POSCO Future M invested in U.S. company Factorial to get ahead in the all-solid-state battery market. POSCO Future M said on Tuesday it signed an investment agreement with Factorial, a U.S. all-solid-state battery company, and completed payment.

The companies strengthened their cooperative relationship after signing a memorandum of understanding in November last year to develop all-solid-state battery technology. POSCO Future M said the investment is a move to prepare for explosive growth in the all-solid-state battery market. Factorial plans to secure a stable supply of high-quality all-solid-state battery materials and strengthen its battery manufacturing competitiveness.

Factorial, headquartered in Massachusetts, is a leading company in the all-solid-state battery industry and is pursuing a U.S. stock market listing. In South Korea, it is stepping up its business by operating an all-solid-state battery pilot plant in Cheonan, South Chungcheong Province. Factorial’s all-solid-state battery platform, Solstice, cites energy density and safety as strengths and has cooperative relationships with major automakers in South Korea, Europe and North America.

POSCO Future M has been conducting sample tests of cathode materials for all-solid-state batteries with Factorial. Among multiple material companies, POSCO Future M’s materials received an assessment that their quality competitiveness is strong, including output characteristics. The companies expect their partnership to generate synergies by combining Factorial’s network competitiveness with POSCO Future M’s materials technology.

POSCO Future M also expects the all-solid-state battery materials it is developing to see significantly expanded applications not only in next-generation mobility such as self-driving electric vehicles and urban air mobility, but also in the physical AI market including humanoids and robotics. Statista forecasts the physical AI market will grow to $64.3 billion in 2030 from $5.0 billion in 2020, with a compound annual growth rate of 23.3 percent.

Hong Young-joon (홍영준), head of research at POSCO Future M, said, "The two companies have advanced materials technology through a continuous and close partnership." He said, "With an even more advanced partnership, we will be able to secure unrivaled competitiveness in step with the blossoming of the all-solid-state battery market."