General Motors and Redwood Materials have signed a memorandum of understanding to jointly develop energy storage solutions. The project focuses on new GM batteries produced in the United States as well as used battery packs from GM electric vehicles. The project expands upon an existing collaboration between the two companies. In June 2025, Redwood established its Redwood Energy business unit which repurposes used electric vehicle batteries to manufacture new modules for stationary storage solutions.
Worldwide largest facility using second-life batteries
According to the company, these systems are designed to meet the growing demand for electricity, such as that from AI data centers. Spent GM batteries are already being used in a pilot application in Sparks, Nevada. It is currently the worldʼs largest facility using second-life batteries and the largest microgrid installation in North America. The twelve-megawatt, 63-megawatt-hour facility supplies electricity to an artificial intelligence company.
