9 months ago
Ola Electric Faces Allegations of Tech Leak from LG Energy Solution
Imagine a company called Ola Electric makes electric cars and batteries.
Another big company, LG Energy Solution, is saying that Ola got some of their secret recipes for making special batteries.
They think a person who used to work for LG gave these secrets to Ola.
This person apparently admitted to sharing information but said they didn't know it was super secret.
Ola Electric also recently announced they are delivering cars with their own new batteries, and they say they invest a lot in research to make new things.
However, some people think Ola Electric is too focused on making their company seem more valuable to investors and might be cutting corners.
This isn't the first time Ola Electric has faced trouble; they also had a legal issue with another company about using their map technology.
It's like a competition where one company thinks the other cheated to get ahead.
LG Energy Solution alleges Ola Electric obtained proprietary battery technology from a former LG researcher.
The former researcher is reportedly under investigation by South Korean authorities and LGES.
Ola Electric recently announced deliveries of vehicles using their self-developed 4680 Bharat Cell.
Ola Electric has previously faced a legal notice from MapmyIndia for alleged license agreement breaches.
An industry veteran criticized Ola Electric's focus on valuation and questioned their technology development speed and methods.
- Who
- Ola Electric and LG Energy Solution (LGES)
- What
- LGES alleges Ola Electric gained access to its proprietary battery technology through a former researcher.
- Where
- South Korea (investigation) and India (Ola Electric)
- When
- The investigation is ongoing, with the development coinciding with Ola Electric's announcement of vehicle deliveries using their new Bharat Cell battery.
- Why
- LGES suspects theft of proprietary battery manufacturing technology.
Ola Electric's Perspective (Implied)
LG Energy Solution's Allegations
Technology Acquisition
Ola Electric's Perspective (Implied)
Ola Electric claims to have invested heavily in R&D, including a $500 million Battery Innovation Centre and filing numerous patents. They recently announced production of their proprietary 4680-format Bharat Cell.
LG Energy Solution's Allegations
A former LG researcher allegedly transferred proprietary pouch-type ternary lithium-ion battery production processes and manufacturing know-how to Ola Electric. The researcher admitted to transferring data but claims ignorance of its confidential nature.
Company Practices
Ola Electric's Perspective (Implied)
Ola Electric has a history of innovation, filing the most patents in the Indian EV segment in 2022-23 and developing proprietary battery cells. They have had a long-standing relationship with MapmyIndia for navigation APIs.
LG Energy Solution's Allegations
An industry veteran suggests Ola Electric is 'only running after valuation' and using 'every trick in the book,' right or wrong, to achieve inflated shareholder value. This veteran also questions the originality of Ola's scooter design and its battery technology development timeline.
Key facts
- Accuser
- LG Energy Solution (LGES)
- Alleged Technology
- Pouch-type ternary lithium-ion battery manufacturing technology
- Alleged Source
- Former LG researcher
- Ola Electric's Recent Announcement
- Deliveries of 4680 Bharat Cell-powered vehicles
- Ola's R&D Investment
- $500 million in Battery Innovation Centre (BIC)
- Ola's Patent Filings (2022-23)
- 205 patents, top EV filer in India
- Other Legal Issue for Ola
- MapmyIndia legal notice for alleged API/SDK license breach
Quotes
Dhivik Ashok
Founder - Go GreenBOV ( Battery Operated Vehicles ) and an industry veteran
“There’s nothing that can actually be cut that time in terms of go to market. There’s a lot of questions around the technology that has been built is to be answered. And even if you look at it, the scooter, was it designed in India? It was just gotten as a copy from somewhere else, gotten put out in the market, and eventually who ended up paying the prices, the customers who bought the vehicle ended up paying a price, right? And then a lot of iterations, innovations, a lot of it has happened and probably it’s come to where it is.”
thehindubusinessline.com
“If you look at it, the one who’s paid the highest in Ola is a person who’s come in from LG. He is the highest salary taker at Ola itself, with around about 30-35 years experience.”
thehindubusinessline.com
LG Energy Solution official
An official from LG Energy Solution
“The company had identified the situation early and immediately alerted authorities.”
thehindubusinessline.com
