Automakers Enter Energy Storage Amid Data Center Backlash

Automakers are entering the stationary battery storage business to supply growing data center power needs. Local communities face rising concerns over environment and grid impacts as projects stall.

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Insights:

Tesla Inc. is expanding its utility-scale Megapack deployment to support data center infrastructure across the United States, even as local communities push back against the developments. The pushback highlights growing political risks for automakers entering the stationary energy storage sector. Automakers are leaning into the high-margin energy storage market to offset slowing electric vehicle demand.

Navigating Political Risks

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