Lately, electric vehicles have been feeling less charge. Less motivation, so to speak. And while anyone can blame that on the calamitous year of 2020, it’s likely more deep-rooted. More deep-rooted in batteries. This may especially be attributed to QuantumScape, whom dropped more than 40% in shares on Monday. Meanwhile, the rest of the sector is doing just dandy! They were off 40% to $50.80 a share. This is to say that the shares themselves have been suffering almost more than half their market value in just the past four trading days alone. No one really knows why, but likely due to low stock trades, did QuantumScape have to merge with a SPAC nnamed Kensington Capital. In turn, stock for the EV battery maker jumped from 57% to $37.
So what’s the deal with QuantumScape? Do they need Al Calavicci?
Well, some sort of guide would be nice! Holographic or not… Their shares are down from the record closing $131.67 originally observed on December 22nd.
Maybe it has to do with the science of the whole thing. After all, the standard is currently Lithium-ion batteries. They’re reliant on the liquid electrolyte process that occurs inside. Higher energy-density solid-state batteries will expedite all of this by increasing range and shortening the charge times for EVs in future years to come.
Heck, company tests say so themselves! Solid-state batteries are way longer-lasting to recharge than conventional batteries.
In November, QuantumScape went on to go public in a merger event with a particular blank-check company. This has lately been a popular choice as many companies in the electric and alternative energy realm of transportation have taken similar paths within the past year.
EV is no easy slice of the industry. But if you’re going to get big you sometimes have to get small. And then shoot up to the skies from there.