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Volvo partnership will recycle EV batteries into energy storage

Credit: Volvo via Connected Energy

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As the world transitions to sustainable transportation through electric vehicles (EVs), some are considering ways to reduce EV battery waste. One such company includes Volvo, which has announced a partnership to recycle old EV batteries into new energy storage systems.

Volvo is partnering with battery recycler Connected Energy to give EV batteries a second life as battery energy storage systems (BESS), as detailed in a press release on Wednesday. According to the release, Volvo has signed a Letter of Intent to build the BESS hardware after the companies initially announced an investment last year.

In the press release, Connected Energy CEO Matthew Lumsden writes:

“This is an exciting next step in our existing relationship with Volvo Energy with the potential to enable us to take our technology at scale into the European market. We’re proud to be engaging with Volvo Energy on the development of new second life energy storage solutions.

“In the coming years, the volumes of returning batteries from first life applications will substantially increase. This represents a key opportunity for OEMs like Volvo Group. Together we have the potential to develop and commercialise second life energy storage systems that make electric vehicles (EVs) even more sustainable.”

The two parties may begin developing the first prototype as soon as this year using batteries from Volvo’s electric buses, trucks and other machines. The energy storage systems will be constructed into “containerized systems,” and Volvo expects to launch the system in Europe by 2025.

Additionally, the press release notes that Volvo began using Connected Energy’s E-STOR system at its Gothenburg, Sweden facility, which is used to analyze response rates to the electrical grid.

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“The Volvo Group is driven by ensuring that every battery that powers our vehicles is used to its full potential, before being recycled,” said Elisabeth Larsson, Volvo Energy’s senior vice president sales and services.

“Repurposing the batteries in line with circular economy principles is good for the environment, good for the consumer, and good for the Volvo Group. Our ambition for a deepened collaboration with Connected Energy announced today will be a key milestone in our mission to move from a linear business model to a circular one by optimizing the batteries’ full lifecycle whilst creating a product that will enable the transition to a world powered by renewable energy.”

Connected Energy points out that EV batteries still have around 80 percent of their initial energy storage capacities at the end of their use cycles. Recycling them into energy storage systems can give EV batteries a second life, reducing their carbon footprint substantially over their lifespans.

Organizations increasingly use energy storage systems to manage and store power from renewable sources. Connected Energy notes that these storage systems can also be used as backup power for the electrical grid, commercial buildings, EV chargers, and more.

Redwood Materials is another company focused on recycling EV batteries, and it was founded by former Tesla executive JB Straubel. The company and Tesla partner claims to be able to recover around 95 percent of metals from EV batteries at the end of their life cycle.

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Tesla exec joins battery recycling startup Redwood Materials

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.

Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Elon Musk

SpaceX’s $24B Starbase supercomputer plan slipped past a key roadblock

SpaceX wants a Starbase tax break for a $24 billion gas plant and supercomputer campus.

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Concept rendering of SpaceX President Gwynne Shotwell overlooks the company’s Hawthorne, California headquarters as an American flag flies over the campus at sunset.

SpaceX is asking its own company town for a tax break on a $24 billion natural gas power plant and supercomputing facility at Starbase, Texas, and the land it picked sits just outside the reach of a data center moratorium that took effect in neighboring Brownsville last week.

A City of Starbase public hearing notice says SpaceX “proposes to construct, own, and operate a gas-fired power plant and super-compute facility” on roughly 444 acres between Boca Chica Boulevard and the Port of Brownsville. The $24 billion figure covers only the initial phases, and the notice leaves room for future expansions. The Starbase City Commission will consider a property tax abatement and a related economic development agreement at a 7 p.m. hearing on December 9. The notice does not disclose the size or length of the abatement, or how much computing capacity the site would hold.

The location has a history. Over the summer, SpaceX asked Brownsville to remove the tract from its city limits and offered $220 million for water and wastewater projects in return. Brownsville approved the move in August, and Starbase later annexed the land. Brownsville’s own 90-day pause on data center applications took effect last week, and had the tract stayed inside the city, the project likely would have needed a different home.

The power side is already in front of state regulators. SpaceX has applied to the Texas Commission on Environmental Quality for air permits covering 35 mobile gas turbines producing roughly 750 megawatts, according to Politico, which also noted that two of the three Starbase commissioners voting on the incentives are SpaceX executives.

Building its own plant lets SpaceX skip the Texas grid. Gov. Greg Abbott paused new data center grid connections in August pending an audit, but a facility that generates its own electricity does not need one. The air permit still has to clear the TCEQ, where Abbott also ordered a halt on data center permits.

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The bigger test arrives in January. Governor-elect Gina Hinojosa, who unseated Abbott last week, has said she will block data center approvals until the legislature passes new protections, and she has already asked state officials to hold off on any sale of Boca Chica State Park to SpaceX until she is sworn in. Tesla and SpaceX shares both fell the day after the election, and Musk’s first reaction on X was “Data centers in space looking pretty appealing right now.”

That line points to Starmind, SpaceX’s orbital compute constellation. Musk has said terrestrial compute will be “peanuts compared to orbital compute” and expects monthly orbital deployments to pass ground deployments around the end of 2028, as Teslarati reported. Until then, SpaceX still needs gigawatts on the ground. It ended the third quarter with 1.7 GW of nameplate compute, is targeting 2.5 to 3 GW by the end of this year and wants at least 10 GW more in 2027. Its existing Colossus sites around Memphis already run on gas turbines and face a lawsuit from residents over emissions.

Local reaction is split. The South Texas Environmental Justice Network has announced a protest, citing air quality, water use and energy bills, while some Brownsville residents told the Tribune they welcome the jobs. SpaceX did not respond to the Tribune’s questions about the project.

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Elon Musk

Tesla extends Cybertruck production as Musk concedes ‘sentimentality’

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Credit: diagnosticdennis/Instagram and @smile__no via Tesla Owners of Santa Clarita Valley/X

Tesla CEO Elon Musk announced that the company will extend Cybertruck production slightly to handle its extensive order backlog.

On Wednesday, Musk announced that “In order to work through more of the Cybertruck order backlog, production will be extended through the end of summer 2027.”

Tesla has already attempted to simplify its last months of production for the Cybertruck by eliminating several trim levels and only offering the Cyberbeast, the most expensive trim that starts at $109,990. The other two trim levels, the Cybertruck All-Wheel-Drive and Premium All-Wheel-Drive have both been discontinued.

There has been plenty of backlash against Tesla’s decision to ax the Cybertruck, but the company’s forecast prioritizes Cybercab and autonomy. Factory space at Gigafactory Texas that is not necessary is now being set aside for the Cybercab as the company truly embraces its “transportation-as-a-service” model.

There is still a slim chance the Cybertruck survives. Last evening, Tesla upfitter Unplugged Performance offered to take the Cybertruck line off of Tesla’s hands and continue building it, along with a CyberSUV.

Nevertheless, Tesla seems to be ending the Cybertruck on its terms after what will be a three-and-a-half-year run. It still does not really feel quite real; I think many of us thought the Cybertruck would be around for years to come.

Musk added more detail, stating that while it was not the smartest move, “there must be some room in this world for sentimentality or what’s the point?”

Other EV pickups on the market have experienced a similar fate.

The Ford F-150 Lightning was axed by the Detroit company due to the continued losses the company took from sales. That truck was never profitable, and Ford is still taking a quarterly loss in its EV side. However, things are moving along as it has plans for a mass market EV pickup, which will likely gather some substantial demand if Ford can get it just right.

Perhaps another extension or even a total change of heart might come. Only Musk knows.

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Tesla overtakes Waymo in Texas as Robotaxi fleet performs shock flip

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Credit: Tesla

In a sudden and closely watched milestone, Tesla Robotaxi has edged past Waymo on the Texas Department of Motor Vehicles automated vehicle registry. As of November 10, Tesla lists 1,302 registered vehicles under Tesla Robotaxi, LLC, compared with Waymo’s 1,297.

The flip is narrow, but real, according to the State’s books. Tesla’s Texas fleet, following an expansion on November 10, now consists of 729 Model Ys and 573 purpose-built Cybercab vehicles. Waymo’s roster is dominated by the Jaguar I-PACE and a growing number of Zeekr-based Ojai minivans.

Those figures come from the same public TxDMV automated vehicle listings that independent trackers have monitored since a Texas law required operators to disclose fleet sizes.

The scale of Tesla’s climb is pretty interesting and shows how much the company has grown its autonomous ride-hailing fleet over the past months. When the registry first became public in late May 2026, Tesla listed just 42 vehicles on it. Meanwhile, Waymo had several hundred vehicles registered to it.

Tesla CEO Elon Musk shades Waymo: ‘Never really had a chance’

Since then, Tesla has multiplied its authorized Texas fleet more than thirty times, driven by repeated Model Y additions and a steady build of Cybercabs. Waymo has also expanded, but at a slower pace than Tesla.

It is also important to note that registrations are not necessarily equal to operational fleet. The TxDMV list shows the number of vehicles each company is permitted to run, but it does not report how many are actively carrying riders, which cities they serve, or trip volume. Both companies stage vehicles and run mixed fleets that can include units in testing or temporarily offline.

A lead on the registry therefore signals capacity and regulatory positioning more than immediate ride volume.

Tesla has use the growing authorized fleet to expand its unsupervised service beyond the original Austin geofence area, as now it is flowing into cities like San Antonio and Dallas. The company has highlighted plans for a broader Cybercab deployment, eventually into new states and territories.

Waymo is operating across multiple Texas markets and in other areas of the United States.

Right now, the five-vehicle margin is thin and could reverse with the next large registration from either side. For the moment, however, the public Texas record shows Tesla holding the larger authorized Robotaxi fleet in the state.

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