GM plans to develop batteries with A123 Systems for its new electric vehicle

General Motors has announced it will work directly with A123 Systems, a start-up based in Watertown, MA, to develop batteries that are fine-tuned for the Chevrolet Volt, an electric vehicle scheduled for production in 2010 or 2011. The new agreement between the companies is designed to speed the vehicle to market.
The co-development deal is the latest in a series of announcements by the automaker indicating it is moving forward with plans for the Volt, an extremely fuel efficient hybrid. The Volt, first announced in January, will use batteries that can be recharged from a standard electrical outlet and is expected to get 40 miles on a single charge, eliminating trips to the gas station for average daily driving. While GM has not ruled out using batteries from another supplier, the agreement is a vote of confidence that A123's technology can meet the requirements for the vehicle, says Denise Gray, GM's director of hybrid energy storage devices.
A123 uses a new lithium-ion chemistry that allows its batteries to be much lighter and more compact than the nickel metal hydride batteries in existing hybrids today, and safer than the conventional lithium ion batteries found in consumer electronics