New deal with Volkswagen Group company knocks QuantumScape stock price to highest levels since February 📈

QuantumScape is to begin a partnership with PowerCo, a Volkswagen-owned manufacturer of batteries for electric vehicles. PowerCo will get access to technologies developed by QuantumScape in its manufacturing process.

The transfer of the rights to use the technology is conditional on PowerCo paying appropriate royalty paymantes and "satisfactory technical progress." The agreement is non-exclusive and PowerCo will be able to use QuantumScape's technology to produce a total of 40 GWh of batteries per year, with an option to expand this to 80 GWh per year. As the company estimates, such production would be enough to supply about 1 million vehicles per year.

The agreement marks the beginning of a strong cooperation between the two companies, combining QuantumScape's advanced technology on the one hand, and PowerCo's global reach and production capabilities on the other. As announced by the companies, the joining of forces is expected to be a step towards the transition to industrial scale production of solid-state batteries, which could revolutionize the electric car market, strongly increasing the efficiency of vehicles, both on the side of range and operation in extreme temperatures.

QuantumScape's shares are rising by almost 30% today. Source: xStation

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New deal with Volkswagen Group company knocks QuantumScape stock price to highest levels since February 📈

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