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Simplo Technology CEO Self-promotes with Analysis of Li-ion Cell Biz

Taking advantage of his position as a major player in the lithium-ion battery sector, F.H. Sung, chairman and CEO of Simplo Technology Co., Ltd., recently pitched his company`s strength and capability in the EV (electric vehicle) lithium-ion battery business to a delegation of about 100 executives from all major automakers in China, during a recent Conference on Cross-strait Cooperation and Exchange in the Automobile (Including Battery Energy Storage) Industry, held Nov. 23-25, 2009 at the Taipei International Convention Center, as well as analyzing in detail the current EV lithium-ion battery industry, while expressing his ambition to take the lead in the electrifying segment, duplicating Simplo`s efforts in the global notebook PC lithium-ion battery market.

Hurdles Remain
With many more technical hurdles to clear and external variables, Sung said, EV batteries still need to meet many stringent requirements-as improved safety, rapid recharging, more recharging cycles or longer battery life, lower self-discharge, higher power-density, higher energy-density, and affordability-to be more popular.

Lithium-ion battery makers worldwide are aggressively trying to find individual solutions to meet the above-mentioned requirements, reflecting their confidence in the promising potential of such batteries in the next 10 to 20 years.

Optimal solutions are mainly culled from choosing the right materials to make the anodes of various lithium-ion batteries. Mainstream anode materials for EV batteries currently include LiMn2O4, LiFePO4, and LiCo1-x-yNixMnyO2 or the so-called tri-elements, Sung said, with the first two being used more often for EV battery anodes, with the latter more for portable consumer-electronics; while most cathode materials are graphite-based.

Each anode material has particular structure, characteristics and advantages, the chairman continued. For example, LiFePO4 has better thermal stability than LiMn2O4, but relatively inferior energy-density per unit volume and energy-density per unit weight: 130-279 Wh/L and 80-130 Wh/kg versus 250-320 Wh/L and 100-150 Wh/kg. In addition, he said, the LiFePO4 has ordered-olivine structure and the latter spinel structure.

"As a leading lithium-ion battery supplier globally, Simplo has tested virtually all available power cells from companies worldwide," Sung stated, "and we know what works well according to customers` needs and specifications."

Sung said that the lithium-ion battery market is mainly dominated by makers in five nations: American companies like A123, Johnson`s control, EnerDel, Boston Power etc.; mainland Chinese makers as BYD, Amperex Technology, Tianjin Lishen Battery, BAK, Coslight, ATL etc.; Japanese firms as Toshiba, Panasonic, Sanyo Sony, NEC etc.; South Koreans as LGC, SBL etc.; and Taiwanese as Lanyo, Amita Technologies, Molicel, Phoenix Silicon International etc.

Not for Everyone
"The current lithium-ion battery market is haphazard and chaotic with many small companies joining the game without meeting unified specifications, sizes, and performance standards," Sung said. "Simplo being a battery packer rather than cell maker, I think only 10% of the existing cell makers will survive. No amateurs can make good batteries, especially overnight, as the business calls for major investments and cutting-edge technologies."

Many challenges remain for EV power-cell makers, Sung said, and the game is one of attrition, with potentially very lucrative returns for die-hards.

Saying that the EV battery market is a maze pocked with drawbacks would be an understatement. Besides the above-mentioned issues, the market also faces other challenges as excessive types of cells causing low uniformity and mutual-compatibility; huge gaps in product quality and durability; high product development startup, certification and production line costs; and low yield and production flexibility. In addition, the stubbornly high production cost prevents Li-ion batteries from becoming popular, which is compounded by too many types of anode materials that are difficult to pack as batteries.

"The essential path to fully tap the high-potential EV power-cell market is standardization," Sung claimed, urging all makers to aim for such direction, particularly to standardize anode and cathode materials, sizes, and packaging. Only standardization can power cell performance be upgraded, makers achieve economy-of-scale in production, effectively cut equipment and manufacturing costs, and stabilize quality."

All-round Skills Critical
Sung believes that battery-pack suppliers will play increasingly vital roles in the EV industry because they will solve not only energy storage but also power management technology issues to make EVs more energy-efficient, safer and affordable.

"To have a capable battery packer in the EV market is critical," Sung explained, "because the player has to have in-house expertise to find and choose proper power cells for batteries for EV makers; comprehensive capability to design and develop custom batteries for EVs used under different conditions; and production techniques to make highly efficient and quality batteries." And continuing as any savvy businessman who never strays far from the main goal of plugging one`s own operations, Sung said: "Simplo is expected to rise to the ever higher challenges in the EV battery business, for the company has vast experience from having delivered hundreds of millions of battery packs for different industrial applications, is internationally certified, and runs highly automated production lines to assure quality and control costs."

Also a truly viable battery pack supplier has to be able to provide power solutions for wide-ranging EVs, including 24V or 36V electric bicycles; 36V/48V electric scooters; HEVs, 144V-336V electric vehicles; 336V to 385V battery electric vehicles; and 570V to 660V e-buses.

Optimizing Batteries
"Optimal battery-pack solutions hinge on battery management system or BMS and should be developed by battery packers based on know-how related to using various kinds of power cells according to customers` requirements while considering cost/performance ratios. In addition, a skilled battery packer needs to have thorough knowledge of CAN/LIN BUS communication compatibility with other EV systems (excluding e-bikes), while protective and heat-dissipation system development and coupling capability are equally important."

Being idealistic, Sung said, "The time is ripe to develop the EV industry with well-established division-of-labor, so companies can find niches to build core competitiveness, or in other words a comprehensive supply chain."

According to Sung, a comprehensive EV supply chain includes at least four links: material makers to turn out anode and cathode materials, insulation plates, electrolyte, electrodes etc.; cell makers to handle all steps of cell production, packaging and inspection; battery pack suppliers to handle cell testing/certification, selection, BMS design, module design/durability certification, module production/product inspection, safety certification/failure analysis etc.; and EV makers to handle system integration, propulsion system assembly, vehicle assembly/certification.

Rounding out his promotion, Sung said that Simplo operates two battery-pack facilities in China, with each able to supply EV battery packs in small-volume but large-variety. Once achieving economy-of-scale in production, Sung stressed that Simplo can either set up battery production lines at automakers` factories or joint ventures, believing such cooperation strategy can build win-win situation for Simplo and EV makers to advance the development of the EV industry.

Resource:1.  How can I maximize the performance of my Sony laptop battery?

2. Understanding your Sony Battery Needs

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