Over one hundred million eyes were on Super Bowl LVI this week.
Today’s post is written by Ivy Ray, Senior Procurement Specialist at SafeSourcing Inc.
Over one hundred million eyes were on Super Bowl LVI this week. Football fans are in it for the game, others for the entertainment, and some just watching for the advertising commercials. These ads cost a whopping $6.5 million for a 30-second slot. Most of which were automakers touting their Electronic Vehicles, also known as EV.
General Motors, Nissan, and BMW shelled out billions of dollars on ads promoting their new EV offerings. Still, none for Tesla which leads sales in EV and has never done any advertising, because demand for their cars currently far exceeds the number of cars their company can build. Some of these vehicles that were advertised will not be available for months. Chevrolet’s Silverado EV is not due out until 2024.
The delays in getting these EVs on the market are due to a number of factors, including the global chip shortage, supply chain disruptions, and the difficulties of transitioning from internal combustion engine models to electric powered motors. Another key factor in this delay is the battery.
Power and range of the EV depends on the type of battery it uses. Lithium-ion batteries are relatively low-cost, low maintenance, and have high energy density but manufacturers are exploring different battery options such as solid-state batteries which can store more energy, charge faster and are safer than lithium-ion batteries. Solid-state batteries are still in the process of development and are a long way off from being considered as the standard, but investors are pouring money into their development and production.
The global automotive battery market is expected to reach $85.41 billion by 2025. Lithium-ion batteries are currently the best choice for EV and the demand is anticipated to rise in the coming years. Since lithium is one of the most important components in the manufacturing of EV batteries, stocks in lithium mining companies are on the rise. While it may be a while before you consider investing in the purchase of an EV, it seems lithium stocks may prove to be a worthy investment.
For more information on how SafeSourcing can assist you in exploring your procurement solutions for your business or on our “Risk Free” trial program, please contact a SafeSourcing Customer Service Representative. We have an entire customer services team waiting to assist you today.
We look forward to your comments.