Amprius Signs Development Contract for a High-Energy Custom Cell with a Fortune 500 Company

Rhea-AI Summary

Amprius Technologies (NYSE: AMPX) has signed a development contract with a Fortune 500 company to create a custom high-energy SiMaxx™ pouch cell using Amprius' proprietary silicon anode technology. The project aims to reduce the battery's weight and size by approximately 50% compared to the customer's current battery, without compromising performance.

This smaller and lighter battery is expected to enable better product designs, enhance customer experience, and offer a significant competitive advantage. If project objectives are met, the application could require over one million cells per year. Amprius is seeing increasing demand for its high-performance silicon anode batteries among Fortune 500 leaders, having recently signed an LOI with a different Fortune Global 500 leader in LEVs.

Positive

• Signed development contract with a Fortune 500 company
• Project aims to reduce battery weight and size by 50%
• Potential for over one million cells per year if objectives are met
• Increasing demand from Fortune 500 leaders for Amprius' batteries
• Recent LOI signed with a Fortune Global 500 leader in LEVs

Negative

• None.

Insights

Battery Technology Expert

This development contract with a Fortune 500 company is a significant milestone for Amprius Technologies. The project aims to create a custom high-energy SiMaxx™ pouch cell using Amprius' silicon anode technology, potentially reducing battery weight and size by 50% without compromising performance. This is a substantial improvement that could revolutionize various applications.

The projected demand of over one million cells per year indicates a large-scale commercial opportunity. Amprius' ability to attract Fortune 500 clients demonstrates the market's recognition of their advanced battery technology. The recent LOI with another Fortune Global 500 leader in LEVs further validates the growing demand for high-performance silicon anode batteries.

However, investors should note that this is a development contract, not a guaranteed production order. The success of the project and subsequent commercialization will be important for realizing the full potential of this opportunity. The company's ability to scale production to meet potential demand will be a key factor to watch.

Market Research Analyst

This contract signifies Amprius' growing market penetration in the high-performance battery sector. The company is positioning itself as a go-to partner for industry leaders seeking to innovate their products through advanced battery technology. The potential for size and weight reduction by half is a compelling value proposition that could disrupt various industries, from consumer electronics to electric vehicles.

The projected volume of over one million cells annually suggests a substantial market opportunity. However, it's important to note that this is contingent on meeting project objectives. The repeated engagement with Fortune 500 and Global 500 companies indicates a trend of increasing interest from major players, which could lead to more contracts and partnerships in the future.

Investors should consider the potential impact on Amprius' revenue and growth trajectory if these development projects translate into large-scale production contracts. The company's ability to execute and scale will be critical in capitalizing on these opportunities and maintaining its competitive edge in the rapidly evolving battery technology market.

Agreement Funds Development of New Silicon Anode Cell with Reduction of Weight and Size by 50%

FREMONT, Calif.--(BUSINESS WIRE)-- Amprius Technologies, Inc. (“Amprius” or the “Company”) (NYSE: AMPX), a leader in next-generation lithium-ion batteries with its Silicon Anode Platform, today announced it has signed a development contract from a Fortune 500 company. The contract employs Amprius to develop a small format custom high-energy SiMaxx™ pouch cell using Amprius’ proprietary silicon anode technology.

Amprius Signs Development Contract for a High-Energy Custom Cell with a Fortune 500 Company (Graphic: Business Wire)

Amprius’ high-energy batteries provide the critical solution to the customer’s application. The project is expected to reduce the battery’s weight and size by approximately 50% compared to their current battery, without compromising performance. A smaller and lighter battery enables better product designs, enhances the overall customer experience, and offers a significant competitive advantage in the market. The application is projected to require over one million cells per year if the project objectives are met.

“This engagement again demonstrates the impact of Amprius technology on customer applications. Our high-energy and high power-density silicon anode cells allow companies to innovate confidently, knowing their devices will be powered efficiently and safely,” said Dr. Kang Sun, CEO of Amprius Technologies. “We are excited to collaborate with industry leaders to deliver the best battery solutions.”

Amprius is continuing to see increasing demand for its high-performance silicon anode batteries among Fortune 500 leaders. In September, the Company announced it previously signed an LOI with a different Fortune Global 500 leader in LEVs.

For more information on Amprius, please visit the Company’s investor relations website at https://ir.amprius.com.

About Amprius Technologies, Inc.

Amprius Technologies, Inc. is a leading manufacturer of high-energy and high-power lithium-ion batteries, producing the industry’s highest-known energy density cells. The company’s commercially available SiMaxx™ batteries deliver up to 450 Wh/kg and 1,150 Wh/L, with third-party validation of 500 Wh/kg and 1,300 Wh/L. Amprius expanded its product portfolio to include the SiCore™ platform in 2024, significantly enhancing its ability to serve additional customer applications. The company’s corporate headquarters is in Fremont, California, where it maintains an R&D lab and a MWh scale manufacturing facility for the fabrication of silicon anodes and cells. To serve customer demand, Amprius entered into several agreements to secure over 500 MWh of contract manufacturing available today. For additional information, please visit amprius.com. Also, see the company’s LinkedIn and Twitter pages.

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding Amprius’ ability to develop and manufacture the batteries that meet the customer’s specifications, the performance of Amprius’ batteries, the potential sales that may be generated by the development project and the demand for Amprius’ batteries. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of Amprius’ management and are not predictions of actual performance. Actual results could differ materially from these forward-looking statements as a result of certain risks and uncertainties. These forward-looking statements are subject to a number of risks and uncertainties, including Amprius’ liquidity position; risks related to the rollout of Amprius’ business and the timing of expected business milestones; Amprius’ ability to commercially produce high performing batteries; the effects of competition on Amprius’ business; supply shortages in the materials necessary for the production of Amprius’ products; and changes in domestic and foreign business, market, financial, political and legal conditions. For more information on these risks and uncertainties that may impact the operations and projections discussed herein can be found in the documents we filed from time to time with the Securities and Exchange Commission (the “SEC”), all of which are available on the SEC’s website at www.sec.gov. There may be additional risks that Amprius does not presently know or that Amprius currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect Amprius’ expectations, plans or forecasts of future events and views as of the date of this press release. These forward-looking statements should not be relied upon as representing Amprius’ assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements. Except as required by law, Amprius specifically disclaims any obligation to update any forward-looking statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241002710327/en/

Investors

Tom Colton, Greg Bradbury

Gateway Group, Inc.

949-574-3860

IR@amprius.com



Media

Zach Kadletz, Brenlyn Motlagh

Gateway Group, Inc.

949-574-3860

Amprius@Gateway-grp.com

Source: Amprius Technologies, Inc.

FAQ

What is the main objective of Amprius' new development contract with the Fortune 500 company?

The main objective is to develop a small format custom high-energy SiMaxx™ pouch cell using Amprius' proprietary silicon anode technology, aiming to reduce the battery's weight and size by approximately 50% compared to the customer's current battery, without compromising performance.

How many cells per year could be required if Amprius (AMPX) meets the project objectives?

If the project objectives are met, the application is projected to require over one million cells per year.

What recent developments indicate growing interest in Amprius' (AMPX) battery technology?

Amprius is seeing increasing demand for its high-performance silicon anode batteries among Fortune 500 leaders. In addition to the new development contract, the company recently signed an LOI with a different Fortune Global 500 leader in LEVs.

What are the potential benefits of Amprius' (AMPX) smaller and lighter battery technology?

The smaller and lighter battery technology is expected to enable better product designs, enhance overall customer experience, and offer a significant competitive advantage in the market for companies using Amprius' batteries.