ample Secures $160M Funding to Expand Battery Swapping

Ample Secures $160 Million to Expand Battery Swapping Network

San Francisco-based Ample has successfully secured $160 million in Series C funding. This investment will be used to broaden the reach of its innovative battery swapping service. It represents the largest funding round to date for the 8-year-old company, which aims to fundamentally change how electric vehicles are utilized.

How Ample’s Battery Swapping Works

Ample’s system is designed for simplicity. Vehicles fitted with the company’s modular battery pack can visit automated swapping stations. Here, depleted batteries are exchanged for fully charged ones. The removed batteries are then recharged within the station, preparing them for reuse.

The company proposes a shift in perspective regarding EV batteries. Rather than viewing them as items requiring lengthy recharging, similar to smartphones, Ample envisions them as easily replaceable components, akin to batteries in a camera.

Investor Confidence and Funding Details

This substantial funding round demonstrates strong investor confidence in Ample’s vision. The Series C round was spearheaded by Moore Strategic Ventures. Additional participation came from PTT, a Thai state-owned energy company, and the Disruptive Innovation Fund.

Existing investors, including Eneos, a Japanese petroleum and energy firm, and SMRT, Singapore’s public transit operator, also contributed. Ample’s total funding now reaches $230 million.

Addressing the Challenges of EV Charging

“A significant issue with electric vehicles is the time commitment required for charging,” explains Ample co-founder John de Souza. “Many drivers are reluctant to spend hours replenishing their vehicle’s power.”

While DC fast chargers have reduced charging times, de Souza argues that they don’t resolve underlying problems. “[Fast charging] creates substantial heat and strains the power grid,” he notes. “Even with rapid charging capabilities, widespread deployment necessitates powerful chargers and extensive power plant infrastructure.”

Current Focus and Future Expansion

Currently, Ample is concentrating on serving fleet customers. They operate five battery swapping stations in the Bay Area for Uber drivers. A partnership with Sally, an EV rental company, provides services for taxi and last-mile deliveries in New York City.

However, the company believes its service is also well-suited for individual consumers. Khaled Hassounah, Ample co-founder, suggests battery swapping could benefit those lacking convenient charging access, such as apartment dwellers.

Ample is prioritizing vehicles entering the market, rather than retrofitting existing EVs, according to Hassounah.

Benefits of a Modular Battery System

Ample’s modular design allows drivers to carry only the battery capacity they require. This results in reduced battery waste and lighter vehicle weight.

Collaboration with Automakers

The company’s long-term vision involves collaboration with vehicle manufacturers. Ample proposes that OEMs could offer customers a choice between a traditional fixed battery or a vehicle equipped with the Ample battery system.

Ample has successfully validated its approach with 10 different car models through direct collaboration with automakers. These integrations have not required significant vehicle modifications.

Debunking Myths About Battery Integration

“Automaker marketing often emphasizes the tight integration of batteries within vehicles,” says Hassounah. “However, the reality is that batteries are largely built as separate components, even in vehicles like Teslas.”

“Our system is designed to interface easily with various vehicles, effectively abstracting the battery component from the vehicle itself,” he adds.

Ongoing OEM Discussions and Cost Considerations

Ample is currently in discussions with five major automakers. De Souza notes that growing fleet demand is driving these conversations, as OEMs are keen to increase vehicle sales.

A significant portion of an EV’s cost is attributed to its battery system. Chinese automaker Nio offers a similar model, allowing customers to purchase a vehicle with or without a battery, leasing the battery separately. This option reduces the vehicle price by ¥70,000 ($10,800).

Nio has already completed over 2.4 million battery swaps for drivers in China.

Future Plans and Government Interest

Ample’s immediate focus is on scaling its operations and expanding into new cities. The company is also attracting interest from governments seeking to accelerate electric transportation adoption without substantial infrastructure investment.

“The key question is how to maximize electric miles driven, rather than simply building more charging stations,” Hassounah states. “Deploying a million fast chargers is ineffective if they remain unused.”