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General Motors and Ford are redirecting billions in losses from underutilized electric vehicle battery production toward the rapidly expanding energy storage market, establishing new business units to supply battery systems to data centers, utilities, and grid operators. Both automakers are repurposing existing battery manufacturing capacity and investing heavily to capture growing demand driven by AI data center expansion and renewable energy integration. The pivot represents a strategic shift as the legacy automakers seek profitability in grid-scale energy storage after scaling back EV production.
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