Sila Nanotechnologies is an American technology company that provides energy storage services. The business specializes in the design and manufacture of batteries for automobiles and cell phones for clients in the United States. This is a successful business that recently went public. If you’re considering making an investment in stock in the company then it’s good to know everything that you can about it so here are 20 things that you probably didn’t know about Sila Technologies.
1. Sila Nanotechnologies is a fairly new company
Sila Nanotechnologies was founded on August 4, 2011. It has been in operation for nearly nine years which means that it is a moderately new company that is still in its developmental stages, although it has come a remarkably long way in a short period of time. It is considered to be an automotive technology business with headquarters in Alameda, California.
2. The company recently raised $70 million
Sila Nanotechnologies entered into a round of Series D funding and raised $70 million in the endeavor. When combined with previous funding rounds the total raised was $125 million. When all was said and done, PitchBook assessed the total valuation of Sila Nanotechnologies at $350 million previously. Other investors who have participated in the fundraising effort include Sutter Hill Ventures, Bessemer Venture Partners, In-Q-Tel, Samsung, Changwei Capital, Next47, Matrix Partners, Amperex Technology Limited, and Siemens.
3. Sila plans to expand its product line
A portion of the funds raised is earmarked for further development and expansion of Sila Nanotechnologies. The company set a goal for developing batteries that will power wearable devices that number in the millions within the period of a year. They are working with a proprietary battery material that is being used in the development of several different types of batteries that the company intends to manufacture. This makes the earning potential of the company high.
4. Expanding into commercial deployments with a superior product
The name Sila Nanotechnologies comes in part from the fact that it works with materials which are nanocomposites which enable silicon to be used in lithium-ion batteries as an anode. It is an alternative to the most commonly used graphite. The use of silicon makes it possible for the batteries to store a greater amount of energy, thus making them longer lasting. There is a huge demand for products that last longer and offer more energy within an equal amount of space.
5. The products are intended for multiple industries
The batteries that Sila Nanotechnologies are currently working on developing are intended for use in a variety of consumer products. There is the intention to create power sources for electronic devices, electric and hybrid automobiles and wearable technology. When you consider how many different products utilize lithium-ion batteries, the market for these products has a huge potential. It is believed that consumers, as well as manufacturers, will opt for products that have a longer life.
6. Sila Nanotechnologies is shifting into a new phase of development
CEO and co-founder of Sila Technologies Gene Berdichevsky has announced the fact that Sila his company is now moving out of the developmental phase. It is entering the manufacturing phase, which is good news for investors are awaiting the company entering the stage at which it will begin to generate revenue. It’s good news for those who have already invested as well as for those who are considering making a purchase of stock in the company prior to a major surge in growth and a possible leap in valuation.
7. Some impressive hires for the production phase have been made
As Sila Nanotechnologies prepares for its production stage, new hires have been made and a winning team of professionals has been brought on board. The co-founder and CEO Gene Berdichevsky hails from Tesla. Erik Larkin who also worked at Tesla was hired as the vice president of data systems, Warren DeSouza is the new chief financial officer and he comes from years of experience in the pharmaceutical industry as the VP of finance at Onyx Pharmaceuticals, then the CFO of Aimmune Therapeutics. Another executive joining the team is the new vice president of the supply chain, Linda Miller from Applied Materials.
8. Expect new construction for the company
Berdichevsky also confirmed that the new executive team has been brought on board to prepare for a major expansion event. Sila Nanotechnologies is following its strategic plan to expand the operation and to do so quickly. Soon, new factories will be built and these facilities will be used in the manufacture of their new product lines. The CEO of the company has made these new hires because he wants to expedite the transition from the developmental stage to the production phase with rapid speed. These are the leaders who will help the business to reach its established goals.
9. Daimler has invested in Sila Nanotechnologies
It was a big event when the legendary and prestigious German automaker Daimler took an interest in Sila Nanotechnologies Their stamp of approval indicates that there is a reason to be excited about the company. Daimler led the funding round that resulted in a $170 million fundraising campaign. The value of Sila Nanotechnologies including its manufacturing technology and battery materials has jumped to $1 billion.
10. The Daimler investment has big implications for Sila Nanotechnologies
Daimler has recently come under the gun with the mandate for accelerating the production of electric vehicles as Mercedes-Benz has a strategic plan for achieving total electrification of its product suite by the year 2022. This has turned up the heat for Daimler as it searched for a reliable means of rising to the occasion. The implications for Sila Nanotechnologies to benefit greatly from these demands are similar to a brass ring with Daimler and its new ally in battery production both reaching for the ring simultaneously and in a joint effort. With this incentive, it is easy to understand why the executive leadership is pushing for rapid expansion and production to commence into full-swing.
11. The target for Sila Nanotechnologies production is the mid-2020s
There are many considerations to be made when developing a new and innovative type of automotive battery. The chief concern is to ensure that the batteries will function safely and the testing process to ensure that the technology can take time to ensure that the design meets quality assurance standards that have been established. Production targets have been established for the middle of the 2020 era and the goal in addition to safety is for reliability and more powerful products that are no larger in size than the less powerful batteries manufactured by competitors.Qualification is one of the greatest concerns of Sila Nanotechnologies leadership.
12. Sila Nanotechnologies has a secret ingredient
One of the questions that we had about this company’s claim or creating an innovative new battery product line that will produce more power with the same size as weaker versions are how they plan to accomplish this. We learned that it amounts to a fine black powder. The ingredient does contain some silicon, but beyond that, we’re not privy to the other ingredients that make up the compound. Berdichevsky did share that it will increase energy performance in lithium-ion batteries by a whopping 40%.
13. Berdichevsky’s discovery is revolutionary
While it’s nothing new for a technology company to discover better formulas for creating energy, Sila Nanotechnologies seems to have gotten an edge with the new substance that is being added to their new line of lithium-ion batteries. This is the kind of innovation that has the potential to make other batteries in this category obsolete with the passage of time and it could very well signal a change in the way that the public views portable power sources. Longer life means that devices can be used for longer periods of time in between charges and this holds significance in the emerging electric vehicle industry. The stakes are high for automotive brands competing in the new market and those fortunate enough to partner with Sila Nanotechnologies’ new product line may also have an edge in the marketplace.
14. Sila is collaborating with BMW
Investors thinking about purchasing shares of Sila Nanotechnologies stock must look at the projections for the company in the short and long term. The potentials are great, especially since Daimler has already invested in development with the necessity of better and stronger battery power for the new Mercedes-Benz line coming out. Sila has also entered into talks with the German automaker BMW as they are also gearing up for a spectacular line of electric vehicles. They’re considering the use of Sila’s batteries in their new lineups for the early 2020s, which is in line with Berdichevsky’s mass production goals.
15. The company promises a host of benefits for consumers
When it comes to the competition in the automotive market, it’s a high stakes game. Sila Nanotechnologies is in the ideal position for currently thriving markets. They’re producing a product that is in high demand. Manufacturers of automobiles who have access to these new stronger batteries stand to take the lead in sales and could potentially dominate the market. Distribution of the products among multiple brands will stimulate more intense competition among them and it’s wise, from a business perspective to sign on for orders to be among the first to use this new innovative technology.
16. The automotive market offers a safe niche
When we look at the potentials for Sila Nanotech to achieve stability in the market in the long-term, the outlook is good. It is predicted that the car battery market alone will increase to an estimated $125 billion annually. In the event that Sila achieves its goals and becomes a leader in the production of a superior product for this industry, investments made in the company should bring in healthy ROIs.
17. There is also a niche in the electronics industry
This company is also developing products for the electronics industry. There is a massive market for cellphone batteries as well as batteries to power other electronic devices such as laptops, music devices, and an extensive line of wearable technologies. With this in mind, Sila Nanotech has the earmarks of making a good stock investment simply because of the huge potential for serious growth at a rapid pace.
18. Sila may have solutions for Jeff Bezos’ issues
Amazon has been working on its new drone delivery system to streamline the process for customers in certain parts of the world. The developers of the system have run into their fair share of problems along with way. One of the obstacles they’re currently working on fixing is the lack of power to make longer deliveries. Sila Nanotech may soon have a solution to this problem. The new longer-lasting and higher-powered lithium-ion batteries which are just a couple of years from production may in fact solve the problem.
19. Sila has the potential to fuel other industries
As we look at the broader scope of the situation, Sila Nanotechnologies is working on solutions in their product lines that have the potential to transform the very world that we live in. With new drone services for deliveries, there will be less need for delivery trucks on the roads. Air traffic may become a concern, however. This is an example of how new technology could create changes in the way that services are rendered. It has the potential for creating great convenience, but a new set of problems usually comes along with such changes.
20. Sila Technologies could be the next tech disruptor
New developments in energy technology are something that has been ongoing for centuries. Each advance changes the world that we live in to some degree. Multiple industries are impacted by these changes and in a consumer-driven society with demands for bigger and better at a lower cost, new startups have a good shot if they offer the best solutions at the right price. Sila has worked out the economics and is claiming that the production of their new battery line will be cost-effective. Already valued at $1 billion this is a company that could become a winner for investors in the very near future.