General Motors (GM) plans to launch a new business unit to offer electricity storage and management for homes and businesses.
The Detroit-based automotive manufacturer announced Tuesday that it would form a new business unit called GM Energy to provide stationary battery packs, solar panels, electric vehicle (EV) chargers, and other energy-management products for customers.
GM’s new business division will focus exclusively on the development and sale of various energy storage and management services to residential and commercial customers.
The company also wants to create a “network of charging stations, dedicated backup home power, and a suite of new products to help create a more resilient grid.”
The new business unit will offer “resiliency” to customers and the energy grid, according to Travis Hester, vice president of EV growth operations at GM.
“If you have a sudden unexpected power outage, then you can use your vehicle or your stationary storage box to be able to power your home or small business,” Hester said.
To provide customers with resiliency, GM has formed partnerships with regional utility companies like Pacific Gas and Electric and Con Edison, as well as the California-based solar energy company SunPower, which will install home energy systems that integrate EVs, solar panels, and energy storage.
The home energy systems will roll out alongside the launch of GM’s 2024 Chevrolet Silverado EV, which goes into production during the fall of 2023.
“It was really important to us that when we launched this that it was not a plan for the future, but actually something we’re doing right now,” Hester said, adding, “The business fundamentals behind this are very solid.”
GM Energy’s total addressable market is between $125 billion and $250 billion, according to Hester.
GM plans to use its new EV business division to help double annual revenue to $280 billion by 2030 as the legacy car manufacturer transitions beyond selling its conventional internal combustion cars and trucks.
