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Lucid Motors secures battery deal with Panasonic

Lucid Motors Gravity SUV. Credit: Lucid Motors

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Lucid Motors has signed a deal with Panasonic for the Japanese battery manufacturer to supply the automaker with batteries for its upcoming production ramp.

Lucid has struggled for most of 2022 as it battled supply shortages and an ever-more competitive EV market. Now, the company is moving to address at least one of those issues as they have signed a deal for battery cells with Panasonic. But the real winner might be the company selling shovels, not digging for gold.

Panasonic’s press release didn’t specify many details of the deal with Lucid Motors. Still, we know that the company will deliver batteries sometime in 2023. The batteries will come from Panasonic’s Osaka, Japan plant and its new De Soto, Kansas facility.

“Panasonic is a fantastic partner with both innovative technology and depth of experience,” said Peter Rawlinson, Lucid’s CEO and CTO. “This agreement will help us meet the growing demand for lithium-ion batteries as we continue to ramp production of the full Lucid Air line-up in 2023 and expect to begin production of our Gravity SUV in 2024.”

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Hopefully, this increase in supply stability can combat what has been a turbulent year for Lucid Motors. Earlier this year, Lucid had to cut production estimates nearly in half due to supply shortages, meaning that they will only be able to produce between 6,000-7,000 units this year. And while this is obviously bad news for the over 37,000 reservation holders still waiting for the vehicles to be delivered, it might be worse for Lucid, who needs the cars to be sold to make any money.

On the other side of the deal, this is fantastic news for Panasonic as it has attempted to grow its market share in the battery industry. The company has undoubtedly been aided by the U.S. and Europe moving away from Chinese battery and computer chip suppliers, but this is no guarantee of success. Panasonic must compete with a flood of other battery manufacturers looking to capitalize on the same opportunity. This is at least one factor that led the company to open a new battery production facility in the U.S. in the first place.

“With the increased electrification of the automotive market, partnerships with technology-leading EV manufacturers such as Lucid are critical to our mission,” said Kazuo Tadanobu, President and CEO of Panasonic Energy Co., Ltd. “This partnership will help us drive growth of the lithium-ion battery industry and accelerate the world towards a net-zero emissions future.”

Lucid needs a pretty dramatic turnaround from the problems of this year. Hopefully, the company’s new vehicle and its new deal with Panasonic can help make 2023 a better year for the EV startup, but it isn’t obvious if it will be.

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What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!

Will is an auto enthusiast, a gear head, and an EV enthusiast above all. From racing, to industry data, to the most advanced EV tech on earth, he now covers it at Teslarati.

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Tesla seeks approval to test FSD Supervised in new Swedish city

Tesla has applied to conduct local Full Self-Driving (Supervised) testing in the city of Jönköping, Sweden.

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Credit: Grok Imagine

Tesla has applied to conduct local Full Self-Driving (Supervised) testing in the city of Jönköping, Sweden.

As per local outlet Jönköpings-Posten, Tesla has contacted the municipality with a request to begin FSD (Supervised) tests in the city. The company has already received approval to test its Full Self-Driving (Supervised) software in several Swedish municipalities, as well as on the national road network.

Sofia Bennerstål, Tesla’s Head of Public Policy for Northern Europe, confirmed that an application has been submitted for FSD’s potential tests in Jönköping.

“I can confirm that we have submitted an application, but I cannot say much more about it,” Bennerstål told the news outlet. She also stated that Tesla is “satisfied with the tests” in the region so far.

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The planned tests in Jönköping would involve a limited number of Tesla-owned vehicles. Trained Tesla safety drivers would remain behind the wheel and be prepared to intervene if necessary.

Tesla previously began testing in Nacka municipality after receiving local approval. At the time, the company stated that cooperation between authorities, municipalities, and industry enables technological progress and helps integrate future transport systems into real-world traffic conditions, as noted in an Allt Om Elbil report.

If approved, Jönköping would become the latest Swedish municipality to allow local Full Self-Driving (Supervised) testing.

Tesla’s Swedish testing program is part of the company’s efforts to validate its supervised autonomous driving software in everyday traffic environments. Municipal approvals allow Tesla to gather data in urban settings that include roundabouts, complex intersections, and mixed traffic conditions.

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Sweden has become an increasingly active testing ground for Tesla’s driver-assistance software in Europe, with regulatory coordination between local authorities and national agencies enabling structured pilot programs.

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Microsoft partners with Starlink to expand rural internet access worldwide

The update was shared ahead of Mobile World Congress.

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Credit: Starlink/X

Microsoft has announced a new collaboration with Starlink as part of its expanding digital access strategy, following the company’s claim that it has extended internet connectivity coverage to more than 299 million people worldwide.

The update was shared ahead of Mobile World Congress, where Microsoft detailed how it surpassed its original goal of bringing internet access to 250 million people by the end of 2025.

In a blog post, Microsoft confirmed that it is now working with Starlink to expand connectivity in rural and hard-to-reach regions.

“Through our collaboration with Starlink, Microsoft is combining low-Earth orbit satellite connectivity with community-based deployment models and local ecosystem partnerships,” the company wrote.

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The partnership is designed to complement Microsoft’s existing work with local internet providers and infrastructure companies across Africa, Latin America, and India, among other areas. Microsoft noted that traditional infrastructure alone cannot meet demand in some regions, making low-Earth orbit satellite connectivity an important addition.

Kenya was cited as an early example. Working with Starlink and local provider Mawingu Networks, Microsoft is supporting connectivity for 450 community hubs in rural and underserved areas. These hubs include farmer cooperatives, aggregation centers, and digital access facilities intended to support agricultural productivity and AI-enabled services.

Microsoft stated that 2.2 billion people globally remain offline, and that connectivity gaps risk widening as AI adoption accelerates.

Starlink’s expanding constellation, now numbering more than 9,700 satellites in orbit, provides near-global coverage, making it one of the few systems capable of delivering broadband to remote regions without relying on terrestrial infrastructure. 

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Starlink is expected to grow even more in the coming years as well, especially as SpaceX transitions its fleet to Starship, which is capable of carrying significantly larger payloads compared to its current workhorse, the Falcon 9.

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Tesla expands US LFP battery supply with LG Energy Solution deal: report

The report was initially published by TheElec, citing industry sources.

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Credit: Tesla

LG Energy Solution (LGES) will manufacture lithium iron phosphate (LFP) energy storage system (ESS) batteries for Tesla at its Lansing, Michigan facility. 

The report was initially published by TheElec, citing industry sources.

LG Energy Solution’s Lansing plant, formerly known as Ultium Cells 3, was previously operated as a joint venture with General Motors. LGES acquired GM’s stake in May 2025 and now fully owns the site. With a production capacity of 50 GWh per year, it is one of the company’s largest facilities in North America.

LG Energy Solution is converting part of the Lansing factory to produce LFP batteries for energy storage systems. Equipment orders for the new lines have already been placed, and mass production is reportedly expected to begin in the second half of next year.

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Last July, LG Energy Solution disclosed a 5.94 trillion won battery supply agreement running from August 2027 to July 2030. While the company did not name the customer, industry sources pointed to Tesla as the buyer.

Tesla has primarily used CATL’s prismatic batteries for its Megapack systems. The move to source prismatic LFP cells from LG Energy Solution’s U.S. plant could then be seen as part of Tesla’s efforts to bolster its North American supply base for its energy storage business.

For the Lansing conversion, LG Energy Solution reportedly plans to use electrode equipment originally ordered under its Ultium Cells venture with General Motors. Suppliers reportedly include CIS and Hirano Tecseed for electrode systems, TSI for mixing equipment, CK Solution for heat exhaust systems, A-Pro for formation equipment, and Shinjin Mtech for assembly kits.

Tesla currently manufactures energy storage products at facilities in California and Shanghai, though another Megafactory that produces the Megapack is also expected to be built in Texas. As per recent reports, the Texas Megafactory recently advanced with a major property sale.

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