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Emerging Applications and Materials Technologies Will Drive the $9.1-Billion Market for Mobile Batteries, Says New Report

12 October 2005

By 2010 the market for batteries
for mobile electronics, communications and computing is expected to reach
$9.1 billion, says a new report from NanoMarkets, LC, a market research and
consulting firm based here. While lithium-ion batteries from firms such as
Energizer, Gillette (Duracell), Matsushita, Sony, Toshiba and Ultralife will
continue to be the dominant power source for mobile devices, emerging
applications and materials are creating major new opportunities for
alternative battery technologies. Additional information about the report can
be found at http://www.nanomarkets.net.
Three opportunities pinpointed in the report include:

Lithium-polymer batteries. The growth of smartcards, RFIDs and disposable
electronics will drive the market for lithium-polymer batteries, which are
expected to reach about $1 billion in sales by 2010. Other sectors that are
expected to see rapid growth in the use of lithium-polymer batteries include
military, medical and slimline smartphones. Toshiba and others are building
new kinds of lithium batteries that combine the best of the lithium-ion and
polymer types.

Collaborations with fuel cell firms. According to NanoMarkets, mobile
fuel cells are closer to market than many battery companies think. Fuel cells
will initially serve as mobile battery chargers or they will require batteries
to buffer against power spikes -- so the relationship between batteries and
fuel cells will be synergetic rather than competitive. Therefore, now is the
time for battery companies to forge alliances with fuel cell makers that cover
both product development and supply chain issues -- mobile fuel cell makers
will be in need of established distribution channels for disposable fuel cell
cartridges.

Better batteries through chemistry. Lithium-based batteries have been
unable to keep up with the growing power requirements of mobile devices.
However, NanoMarkets believes that the latest developments in nanostructures
and thin films will create considerably improved performance metrics for
mobile batteries. For example, high aspect ratio nanomaterials with small
diameters enable the battery to recharge faster. These new nano-enabled
batteries are still too expensive for widespread use, although this is
expected to change in the next few years as volume sales begin to ramp up.
Major firms, such as Cabot, are committed to providing improved materials for
batteries, along with smaller companies such as Enable IPC, Front Edge
Technologies, mPhase, NanoEner Technologies, Power Paper and Solicore.

Along with a discussion of other opportunities in the mobile-power space,
NanoMarkets' report provides detailed analysis and forecasts of both fuel
cells and batteries for mobile power applications broken out by technology,
functionality and device type. Applications covered include laptops, mobile
phones, PDAs, portable consumer electronics, "mobile soldier" devices and
mobile medicine. The report reviews the evolving strategies of companies in
this market and pinpoints just when and where the main opportunities are for
both mobile fuel cells and mobile batteries. Data for this report was
collected from extensive interviews of leading companies throughout the entire
value chain, from materials providers, to fuel cell manufacturers, to mobile-
device companies. Members of the press may request an executive summary of the
report by emailing press@nanomarkets.net.

About NanoMarkets:
NanoMarkets analyzes the market opportunities and disruptions brought
about by advances in technology at the micro and nano scale. Through its
reports, white papers and customized client engagements, the firm provides
clients with insightful analyses of both the commercial and technology-related
issues that will determine where and how their business opportunities will
emerge or be impacted.