Numerous startup companies have reportedly developed various tests to gauge the battery state of a second-hand electronic vehicle (EV), a method that was not possible until recently.
Reuters reported that startups are scrambling to provide the best test possible for pre-used EV batteries. Testing an electronic vehicle's battery health is reportedly crucial for buyers to determine how much a second-hand EV is worth, as its "value depends largely on their battery's driving range and ability to hold a charge."
"Altelium" is one of the startups that has developed a pre-used EV battery test, able to provide real-time battery data analytics, operational and laboratory battery data sources, along with degradation and battery stress modeling.
This year, the UK startup has launched an EV battery state-of-health test with certificates in over 7,000 US car dealers and over 5,000 UK dealers through dealer service providers such as Assurant and GardX.
Altelium's business development manager, Alex Johns, noted that battery health was important in the sales of new and second-hand cars. He also said the company has received interest from other markets, including China, and is now in an "implementation race."
Pre-Used EV Battery Test Competitors
Another startup, Aviloo, has also developed a test for an EV battery. Reuters reported that the Austrian startup has created a test for dealers and private individuals.
The company offers various tests, including premium and flash tests, with the premium test providing a more comprehensive battery state analysis.
Last September, Aviloo integrated a more "effective and customer-oriented" approach that launched a dedicated web store for business customers and a training platform called "Aviloo Academy," among others.
Recurrent is also another player of the second-hand EV battery test that recently inked a deal with ADESA, a wholesale vehicle auction solutions provider for professional car buyers and sellers, and AutoIMS, an auction software company, allowing commercial customers to easily access essential information about electric vehicles, including Battery Score, Battery Health Score, and a timestamp for when the report was completed.
Importance of EV Battery
These emerging startups reportedly further highlighted the importance of testing pre-used EV batteries. According to Reuters, independent tests are essential because automakers frequently release unduly optimistic information on EV range that critics claim they overstate.
The EV market has suffered from a lack of visibility. According to Recurrent, the prices of used EVs in the US in September were down 32% year-on-year versus a 7% drop for fossil-fuel models.
In the UK, prices of used EVs dropped 23% year-on-year in August, while fossil-fuel models were up at least 4%, according to AutoTrader, which said that "consumer concerns around battery life in used EVs" were cause for concern.
A battery reportedly makes up about 40% of the price of a new EV, and how that battery is treated is critical when selling it afterward. Charging an EV too often and constantly leaving it for long periods, especially when fully charged, can reportedly degrade its battery more quickly.
Aviloo discovered that after 100,000 kilometers, an EV battery's health can vary by up to 30%. Aviloo CEO Marcus Berger noted that an EV's mileage and age "don't tell you anything... it's all about the battery."