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Factorial has announced the launch of what it claims to be the first US-based programme dedicated to solid-state battery production for passenger vehicles. This initiative is a collaboration with Karma Automotive, a full-line automotive manufacturer and a subsidiary of the Wanxiang Group, both based in the US. 

The partnership aims to integrate Factorial’s proprietary FEST (Factorial Electrolyte System Technology) solid-state battery technology into Karma’s next-generation vehicle platform, marking a significant step forward in domestic electric vehicle (EV) innovation.

Karma Kaveya: The First Vehicle to Feature FEST Technology

The first vehicle to showcase this solid-state battery technology will be the Karma Kaveya super-coupe, an ultra-luxury, high-performance supercar expected to hit the roads by late 2027. While Karma currently offers plug-in hybrid vehicles, it has not previously manufactured fully electric vehicles. The company highlights that its vehicles are designed, engineered, and built in the US, and through this collaboration, Karma and Factorial intend to accelerate US leadership in electric and hybrid vehicle technology. Their joint efforts will also serve to validate the practical application of solid-state battery technology in a production passenger vehicle environment.

Advantages and Suitability of Solid-State Batteries

Solid-state batteries, particularly Factorial’s FEST technology, are noted for their potential to offer superior energy density, faster charging times, enhanced safety, and longer lifespan compared to traditional lithium-ion batteries. These characteristics make them especially well-suited for applications in electric vehicles and energy storage systems (ESS). However, despite their advantages, solid-state batteries have yet to see widespread commercial deployment at scale. Karma emphasizes that FEST’s properties align closely with the demanding performance and design requirements of the Kaveya model, making it an ideal fit for their ultra-luxury vehicle.

Leadership Perspectives and Strategic Timing

Marques McCammon, president and CEO of Karma Automotive, explained that the launch of the Kaveya EV was delayed because the company had not previously found a clear path to delivering the uncompromising driving experience expected from an American ultra-luxury vehicle manufacturer. He expressed optimism that the partnership with Factorial and the integration of FEST technology would not only enable Karma to deliver this experience but also pave the way for more robust and stable electrified drive systems for Karma owners and the broader automotive industry.

Integrating FEST: Technology and Production Advantages

Factorial describes its FEST product as a “quasi-solid-state” battery, which combines a very small amount of liquid electrolyte with a solid polymer electrolyte. This hybrid design allows FEST batteries to be easily integrated into existing lithium-ion battery production lines, utilizing up to 80% of the same manufacturing equipment. This compatibility facilitates rapid scale-up under the Karma agreement, enabling efficient production expansion without the need for entirely new infrastructure.

Factorial initially debuted FEST in collaboration with automaker Stellantis, which invested US$75 million in the company in 2021. Factorial also offers an all-solid-state battery product called Solstice, which uses a dry coating process. Mercedes-Benz has licensed this technology and began road testing it in March 2025.

The Race for Solid-State Battery Deployment

The promising potential of solid-state batteries has ignited a competitive race among automakers and battery manufacturers to bring the technology to market. Karma’s target to launch the Kaveya with FEST technology by late 2027 positions it among the early entrants, although its small production scale and focus on luxury vehicles mean the solid-state-powered Kaveya will likely remain inaccessible to the mass market in the near term.

Other major players are advancing their own solid-state initiatives. Stellantis plans to integrate Factorial’s batteries into a demonstration fleet by the end of 2026, while Mercedes-Benz has committed to a demonstration line in 2025. Nissan operates an active pilot line and aims to launch its own in-house developed solid-state battery EVs by fiscal year 2028. Nissan partners with LiCap Technologies, which operates a 300 MWh manufacturing facility in California focused on overcoming production inefficiencies associated with dry-process electrodes — a key obstacle to widespread adoption of solid-state batteries.