Now is a great time to sell your battery manufacturing business— to an oil company.
The age of oil isn’t over yet but those in fossil fuels know it’s coming, so now is the time to diversify. Some have been doing it for years— BP for example— an early entrant into solar energy.
So it’s hardly any surprise to see that SAFT, the French battery specialist, just got snapped up by Total, the multinational but French rooted oil and gas corporation.
It only seems like yesterday that SAFT was trying to wriggle free from Alcatel, the French telecom player, back in the late 90s. The SAFT management were frustrated, merely being just a division in a business which was expanding in all directions— internet, cellular and the term ‘energy storage’ wasn’t really in executive vernacular. It is now.
SAFTs specialist lithium products have proven too costly for the hybrid and EV market but acceptable for the military and aerospace markets.
And while the company had at least one interesting liason with Johnson Controls, it seems to have been a little lack lustre of late— and maybe a little rudderless following the unexpected death of John Searle, its former chairman and highly energetic commercial manager, in 2014.
Maybe there’s a lesson here— that if battery companies are really going to reap the rewards of the energy storage market, they are going to have be part of bigger energy businesses with access to capital and management resources they sorely lack.
If you look east, the big players in batteries, LG Samsung and Panasonic are all part of much larger concerns in the electrical and electronics field.
Small is beautiful up to a point. But if energy storage is really going to change the world it needs to be part of something bigger. That might be one way that lead acid industry gets itself away from the abyss it could be heading for.