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From the ashes of nearly a billion dollars, Ample resurrects Better Place’s battery swapping business model

A little over 13 years ago, Shai Agassi, a promising software executive who was in line to succeed the chief executive at SAP, then one of the world’s mightiest software companies, left the company he’d devoted the bulk of his professional career to and started a business called Better Place.

That startup promised to revolutionize the nascent electric vehicle market and make range anxiety a thing of the past. The company’s pitch? A network of automated battery swapping stations that would replace spent batteries with freshly charged ones.

Agassi’s company would go on to raise nearly $1 billion (back when that was considered a large sum of money) from some of the world’s top venture capital and growth equity firms. By 2013 it would be bankrupt and one of the many casualties of the first wave of cleantech investing.

Now serial entrepreneurs John de Souza and Khaled Hassounah are reviving the battery swapping business model with a startup called Ample and an approach that they say solves some of the problems that Better Place could never address at a time when the adoption of electric vehicles is creating a far larger addressable market.

In 2013, there were 220,000 electric vehicles on roads, according to data from Statista, a number which had grown to 4.8 million by 2019.

Ample has actually raised approximately $70 million from investors, including Shell Ventures, the Spanish energy company Repsol and the Moore Strategic Ventures, a venture firm that is the privately held investment firm of Louis M. Bacon, founder of the multibillion-dollar hedge fund, Moore Capital Management. That includes a $34 million investment first reported back in 2018, and a later round from investors including Japan’s energy and metals company, Eneos Holdings that closed recently.

“We had a lot of people that either said, I somehow was involved in that and was suffering from PTSD,” said de Souza, of the similarities between his business and Better Place. “The people who weren’t involved read up about it and then ran away.”

For Ample, the difference is in the modularization of the battery pack and how that changes the relationship with the automakers that would use the technology.

“The approach we’ve taken… is to modularize the battery and then we have an adapter plate that is the structural element of the battery that has the same shape of the battery, same bolt pattern and same software interface. Even though we provide the same battery system… it’s the same as replacing the tire,” said Hassounah, Ample’s co-founder and chief executive. “Effectively we’re giving them the plate. We don’t modify the car whatsoever. You either put a fixed battery system or an Ample battery plate. We’re able to work with the OEMS where you can make the battery swappable for the use cases where this makes a lot of sense. Without really changing the same vehicle.”

Ample’s currently working with five different OEMs and has validated its approach to battery swapping with nine different car models. One of those OEMs also brings back memories of Better Place.

It’s clear that the company has a deal with Nissan for the Leaf thanks to the other partnership that Ample has announced with Uber. Ample’s founders declined to comment on any OEM relationships.

It’s clear that Ample is working with Nissan because Nissan is the company that inked a deal with Uber earlier this year on zero-emission mobility. And Uber is the first company to use Ample’s robotic charging stations at a few locations in the Bay Area, the company said. This work with Nissan echoes Better Place’s one partnership with Renault, another arm of the automaker, which proved to be the biggest deal for the older, doomed, battery swapping startup.

Ample says it only takes weeks to set up one of its charging pods at a facility and that the company’s charging drivers on energy delivered per mile. “We achieve economics that are 10% to 20% cheaper than gas. We are profitable on day one,” said Hassounah.

Uber is the first step. Ample is focused on fleets first and is in talks with multiple, undisclosed municipalities to get their cars added to the system. So far, Ample has done thousands of swaps, according to Hassounah, with just Uber drivers alone.

The cars can also be charged at traditional charging facilities, Hassounah said, and the company’s billing system knows the split between the amount of energy it delivers versus another charging outlet, Hassounah said.

“So far, in the use cases that we have, for ridesharing it’s individual drivers who pay,” said de Souza. With the five fleets that Ample expects to deploy with later this year the company expects to have the fleet managers and owners pay for charging.

Some of the inspiration for Ample came from Hassounah’s earlier experience working at One Laptop per Child, where he was forced to rethink assumptions about how the laptops would be used, the founder said.

“Initially I worked on the keyboard display and then quickly realized the challenge was in the field and developed a framework for creating infrastructure,” Hassounah said.

The problem was the initial design of the system did not take into account lack of access to power for laptops at children’s homes. So the initiative developed a charging unit for swapping batteries. Children would use their laptops over the course of the day and take them home, and when they needed a fresh charge, they would swap out the batteries.

“There are fleets that need this exact solution,” said de Souza. But there are advantages for individual car owners as well, he said. “The experience for the owner of a vehicle is after time the battery degrades. With ours as we put new batteries in the car can go further and further over time.” 

Right now, OEMs are sending cars without batteries and Ample is just installing their charging system, said Hassounah, but as the number of vehicles using the system rises above 1,000, the company expects to send their plates to manufacturers, who can then have Ample install their own packs.

Currently, Ample only supports level one and level two charging, but won’t offer fast charging options for the car makers it works with — likely because that option would cannibalize the company’s business and potentially obviate the need for its swapping technology.

At issue is the time it takes to charge a car. Fast chargers still take between 20 and 30 minutes to charge up, but advances in technologies should drive that figure down. Even if fast charging ultimately becomes a better option, Ample’s founders say they view their business as an additive step to faster electric vehicle adoption.

“When you’re moving 1 billion cars, you need everything… We have so many cars we need to put on the road,” Hassounah said. “We think we need all solutions to solve the problem. As you think of fleet applications you need a solution that can match gas in charge and not speed. Fast charging is not available in mass. The challenge will not be can the battery be charged in five minutes. The cost of building chargers that can deliver that amount of power is prohibitive.”

Looking beyond charging, Ample sees opportunities in the grid power market as well, the two founders said.

“Time shift is built into our economics… that’s another way we can help,” said de Souza. “We use that as grid storage… we can do demand charge and now that the federal mandate is there to feed into the grid we can help stabilize the grid by feeding back energy. We don’t have a lot of stations to make a significant impact. As we scale up this year we will.”

Currently the company is operating at a storage capacity of tens of megawatts per hour, according to Hassounah.

“We can use the side storage to accelerate the development of swapping stations,” de Souza said. “You don’t have to invest an insane amount of money to put them in. We can finance the batteries in multiple ways as well as utilize other sources of financing.” 

Ample co-founders John de Souza and Khaled Hassounah. Image Credit: Ample


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GM reveals an EV for (almost) every purse and purpose

Ed Niedermeyer
Contributor

Ed Niedermeyer is an author, columnist and co-host of The Autonocast. His book, Ludicrous: The Unvarnished Story of Tesla Motors, was released in August 2019.

General Motors’ EV day didn’t just mark the launch of a new flexible battery architecture and an ambitious plan to deploy this underlying foundation across all of the automaker’s brands, including Buick, Cadillac, Chevrolet and GMC.

It was a resurrection, albeit with a modern twist.

The company’s announcement this week gave new life to its brand ladder — a portfolio that ranges from the heights of luxury to the most basic utility — and tipped its hand about how it will bring EVs “across the chasm.

This game plan isn’t new. GM is bringing back a strategy that once defined its success and reshaped America’s automotive landscape. This strategy worked for GM until complacency crept in and the brand ladder collapsed. This time, GM is aiming to avoid these snares.

History lesson

Henry Ford’s moving assembly line birthed the early auto industry, but as American prosperity grew in the 1910s-20s, it was General Motors that laid the foundations of the modern car market. Under then-chairman Alfred Sloan, the amalgamation of once-independent automakers united under a strategy that would, in his words, create “a car for every purse and purpose.” From a value Chevrolet to a sporty Pontiac, from a discreetly plush Buick to a majestic Cadillac, and with countless brands in between, what became known as Sloanism birthed the idea that there should be a car to reflect every American’s self-image and social status.

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How Zhihu has become one of China’s biggest hubs for experts

Zhihu may not be as well known outside of China as WeChat or ByteDance’s Douyin, but over the past eight years, it has cultivated a reputation for being one of the country’s most trustworthy social media platforms. Originally launched as a question-and-answer site similar to Quora, Zhihu has grown to be a central hub for professional knowledge, allowing users to interact with experts and companies in a wide range of industries.

Headquartered in Beijing, Zhihu recently raised a $434 million Series F, its biggest round since 2011. The funding also brought Zhihu two important new partners: video and live-streaming app Beijing Kuaishou, which led the round, and Baidu, owner of China’s largest search engine (other participants in the round included Tencent and CapitalToday).

Launched in 2011, Zhihu (the name means “do you know”) is most frequently compared to Quora and Yahoo Answers. While it resembled those Q&A platforms at first, it has grown in scope. Now it would be more accurate to say that the platform is like a combination of Quora, LinkedIn and Medium’s subscription program.

For example, Zhihu has an invitation-only blogging platform for verified experts and since launching official accounts, it has become a channel for companies and organizations to communicate with users. A representative for Zhihu told TechCrunch that the platform had 220 million users and 30,000 official accounts as of January 2019 (for context, there are currently about 800 million Internet users in China), who have posted a total of 130 million answers so far.

The company’s growth will be closely watched since Zhihu is reportedly preparing for an initial public offering. Last November, the company hired its first chief financial officer, Sun Wei, heightening speculation. A representative for the company told TechCrunch the position was created because of Zhihu’s business development needs and that there is currently no timeline for a public listing.

At the same time, the company has also dealt with reports that its growth has slowed.

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Nissan and EVgo to add 200 fast chargers as more electric vehicles hit US roads

Nissan and EVgo said Tuesday they will install another 200 DC fast chargers in the United States to support the growing number of consumers who are buying electric vehicles, including the new Nissan Leaf e+ that came to market earlier this year.

The 100 kilowatt DC fast-charging stations will have both CHAdeMO and CCS connectors, making them accessible to more EV drivers. The inclusion of both charger connectors is logical; it’s also notable for Nissan, once the primary advocates for CHAdeMO chargers.

The announcement builds off of the companies’ six-year partnership, which included building out a corridor of EV chargers along Interstate 95 on the East Coast, as well as between Monterey, Calif., and Lake Tahoe.

Nissan says it has installed more than 2,000 quick-charge connectors across the country since 2010.

Plans to add another 200 fast chargers follows the launch of the 2019 Nissan Leaf e+. The Nissan Leaf e+, which came to the U.S. and Canada this spring, has a range of 226 miles and fast-charging capability.

This new version of the Leaf all-electric hatchback has 40% more range than other versions thanks to a 62 kilowatt-hour battery pack. That 226-mile range puts the Leaf e+ just under the Chevy Bolt EV, which has a 238-mile range, the Kia Niro EV with 239 miles and the Tesla Model 3 standard range plus with 240 miles.

“Given the tremendous driver response to the 2019 long-range all-electric LEAF, Nissan and EVgo will accelerate fast charging by committing to a multi-year charger construction program that will continue to expand fast-charging options for EV drivers across the country,” Aditya Jairaj, director, EV Sales and Marketing, Nissan North America said in a statement.

The companies also plan to partner on a marketing campaign to sell consumers on the benefits of EVs, and for Nissan, hopefully persuade more to buy its Nissan Leaf Plus. Nissan’s July sales figures were down compared to the same month last year, a slump that has affected the Leaf, as well.

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Negative? How a Navy veteran refused to accept a ‘no’ to his battery invention

Decades ago, a young naval engineer on a British nuclear submarine started taking an interest in the electric batteries helping to run his vessel. Silently running under the frozen polar ice cap during the Cold War, little did this submariner know that, in the 21st century, batteries would become one of the biggest single sectors in technology. Even the planet. But his curiosity stayed with him, and almost 20 years ago he decided to pursue that dream, born many years beneath the waves.

The journey for Trevor Jackson started, as many things do in tech, with research. He’d become fascinated by the experiments done not with lithium batteries, which had come to dominate the battery industry, but with so-called “aluminum-air” batteries.

Technically described as “(Al)/air” batteries, these are the — almost — untold story from the battery world. For starters, an aluminum-air battery system can generate enough energy and power for driving ranges and acceleration similar to gasoline-powered cars.

Sometimes known as “Metal-Air” batteries, these have been successfully used in “off-grid” applications for many years, just as batteries powering army radios. The most attractive metal in this type of battery is aluminum because it is the most common metal on Earth and has one of the highest energy densities.

Think of an air-breathing battery which uses aluminum as a “fuel.” That means it can provide vehicle power with energy originating from clean sources (hydro, geothermal, nuclear etc.). These are the power sources for most aluminum smelters all over the world. The only waste product is aluminum hydroxide and this can be returned to the smelter as the feedstock for — guess what? — making more aluminum! This cycle is therefore highly sustainable and separate from the oil industry. You could even recycle aluminum cans and use them to make batteries.

Imagine that — a power source separate from the highly polluting oil industry.

But hardly anyone was using them in mainstream applications. Why?

trevor battery 2

Aluminum-air batteries had been around for a while. But the problem with a battery which generated electricity by “eating” aluminum was that it was simply not efficient. The electrolyte used just didn’t work well.

This was important. An electrolyte is a chemical medium inside a battery that allows the flow of electrical charge between the cathode and anode. When a device is connected to a battery — a light bulb or an electric circuit — chemical reactions occur on the electrodes that create a flow of electrical energy to the device.

When an aluminum-air battery starts to run, a chemical reaction produces a “gel” by-product which can gradually block the airways into the cell. It seemed like an intractable problem for researchers to deal with.

But after a lot of experimentation, in 2001, Jackson developed what he believed to be a revolutionary kind of electrolyte for aluminum-air batteries which had the potential to remove the barriers to commercialization. His specially developed electrolyte did not produce the hated gel that would destroy the efficiency of an aluminum-air battery. It seemed like a game-changer.

The breakthrough — if proven — had huge potential. The energy density of his battery was about eight times that of a lithium-ion battery. He was incredibly excited. Then he tried to tell politicians…

trevor battery 1

Despite a detailed demonstration of a working battery to Lord “Jim” Knight in 2001, followed by email correspondence and a promise to “pass it onto Tony (Blair),” there was no interest from the U.K. government.

And Jackson faced bureaucratic hurdles. The U.K. government’s official innovation body, Innovate UK, emphasized lithium battery technology, not aluminum-air batteries.

He was struggling to convince public and private investors to back him, such was the hold the “lithium battery lobby” had over the sector.

This emphasis on lithium batteries over anything else meant U.K. the government was effectively leaving on the table a technology which could revolutionize electrical storage and mobility and even contribute to the fight against carbon emission and move the U.K. toward its pollution-reduction goals.

Disappointed in the U.K., Jackson upped sticks and found better backing in France, where he moved his R&D in 2005.

Finally, in 2007, the potential of Jackson’s invention was confirmed independently in France at the Polytech Nantes institution. Its advantages over Lithium Ion batteries were (and still are) increased cell voltage. They used ordinary aluminum, would create very little pollution and had a steady, long-duration power output.

As a result, in 2007 the French Government formally endorsed the technology as “strategic and in the national interest of France.”

At this point, the U.K.’s Foreign Office suddenly woke up and took notice.

It promised Jackson that the UKTI would deliver “300%” effort in launching the technology in the U.K. if it was “repatriated” back to the U.K.

However, in 2009, the U.K.’s Technology Strategy Board refused to back the technology, citing that the Automotive Council Technology Road Map “excluded this type of battery.” Even though the Carbon Trust agreed that it did indeed constitute a “credible CO2-reduction technology,” it refused to assist Jackson further.

Meanwhile, other governments were more enthusiastic about exploring metal-air batteries.

The Israeli government, for instance, directly invested in Phinergy, a startup working on very similar aluminum-air technology. Here’s an, admittedly corporate, video which actually shows the advantages of metal-air batteries in electric cars:

The Russian Aluminum company RUSAL developed a CO2-free smelting process, meaning they could, in theory, make an aluminum-air battery with a CO2-free process.

Jackson tried to tell the U.K. government they were making a mistake. Appearing before the Parliamentary Select Committee for business-energy and industrial strategy, he described how the U.K. had created a bias toward lithium-ion technology which had led to a battery-tech ecosystem which was funding lithium-ion research to the tune of billions of pounds. In 2017, Prime Minister Theresa May further backed the lithium-ion industry.

Jackson (below) refused to take no for an answer.

PHOTO 2019 06 18 19 35 52

He applied to U.K.’s Defence Science and Technology Laboratory. But in 2017 they replied with a “no-fund” decision which dismissed the technology, even though DSTL had an actual programme of its own on aluminum-air technology, dedicated to finding a better electrolyte, at Southampton University.

Jackson turned to the auto industry instead. He formed his company MAL (branded as “Metalectrique“) in 2013 and used seed funding to successfully test a long-range design of power pack in its laboratory facilities in Tavistock, U.K.

Here he is on a regional BBC channel explaining the battery:

He worked closely with Lotus Engineering to design and develop long-range replacement power packs for the Nissan Leaf and the Mahindra Reva “G-Wiz’ electric cars. At the time, Nissan expressed a strong interest in this “Beyond Lithium Technology” (their words) but they were already committed to fitting LiON batteries to the Leaf. Undeterred, Jackson concentrated on the G-Wiz and went on to produce full-size battery cells for testing and showed that aluminum-air technology was superior to any other existing technology.

And now this emphasis on lithium-ion is still holding back the industry.

The fact is that lithium batteries now face considerable challenges. The technology development has peaked; unlike aluminum, lithium is not recyclable and lithium battery supplies are not assured.

The advantages of aluminum-air technology are numerous. Without having to charge the battery, a car could simply swap out the battery in seconds, completely removing “charge time.” Most current charging points are rated at 50 kW which is roughly one-hundredth of that required to charge a lithium battery in five minutes. Meanwhile, hydrogen fuel cells would require a huge and expensive hydrogen distribution infrastructure and a new hydrogen generation system.

But Jackson has kept on pushing, convinced his technology can address both the power needs of the future, and the climate crisis.

Last May, he started getting much-needed recognition.

The U.K.’s Advanced Propulsion Centre included the Metalectrique battery as part of its grant investment into 15 U.K. startups to take their technology to the next level as part of its Technology Developer Accelerator Programme (TDAP). The TDAP is part of a 10-year program to make U.K. a world-leader in low-carbon propulsion technology.

The catch? These 15 companies have to share a paltry £1.1 million in funding.

And as for Jackson? He’s still raising money for Metalectrique and spreading the word about the potential for aluminum-air batteries to save the planet.

Heaven knows, at this point, it could use it.

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Nissan’s zero-emission ice cream van uses old EV batteries to keep things cool

File ice cream vans under “things I never thought posed a significant risk to the environment but might actually.” Nissan has developed a new concept vehicle that addresses the problem of all the emissions generated by conventional ice cream vans, and older models in particular, which pump out a lot of greenhouse gases while idling in order to just make sure the ice cream on board stays iced.

For the project, Nissan’s working with ice cream company Mackie’s of Scotland, a purveyor of fine frozen treats that has already taken steps to reduce its footprint using dairy from its own, family-run farm that’s powered by energy from renewable sources, including wind and solar. From the sustainably-made product, to the new zero-emission delivery van conceived and built by Nissan, the companies are calling the approach a “sky to scoop” way to reduce their carbon footprint.

To start, Nissan took their e-NV200 light-duty commercial van, which itself is fully electric and provides up to 124 miles of range on a charge. For this ice cream concept, the van was modified with Nissan’s new “Energy Roam,” a lithium-ion power pack that uses battery cells recovered from older Nissan EVs built from 2010 on. These repurposed power packs can each store about 0.7kWh with output of 1kW, and two are used on board to run a built-in soft-serve machine, fridges and freezers. The power packs can be recharged either from a 230v main power outlet (this is designed for U.K. use), or from solar tiles installed on the van’s roof, which can fill up the batteries in two to four hours on their own.

Besides its all-electric power sources, the Nissan concept van includes a number of revisions of the traditional model of mobile ice cream selling, including situating the vendor outside the van with a hatch that opens to expose the ice cream dispensing goodness. It’s also equipped with contactless payment support so you can just pay with Apple Pay or Google Pay on the go, and through an integration with What3Words, the van broadcasts its location via Twitter instead of with a jaunty jingle.

Bonus for ice cream sellers: Nissan notes that van owners could collect and store power using the on-board batteries and sell it back to the grid even when it’s not ideal weather for selling cold confections — though it’s definitely still a concept, so this is all theoretical.

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Tesla, GM and Nissan are all part of a new coalition aiming to extend the EV tax credit

Tesla, GM and Nissan are among a group of 15 companies that launched a new coalition aimed at reforming the electric vehicle tax credit.

The group, called EV Drive Coalition, brings together a mix of automakers, industry giant ABB, climate change and energy lobbying organizations and EV infrastructure companies, including ChargePoint.

The coalition, which officially launched Tuesday, wants to pass legislation that would tweak the federal electric vehicle tax credit to “ensure that it works better for more consumers for a longer time frame and spurs increased growth of the U.S. EV market.”

The federal electric vehicle tax credit gives consumers a $7,500 credit when they buy an all-electric vehicle. The incentive has been credited with spurring adoption of EVs. However, once an automaker has sold 200,000 electric vehicles, the credit begins to wind down.

Tesla is already in this position and GM is closing in. Earlier this year, the electric automaker delivered its 200,000th electric vehicle. The achievement activated a countdown for the $7,500 federal tax credit offered to consumers who buy new electric vehicles. Under these rules, Tesla customers must take delivery of their new Model S, Model X or Model 3 by December 31 to get the full credit.

Tesla vehicles delivered between January 1 and June 30, 2019, will get a reduced $3,750 federal tax credit. After that, the credit drops to $1,875 before ending altogether. As of October, GM has sold nearly 197,000 electric vehicles.
Tesla GM electric vehicle tax credit

The EV Drive Coalition wants to lift the current cap on the number of consumers who can take advantage of the credit through each manufacturer.

“Arbitrary constraints with the federal credit limit consumer options and make it harder for consumers to purchase the cars they want,” Joel Levin, executive director of Plug In America said in a statement. “Lifting the cap would create a more level playing field for all manufacturers, giving consumers the freedom to decide which car they want in a free and fair market. Increased competition spurs more American innovation and technology.”

The coalition says it supports the eventual phase-out of the credit once the EV industry has had additional time to mature and grow.

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Automakers invest in Transit, the app that helps people get around without a car

Transit, a company that built a mobile app designed to help people in cities live without cars, has raised $17.5 million from two automakers in a Series B round.

The round was led by RenaultNissan-Mitsubishi’s joint investment arm Alliance Ventures. InMotion Ventures, Jaguar Land Rover’s venture capital fund, also joined the round, as well as two past investors, Accel and Real Ventures.

RenaultNissan-Mitsubishi and Jaguar Land Rover’s investment would have seemed counterintuitive five years ago. But this is 2018. It’s the year of the scooter wars and micro-mobility; it’s also a time of transition for automakers that are looking to diversify their traditional business of building and selling cars.

Founded in 2012, Transit started as an app to help people check departure times for buses and trains. It’s grown into a mobile app platform that enables multi-modal transportation, integrating public transit, ride hailing, bike sharing and scooter sharing. The mobile app, which provides real­-time data from transit agencies with user crowdsourcing, gives users notifications from their ride. The app then tracks the real-time location of the vehicle and notifies the user when to leave for their stop, when to disembark. and sends adjusted ETAs. Transit is now used by transit agencies, including Boston’s MBTA, Baltimore’s MDOT MTA, Silicon Valley’s VTA, Tampa Bay’s PSTA and Montreal’s STM.

The company wants to be transit and company agnostic, so, it’s a big proponent of open APIs. Montreal, where the company is based, is a model of what Transit wants to be everywhere. In Montreal, people can use the app for car sharing, bike sharing, to order an Uber or use public transit, COO Jake Sion explained.

Transit, which operates in 175 cities globally, will use the injection of capital to scale operations and improve the platform by integrating various services and payment methods on the app.

“This investment, which will advance Transit’s efforts to make mobility seamless and accessible in cities, fits with the Alliance 2022 strategy to become a leader in robo-vehicle ride-hailing mobility services and a provider of vehicles for public transit use and car-sharing,” François Dossa, Alliance Global vice president of ventures and open innovation, said in a statement.

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A closer look at the all-new 2018 Nissan Leaf

 Nissan’s new Leaf is the updated version of one of the pioneers of the modern all-electric consumer car, and the change is a promising one. The new vehicle offers 150 miles of range based on EPA estimates, which is a lot more than its predecessor at 107 miles (if off a bit when compared to other modern EVs like the Chevrolet Bolt). For Nissan, it’s being positioned as the first EV… Read More

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The new 2018 Nissan Leaf offers 150 miles of EV range

 Nissan unveiled its new 2018 all-electric Leaf at a special event on Tuesday, and the much-anticipated successor to one of the earliest production EVs had some interesting tricks up its sleeve. Most of these focused on intelligent driver assistance features, including ProPILOT semi-autonomous driving and parking capabilities. The Leaf also had an updated body design, with a more aerodynamic… Read More

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