New lithium battery technology is expected to drive the development of energy storage. Currently, competition among automakers, battery manufacturers, and stationary energy storage suppliers is accelerating the development of advanced batteries, aiming for more cost-effective solutions with better performance and the use of more accessible, low-cost materials. Lithium-ion batteries have become the industry standard due to advantages like high energy density, but cathodes are nearing their theoretical limits. As a result, companies are heavily investing in new technologies such as silicon-based anodes, lithium-metal anodes, and solid-state electrolytes to enhance battery performance and energy density.

There are 61 battery startups dedicated to multifaceted innovations, having raised $6.9 billion in funding, though this represents only a small fraction of active participants. Introducing new battery technologies faces numerous challenges, and their success depends on the ability to scale up quickly and integrate into existing manufacturing infrastructure. While solid-state battery production is beginning to rise, mass production for affordable cars will still take time. Meanwhile, technologies like silicon-based anodes are making progress and may first be implemented in high-performance applications before entering the mass-market electric vehicle sector.