Samsung SDI to become an additional supplier of batteries for Tesla

Article by Christian A., on October 7, 2013

Samsung SDI Co. may soon be named by Tesla Motors Inc. as an additional supplier of batteries in its goal to expand and introduce more models in its lineup. Confirmations came from both Tesla and Samsung SDI, a unit of Samsung Electronics Co., that talks are ongoing about the possibility of Samsung SDI being a supplier of battery technology to Tesla.

Samsung spokesman Kim Sang-eun won’t offer details and would only say that no decision has been arrived at. Tesla spokeswoman Liz Jarvis-Shean said that Tesla has been meeting with other battery suppliers too.

According to two insiders, the talks are now at their final stage and that they’re working out the issues left in the pending contract for Samsung SDI to provide battery technology for the Model X, a cheaper electric car model that’s expected to come out in late 2014.

A source said that the talks are "90% complete” and that Tesla and Samsung SDI were unable to finalize the deal primarily because of Samsung SDI's insistence that Tesla, as part of the agreement, buy other parts such as touch-screens from Samsung Group.

The financial details about the agreement have not been divulged yet. One source said that SDI management considers this move to be beneficial to its image and aids in its global operations.

Seen as a breakthrough in automotive engineering, the Tesla Model S fully electric sedan combines performance, efficiency and safety as well as the longest range of any electric vehicle. Aside from earning the highest possible safety ratings, the Tesla Model S gets better through time thanks to over-the-air software updates.

Tesla architecture allowed the battery of the Model S to be placed on the floor, resulting to a low center of gravity, which in turn lowers the risk of rollover while improving its handling and performance. Thanks to the fact that the Model S has no conventional engine, its crumple zone is much larger than other performance sedans, thereby allowing it to better to absorb the energy during a front end collision.

Also helping lower the electric sedan’s center of gravity is the fact that its distinct electric drivetrain sits beneath it. This minimizes the risk of rollover, helping the Model S become one of the safest cars on the road. In fact, the Tesla Model S has already earned the highest possible ratings from the NHTSA and the Euro NCAP (five stars), as well as set a new record of the lowest chance of occupant injury after it tested in the United States.

The new Model S also comes with a number of standard active safety elements like lane departure warning, collision warning, blind spot detection and automatic emergency braking. Optional convenience features are also available such as traffic-aware cruise control, summon, autosteer and autopark.

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Topics: samsung, tesla

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