Streamlining the process of charging an electric vehicle (EV) is critical to the new energy car's adoption. The US-based Ample approaches the idea with battery swapping technologies. By offering efficient service as filling up gas, the startup is growing its deployment in America, Japan, and Spain.
Founded in 2014 by Khaled Hassounah and John de Souza, Ample did not come out of stealth until March 2021. It quickly reached unicorn status after a Series C funding round of $160 million in August.
The company has been working with several OEMs and deployed battery swapping stations in the Bay Area of California, where it is based. It will later go to other major cities in the US, such as New York City, as well as internationally starting with Spain and Japan.
Standardized batteries that fit every EV model
EV battery swapping service is booming in China. Levi Tillemann, Ample's VP for policy and international outreach, said when compared to the technologies widely used in China, Ample's batteries are modular making them smaller and lighter.
Therefore, the company can build much smaller and more economical facilities with lower-cost robotics to manipulate and charge the batteries. It can also install the batteries in different car geometries as Legos.
Tillemann said Ample has applied its technology to more than a dozen models. It only custom-builds adapter plates that accommodate each car's design and stay with the vehicle. Modular batteries can be rearranged to fit into any model. Standardized batteries also benefit the operation of the swapping network.
"You don't have to worry about having lots of different kinds of batteries stored in different charging stations around a city or have an inventory of multiple kinds of batteries in one battery-swapping station," Tillemann said.
Ample's modular batteries are smaller and lighter. Credit: Ample
Targeting fleets to secure a foothold
Ample has partnered with Uber and Sally, a Long Island-based EV rental company. It targets fleets to build a presence in the immature battery swapping market and will enter the consumer sector eventually.
Regulations around the world accelerate the electrification of fleets. However, Tillemann said not many reasonable solutions for fleet managers are available. For example, installing and maintaining charging infrastructure is expensive. Moreover, managing the charging process is inconvenient and might have a significant impact on the fleet's operations. In contrast, Ample's automatic swapping service, which takes less than 10 minutes, would be more economical and suitable for fleets.
Additionally, focusing on fleets helps Ample scale its growth because the team would know exactly the number of vehicles that will be ordered and where they will be deployed, Tillemann said.
From the perspective of combating climate change, transitioning fleets to EVs could electrify miles more efficiently. Fleet vehicles tend to have a much heavier duty cycle than cars driven by individuals.
Ample has deployed swapping stations in the Bay Area of California. Credit: Ample
Battery swapping could increase an EV's driving range
According to Fortune Business Insight, the global electric vehicle battery swapping market is expected to grow from US$119.4 million in 2021 to US$641 million in 2028. Swapping service's growth is likely to encourage heated discussion of comparison between charging and swapping.
While arguing the two technologies generally serve different customers, Tillemann said swapping holds several strengths. For instance, drivers constantly have different or newer batteries in their EVs when using swapping services. Ample continues adding new batteries to its system and pulling off the shelves the ones reaching a certain threshold of degradation.
Tillemann said the number of batteries and the amount of energy fitting into the same cells will keep increasing with the nature of battery innovation. Therefore, unlike charging, swapping could improve an EV's driving range over time.
One may challenge that operating swapping stations is costlier than managing charging facilities. Thus, the business model is less likely to succeed. However, Tillemann pointed out that it is important to think about how much it costs to deliver every kilowatt-hour of electricity rather than only considering the station installation. From that perspective, a swapping station will provide a lot more energy than a similarly powered charging station. Due to the smaller size of battery modules, Ample addresses the cost challenge by being able to build simpler and less expensive stations.
On the other hand, swapping may provide fleets with flexible energy utilization. Tillemann said fleet managers can adjust the number of batteries in a vehicle at any time by using modular battery swapping. For example, if a car only drives 50 miles per day, it can be equipped with batteries offering 80 miles of range rather than 250 miles. The capability enables fleets to deliver the same amount of service with fewer batteries.
Bringing battery swapping service to Japan
Ample targets its charges at 10-20% less than a gallon of gasoline's price, according to Tillemann. Furthermore, the company wants to create an experience as smooth as filling up gas for customers. With this ideology, it is natural that Ample collaborates with ENEOS Corporation, a Tokyo-based energy company, and its investor, to bring EV battery swapping to Japan.
However, the EV penetration rate in Japan has been significantly lower than in China, Europe, and the US. Will the situation hinder Ample's expansion?
Tillemann, who has been studying the US, Japan and China markets, said Japan had everything going for automotive electrification. It was a world leader in the EV sector and installed the most DC fast chargers around 2010. But customers did not favor the 45-minute wait for charging. Many of them did not and still do not have garages to charge their EVs. Compared with charging, filling up at a gas station is more appropriate.
Tillemann said swapping batteries will be similar and perhaps better than going to gas stations. Drivers do not need to get out of the vehicle and look for the hoses. They just roll into the station and the robotics take care of the rest. The technology will mitigate drivers' "charging anxiety."
According to an announcement in 2021, Ample and ENEOS planned to begin initial deployment in Japan by March 2022, which will involve passenger and last-mile delivery companies. However, the launch was delayed by COVID-19. Japan was closed to business travelers due to COVID-19 restrictions. Ample said it will align the service’s launch with the entry restriction.
