office accommodation among other essential services.

According to him, while the bureau paid rent for the two companies from 2022, the companies took possession of the offices in May 2023, while they folded up in May 2024. Rilwan added that all property belonging to the two companies had been officially handed over to NIPOST management.

Responding, Salam said spending money from the government coffers before the money was released was a violation of the provisions of the Public Procurement Act.

Salam, however, directed the Director-General of BPE, Ayodeji Gbeleyi, to personally appear before the committee on September 11 at 12 noon with all relevant documents relating to the transaction.

Earlier this year, it was reported that the N10 billion earmarked by the government to restructure NIPOST had allegedly gone missing. This led to the Senate ordering a probe into the missing restructuring funds released by the Federal Ministry of Finance.

The Senate allegedly discovered that illegal transfers were made to private individuals from two subsidiaries (NIPOST Properties and Development Company and Transport and Logistics Services Limited).

Meanwhile, the Corporate Affairs Commission (CAC) in April announced the revocation of the certificates of incorporation of two NIPOST companies, NIPOST Properties & Development Company Limited and NIPOST Transport & Logistics Company.

According to the Commission, the certificates of incorporation were “inappropriately procured”. With the revocation, CAC said all assets of the companies should be transferred to the parent company, NIPOST.

Panasonic Holdings Corp. said Tuesday it will end its sponsorship contract with the International Olympic Committee, putting an end to its 37-year marketing tie-up with the event.

The Japanese company agreed with the IOC not to extend the partnership after its current top-tier sponsor contract term ends in December, Panasonic said.

Although the company’s “support of the Olympic philosophy” remains unchanged, the group decided to end the sponsorship as it “continually reviews how sponsorship should evolve with broader management considerations,” Panasonic said in a press release

The leading maker of electronics has been providing broadcast cameras, sound systems and projection equipment used in the sporting event, but is shifting its focus to such growing products as batteries for electric vehicles.

The Panasonic group is reducing its dependence on audio and visual products, deciding in July to sell its commercial-use projector business.

Panasonic first became an Olympic sponsor in 1987 and expanded its partnership to the Paralympic Games in 2014. The company will terminate its contracts for both games, it said.

Panasonic joins Toyota Motor Corp. in withdrawing from a top-level Olympics marketing agreement. Toyota plans to end its contract for the Olympics, but continue sponsorship for the Paralympics, people familiar with the matter have said in May.

“Over the past 37 years, we have gained many valuable experiences” through the sponsorship and “deepened our bonds with sports fans and athletes around the world,” Panasonic CEO Yuki Kusumi said in the press release.

“The IOC understands and fully respects that the Panasonic Group has to adapt its business strategy. Therefore, this partnership is ending in a respectful and friendly way.” IOC President Thomas Bach said.