Panasonic going big with $5 billion EV investment

Panasonic, the lads behind just about every TV you owned in the late 2000s, are committing the world of electric vehicles.

The company is investing $5 billion into developing EV batteries and software and looking at how hydrogen could be used on a global transport scale.

Panasonic’s motivation behind the investment is to generate a profit after years of struggling financially. They see the ever-changing transportation sector as the best way to turn their fortunes around.

“Panasonic considered what society will look like in 2030 and back-casted from there,” the company said.

According to AutoNews, Panasonic is in talks with Tesla to build an EV battery factory in the United States. Over 4500 next-generation EV batteries will then be built for US-built Teslas.

The plant could be operational by 2024 if all goes to plan.

Tesla’s CEO Elon Musk says Panasonic’s new batteries will make his brand more affordable to consumers. The new batteries are larger but have fewer cells. Their single-charge range is said to be an improvement on the current battery.

It’s not only Tesla that Panasonic is looking at supplying EV batteries for. The company is interested in being a supplier to several other carmakers, with CEO Kazuhiro Tsuga saying last year the deal with Tesla is “not exclusive.”

Despite being what they call “an ambitious” plan, Panasonic is confident their EV investment can achieve a $12 billion profit in the next few years.