Lithium Ion batteries: Opportunity and strategic challenges for OEMs and cell-suppliers - Battery-as-a-Service to improve profitability of industry Opportunity: Market outlook for xEV batteries and the LIB industry is promising, but... Challenge 1: Profitability of OEMs, as well as cell suppliers currently, is not sufficient to attract cash needed to finance the expected growth - mainly due to expected (and needed) increase in raw material prices Challenge 2: Even with further cost optimization on material, cell and pack level, profit gap cannot be closed - new business models are needed Battery-as-a-Service optimizes asset utilization and improves the industries profitability
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