Chinese automaker NIO is touting the success of its unique approach to replenishing electric vehicle batteries: Swapping depleted batteries for new ones in just minutes rather than having drivers plug in and wait to recharge.
Drivers low on power park inside a small, roofed roadside stations. Then, sensors inside detect the vehicle's presence and mechanical arms automatically reach under the vehicle, remove the battery, and replace it with a fresh one in just a few minutes.
"Battery swap stations which enable the vehicle to automatically park into the station and switch for a fresh, fully-charged unit in under five minutes," NIO says. Its vehicles can only be found in China and Europe, with plans to enter the US market in 2025, South China Morning Post reports.
This makes the time spent charging more similar to refilling a gas tank, as opposed to the 20-60 minutes EV drivers spend charging on road trips today—arguably the main drawback of and barrier to the shift to battery power.
NIO launched in 2014 with the goal of proving that battery swapping could solve charge time concerns. Critics were skeptical, with a Tesla spokesperson at one point dubbing the approach "riddled with problems and not suitable for widescale use," Reuters reports.
However, NIO says its model is a hit with customers, who have travelled a collective 6.2 billion miles (10 billion kilometers), the company says. Along the way, 60% of them have opted for battery swapping at one of 1,383 Power Swap Stations in China and Europe.
"At present, a swap takes place on average, every 1.6 seconds," NIO says. Its third-generation stations are capable of 408 swaps per day. NIO has plans to add 1,000 more stations across China and Europe by the end of this year.
NIO calls the approach Battery-as-a-Service (BaaS), as opposed to traditional EVs that come with a battery that's continually recharged until it dies (around 8-12 years).
"BaaS uncouples the cost, maintenance, and upgradability of batteries from the vehicle cost, making EV ownership more appealing," NIO says. "In markets such as Norway, approximately 95% of users opted for BaaS."
It's one of several known flexible battery models coming from Asian automakers. Vietnamese EV maker VinFast also planned to launch its vehicles in the US with a flexible battery subscription model. The idea was to lower the base cost of the vehicle, then offer multiple battery sizes for $169 to $219 per month while putting full "responsibility for battery repairs, maintenance, and replacement costs" on the brand. VinFast has since abandoned this approach for its US launch, suggesting the American market is not ready for or interested in the approach.
It remains to be seen if NIO continues its BaaS model for its 2025 US launch to differentiate itself from Tesla and other US automakers.