Gogoro, known for its innovative swappable battery technology for light electric vehicles, has announced a significant partnership with Japanese giants Sumitomo Corporation and Sumitomo Mitsui Finance and Leasing Co., Ltd. (SMFL). The partnership aims to leverage Gogoro’s Smart Batteries and battery-swapping system to expand the use of its technology beyond electric scooters, marking a major milestone for the company.
The partnership with Sumitomo, a conglomerate with a vast array of subsidiary companies and a strong presence in industries such as automotive, transportation & construction systems, and urban development, is expected to accelerate Gogoro’s global business expansion. This move highlights Gogoro’s ambition to position itself as more than just an electric scooter company, but rather as an energy platform with far-reaching applications.
Horace Luke, founder and CEO of Gogoro, expressed enthusiasm about the partnership, stating, “Gogoro’s innovative business ecosystem is designed to create broader business partnerships and business models that were not previously possible.” He added, “Together, Gogoro, Sumitomo, and SMFL share a vision for accelerating the expansion of sustainable energy and transportation in the world’s most densely populated cities.”
Bruce Aitken, CFO of Gogoro, emphasized the potential for the partnership to create new business opportunities, stating, “Amongst the many new business opportunities, this partnership would enable a new asset-light expansion model for Gogoro that doesn’t require a large upfront capital investment while increasing the financial efficiency of our new markets.”
Gogoro’s battery technology has already demonstrated impressive longevity, with the company estimating that its battery packs could last up to 12 years, thanks to intelligent charging capabilities and sophisticated operations management. This longevity opens up a range of second-life uses for the batteries, from stationary energy storage applications to powering various devices and equipment.
The partnership with Sumitomo and SMFL could further accelerate Gogoro’s expansion into new markets and unlock new opportunities for its battery technology. SMFL’s mid-term management plan strategy includes the realization of a battery circular economy through the creation of a battery reuse and recycling business using Gogoro’s smart batteries, indicating a strong commitment to sustainable energy usage.
