Summary of Key Points from the Conference Call Industry Overview - The focus is on the **Global Battery Supply Chain**, particularly the advancements in **All-Solid-State Batteries (ASSB)**. [2][3] Core Insights - **Market Performance**: Korean battery supply chain companies have seen stock increases of **5-15%** due to milestones in ASSB innovation. [2] - **Research Validation**: A study from Stanford University on silver solid-state electrolyte coatings has generated enthusiasm by potentially extending ASSB battery life. [2] - **Commercialization Challenges**: Key hurdles for ASSB commercialization include dendrite formation and mechanical failure, which negatively impact cycle life. [2] - **Material Selection**: There are three material paths for replacing liquid electrolytes: sulfide, ceramic, and polymer. Current trends show a convergence towards sulfide materials among incumbents, although development continues for ceramic and polymer options. [3] - **Demand Projections**: By **2030**, humanoid robot battery demand is estimated at **300 MWh**, potentially rising to **254 GWh** by **2050**. This could translate to a revenue opportunity increasing from approximately **US$100 million** in 2030 to over **US$30 billion** in 2050. [3] Investment Considerations - **Earnings Impact**: While revenue contributions from ASSB are anticipated, the earnings impact remains low visibility. [3] - **Supply Agreements**: Recent material supply agreements, such as those between Sumitomo Metal Mining and Toyota, indicate some progress, but overall upstream supply agreements and investments are deemed inadequate for rapid scaling and cost reduction in ASSB. [3] - **Government Policy Sensitivity**: The battery industry is sensitive to government policies, including tariffs and sourcing rules, which could affect demand and profitability. [5] Risks and Challenges - **Safety Issues**: The battery industry faces safety concerns that could lead to recalls, negatively impacting demand for individual companies. [5] - **Material and Manufacturing Uncertainties**: Questions remain regarding material loadings and manufacturing processes, which could hinder the scaling of ASSB technology. [3] Conclusion - The ASSB technology is progressing towards mass production between **2027-2029**, but uncertainties in material selection and scaling remain significant challenges. [3]