Ford said its new Ford Energy unit will build utility-scale battery storage systems for data centers, utilities and large industrial customers, with production starting within 18 months.
20 GWh of annual capacity is the goal by 2027 as Ford repurposes underused EV battery capacity into a new revenue stream in the energy storage market.
BlueOval SK in Glendale, Kentucky, will be converted to make lithium-iron-phosphate prismatic cells, storage modules and 20-foot DC container systems of 5 MWh or more.
BlueOval Battery Park Michigan will produce smaller amp-hour cells for residential storage, extending the business beyond large-scale projects.
Lisa Drake, formerly Ford's vice president for Technology Platform Programs and EV Systems, will lead Ford Energy and report to Vice Chair John Lawler.
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Ford’s $11.4 Billion Pivot: How Ford Energy Aims for 20 GWh in U.S. Battery Storage by 2027
Overview
Ford has launched Ford Energy, marking a major strategic shift from electric vehicle battery production to the fast-growing grid-scale energy storage market. This move comes as Ford faced overcapacity in EV battery production and saw that demand for EV batteries was not fully utilizing its manufacturing capabilities. By converting its battery plants to produce storage solutions for data centers, Ford is responding to surging demand driven by AI data centers and the expansion of renewable energy infrastructure. This pivot positions Ford to capitalize on new growth opportunities and adapt to changing market needs.