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Innovation Q&A: The outlook for electric

Sponsored Content From Haig Partners
This content was paid for by an advertiser and produced by the Automotive News Content Studio.
August 16, 2021 10:49 AM
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    While consumer acceptance of electric vehicles appears to be gaining momentum, many hurdles remain before   reaching   mass   adoption. What are the primary challenges, and  what  technologies  are  in  the works  to  resolve  consumer  pain points such as range anxiety and charging  infrastructure?  Industry experts from Eaton,  Agero  and Dana Inc. share their perspectives.
     

    About the Panelists

    SCOTT ADAMS, PRESIDENT EMOBILITY, EATON

    Scott Adams is currently the president of eMobility at Eaton. In this role, Scott is responsible for leading all aspects of the eMobility busi- ness, leveraging expertise from Eaton’s Electrical and Vehicle Groups for the development of electrified components and power management technology for automotive and commercial vehicles.

    photo

     

    GUILIO ORNELLA, VICE PRESIDENT, VEHICLE ELECTRIFICATION ENGINEERING, DANA INCORPORATED 

    Giulio  is  responsible  for  electrification  engineering  for  Dana’s light-vehicle business. Previously, he served as senior director of mechatronics and electrification focused on developing new products, including motors, inverters, sensors, software and controls.

    photo

    CATHY ORRICO, CHIEF CLIENT OFFICER, AGERO
    630-926-9016
    [email protected]

    As chief client officer, Cathy focuses on furthering Agero’s strategic direction and helping 
    clients transform the customer experience in innovative, meaningful, and profitable ways throughout 
    the vehicle ownership lifecycle.

    photo

    Q: Many major automakers have announced plans to electrify their vehicle lineups. What’s driving this push?

    Giulio  Ornella,  Dana:  A  number  of  factors  are  driving  the  push. Factors  such  as  emission  regulations,  the  emphasis  on  corpo- rate sustainability, the opportunity for consumers to capitalize on improved total cost of ownership, and disruptive startups accelerating the competitive landscape are coming together at the same time to move us toward an electric future.

    Cathy Orrico, Agero: Three major factors are causing OEMs to electify their  lineups.  Environmental  regulations  and  pressure  from eco-conscious  consumers are  driving  much  of  this.  On  Aug.  5, President Biden signed an executive order aimed at making half of all new vehicles sold in 2030 zero emissions. GM, Ford and Stellantis responded with a statement saying they aspire to make EVs up to 50 percent of their U.S. sales by the same year. Consumers want these changes made. Tesla has really changed the game here as well.

    Scott Adams, Eaton: Consumer interest and tightening  global  emissions  regulations  are driving automakers to increase investments in EV technologies. Consumer interest is increasing because there are more options for electric vehicles than ever before. In addition, the infrastructure for charging vehicles is improving. More businesses are adding charging stations for employees. Grocery stores, malls, hotels, airports and other places people visit often have charging stations.

    Q: What’s the biggest single challenge preventing more consumers from choosing EVs?

    Ornella: Infrastructure is perhaps the single biggest challenge, fol- lowed closely by range anxiety. This is why Dana is focused on delivering no-compromise solutions that will give drivers confidence in purchasing EVs. While the majority of driving scenarios can be covered by a single fully charged battery, drivers may still make purchasing decisions based on their most extreme scenarios, such as long vacation trips.

    Orrico: Despite consumers’ reported willingness to spend more for “greener”  merchandise,  there  is  a  real  disconnect  between  their desire for EVs and their understanding of them. Many worry about the requirements of adopting this technology. These concerns make it difficult to rationalize the $10,000 more they are likely to spend on an electric car versus a gas-powered one. OEMs would do well to focus on educating their consumers.

    Adams: Clearly,  EVs  need  to  be cost-competitive. But several things  are  critical  to  consumers, including  faster  charging  speed, extending   the   range   between chargings  and  the  availability  of charging stations. Our recent acqui- sition of Green Motion, a designer and manufacturer of EV charging hardware and related software, helps our customers transition to EV architectures with both vehicle technol- ogies and the necessary recharging technology and infrastructure.

    "OEMs would do well on educating their consumers. -Cathy Orrico, Agero "

    Q: Is there advanced technology on the horizon that might ease consumers’ range anxiety?

    Ornella: I think we can expect to see rapid improvements in batteries, charging technology, infrastructure, connectivity and electric power- trains. Dana’s driveline solutions will enable longer driving range per battery charge. We also offer smarter thermal management technology; and our silicone-carbide, metal-oxide semiconductor field-effect transistors (MOSFETs) in inverters will support higher voltage and switching frequency. The result? More efficient powertrains and
    maximized battery life.

    Orrico: While  there  is  some  opportunity with changes to in-vehicle battery technol- ogy, more charging infrastructure will have a significant impact on quelling consumer range  anxiety.  Fast-charging  devices  can speed up the time it takes to charge batteries. Also, the build-out of private charging networks continues to 
    improve access and availability.  And  government  support  for increased charging infrastructure is aimed at increasing consumers’ confidence.

    Adams:  Eaton’s  traction  inverter  can  optimize  use  of  the  bat- tery to maximize range. Our eMobility business offers a number of weight-saving technologies, including  our  onboard  charger  (OBC) and DC-DC converter, which were designed with reduced components  to  decrease  costs  and  weight, increase  reliability,  improve efficiency  and  provide  packaging  flexibility.  Another  possibility  is hydrogen fuel cells, which produce electricity and emit no 
    emissions except for water. Our Twin Vortices Series (TVS®) has been used in a number of hydrogen fuel cells.
     

    Q: What’s the biggest regulatory change needed to support contin- ued EV adoption? What will make the biggest impact?

    Ornella: Regulation will help create leverage for the shift to EVs, but it will likely be needed in a number of places. The proposed targets from the Biden administration and commitment from the OEMs will go a long way toward driving adoption. For the energy sector, it will mean investing in a robust grid, charging infrastructure and green fuel sources. For consumers and fleets, it will mean incentives to change vehicle choices.

    Orrico: We saw an enormous impact with tax credits subsidizing EV purchases. In states with larger subsidies, adoption has been much, much higher. The same  is true for federal tax incentives. If these are renewed or increased, we should see continued robust demand for EVs.

    Adams: Regulatory action is critical to ensure the industry makes the investments to achieve zero emissions. And the industry needs clear guidance that if it invests in these technologies, there will be   market   demand   for   the   solutions. Additionally, many governments are making  efforts  to  help  automakers and consumers more  readily  embrace  electrified  vehicles  through  several  actions, including setting mandates and tightening emissions regulations.

    "Regulatory action is critical to ensure the industry makes the investments to achieve zero emissions. -Scott Adams, Eaton"

    Q: What do you see as the next wave of innovation  that  will  propel  the  market- place toward an all-electric future?

    Ornella: A large segment of vehicles that are leveraged by businesses will require robust goods and delivering services. Dana is designing solutions such as fully integrated e-axles, motors and inverters that will address the rugged demands of larger pickups, delivery vans and light commercial vehicles. This will help demonstrate the feasibility of EVs.

    Orrico: Connected technologies and the benefits these deliver are particularly important with the batteries that EVs use. Remote diagnostics,  real-time  alerts, near-time  reaction  to  vehicle servicing needs will have huge implications, allowing for safer, longer-lasting and better-performing vehicles. The development of new battery technologies also is important. This will improve range and performance at a lower cost.

    Adams: A number of technologies will improve efficiency, perfor- mance and safety. To address safety, we introduced Breaktor™ circuit protection technology, combining fuses, pyro switches and contactors into a single coordinated device. Our inverters are key to the development of EVs because they provide increasingly higher power levels and optimize battery use. For electric commercial vehicles, our eMobility business offers systems and components that improve per-
    formance, acceleration and gradeability.

    Q: What’s your perspective on EV proliferation for commercial uses such as heavy trucking, last-mile delivery or public transit?

    Ornella: Businesses already are leveraging technology in commer- cial applications, where defined routes make range requirements easy to manage and there is a strong return on investment. Dana’s EV technologies  are  used  on  some  19,000  commercial  vehicles, such as buses and medium-duty trucks. The next barrier is the implementation on Class 8 over-the-road applications, which will likely require a powertrain that leverages hybrid, fuel cell and fully electric vehicles.

    Orrico:  We  are  working  with  several  fleet  organizations  that  are expanding their commercial-vehicle line to include EVs, with reduced fuel costs driving these decisions. But these products and use cases will require continued investment in both private and public commitments. Factors include the availability of charging stations, how long it takes to charge vehicles, vehicle routing and proximity to Level 3 fast-charging stations.

    Adams: To meet regulations, commercial-vehicle fleets will end up with a mix of diesel, hybrid and electrified vehicles. We are investing in hydrogen fuel-cell technology, aimed at mostly heavy-duty vehicles where batteries may not be as effective. We also received an award from the U.S. Department of Energy to continue our investment in fuel- cell systems. The requirements for commercial fleets have led us to develop EV transmissions that improve acceleration and  gradeability.

    Q: What makes you optimistic about mainstream EV adoption?

    Ornella: We are starting to see the concerto come together with the convergence of OEMs, suppliers, academia, energy companies and governments playing their parts to orchestrate adoption across allareas of business. We are approaching the point where we can begin testing to determine where extra effort will be required—be it infrastructure or supply chains—to ensure we reach the finish line.

    Orrico:  EVs  are  really  cool  cars:  energy efficient, smart and connected. EV adoption is  increasing—and  not  just  for  their  eco- friendly profiles but for their superior performance  and  innovative  designs.  Federal and  state  funding  will  propel  this.  The recently passed $1 trillion infrastructure bill will help. Big tax credits and incentives to individuals and companies will break down the barriers.

    Adams: We are proud to be a part of this electrification movement. Our eMobility technologies will help our global OEM customers design the next generation of lighter, more efficient vehicles with improved performance, which is important because they allow us to optimize efficiency and cost. And as we move forward, we will continue leveraging our power management expertise and increase our resources to support our customers and advance the electric revolution.

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        • Haig Partners: Buy-Sell Q&A: Where the Automotive M&A Market is heading
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        • Kerrigan Advisors: Interview with Baxter Auto Group
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        • OEC: How to understand what customers are saying when they’re not saying it
        • PACE: Electrification Technology: Once the supply chain gets over the shock, EVs offer opportunities
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        • Siemens: The impact of vehicle electrification and connectivity on electrical system design
        • Spectrum Reach: Playing to win: How automotive dealers can capitalize on sports marketing
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        • Truist: Prepare now for the next era of automotive retailing
        • Urban Science: Promoting dealer-consumer alignment across continued industry evolution
        • Walbridge: Video | Walbridge Chairman on how automotive companies are navigating the electrification boom
        • Western Digital: To Meet Consumer Demand, Automakers Must Double Down on Agile Development
        • Wipro: How to address safety and security for software-defined vehicles
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        • Notarize: What to expect for the future of auto sales
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        • Haig Partners: How are dealerships being valued today?
        • Haig Partners: Dealership consolidation trends
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        • Ally: Navigating the future of automotive retailing
        • Google: How a century-old brand is transforming the auto industry
        • Car Wars: Is a Rise in Service Leading to Poor Customer Satisfaction?
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        • Kerrigan Advisors: Blue Sky Update Q4 2021
        • Qualcomm: Trading multi-year design cycles for on-demand features and experiences
        • Twitter: EV adoption is happening...in an unexpected place
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