Solid-State Battery Makers Near Production as Hurdles Remain

Lithium-ion batteries have been revolutionary, powering everything from small personal electronics to large energy storage systems, but moving charged lithium ions through a liquid electrolyte has drawbacks, including a troubling tendency to catch fire. Solid-state batteries replace the liquid with a solid ceramic or polymer.

The technology has been 'just a few years away' for more than a decade. It works in laboratories, but designs pairing a solid electrolyte with a lithium-metal anode face dendrites: needlelike filaments grow during charging, eventually push through the electrolyte and short the cell. Solid electrolytes are meant to block dendrites physically, but many crack as the treelike projections break through like roots in a concrete foundation. Although nascent, solid-state batteries have already seen high-profile missteps.

Manufacturing at scale is another obstacle. Mass production requires large quantities of defect-free ceramic-like sheets for electrolytes and dry rooms for assembly because the electrolytes tend to react with water. Prospective manufacturers quote a range of potential prices, but most expect solid-state batteries to fall in line with lithium-ion packs sometime in the mid-2030s.

QuantumScape, launched in Silicon Valley in 2010 and backed by Bill Gates, built its battery around ceramic materials it says are compatible with lithium, meaning no dendrite formation. Tim Holme, cofounder and chief technology officer, said the company spent about 10 years learning how to process the material to satisfy other requirements. In 2025, the startup announced a proprietary large-scale manufacturing method for quickly producing and heat-treating the ceramic electrolytes. Holme claimed 'Nobody has ever done this in the field of ceramics before' and said the company shortened a process that traditionally takes days to several minutes.

Other companies are pushing the tech. Toyota launched solid-state research in 2010 and is now partnering with Idemitsu Kosan on a pilot plant, promising cars that can travel up to 745 miles after charging 10 minutes or less, if it works out. CATL, which holds roughly 40% of the global battery market, put nearly $2.6 billion into a solid-state research program in 2024 alone. Mercedes equipped one EQS sedan with solid-state batteries last fall; after driving nonstop for 750 miles, the car still had some range to spare.

Investing in vehicle batteries makes sense given the potential market, but any cost increase is typically passed to buyers, so first solid-state EV batteries will be more expensive. Grid storage buyers, working to meet data-center demand, may hesitate to buy new technologies that have not come down the cost curve. The promise of storage lasting longer than lithium-ion's typical eight hours could make them easier to persuade.

Some companies are borrowing a playbook from fusion: focus on near-term markets with better margins to fund development and bring down costs. California-based Solid Energies and Arizona-headquartered Sion Power are looking at selling batteries to aviation or the military. 'Those are sectors that are less sensitive to cost, and they typically require lower volumes as well,' said Evelina Stoikou, head analyst for battery technologies and supply chains at BloombergNEF. 'It's a good way to prove your concept, then go through and fund the pilot plant where you can make that and eventually scale up.'

MIT Technology Review's progress meter rated solid-state batteries at 7, saying the technology works and the capital is there.