Solid Power, Inc (SLDP.US), a U.S.-based developer of solid-state battery technology, announced strategic collaborations with Samsung and BMW on Thursday to jointly develop and validate a demonstration vehicle featuring all-solid-state battery technology. The news drove Solid Power's shares up over 20% in after-hours trading.

Under the agreement, Solid Power will supply sulfide-based solid electrolytes to Samsung SDI, which will integrate them into separator and/or cathode electrolyte systems for battery cell production. These cells will then be evaluated against performance parameters and requirements jointly defined by Samsung SDI and BMW. The ultimate goal is to develop and supply all-solid-state battery cells for prototype vehicles.

The companies highlighted that all-solid-state battery cells could significantly enhance energy density, cycle life, and safety by replacing liquid electrolytes with solid materials. Solid Power emphasized that this collaboration aligns with its strategic objective to produce and sell electrolytes to tier-1 battery manufacturers and automotive OEMs.