BMW has cancelled a long-term €2-billion order for battery cells from Northvolt. A BMW spokesman said that the two companies, which have been collaborating on technology for years (earlier post), have jointly decided to concentrate Northvolt’s activities on the goal of developing next-generation battery cells. Report of the cancellation initially came via Manager Magazin.

The BMW Group signed the long-term supply contract with Northvolt in 2020. (Earlier post.)

The magazine cited problems the cell supplier, founded in 2016, had with ramping up industrial series production. Northvolt is two years behind schedule and is producing too much waste.

BMW had ordered the Northvolt cells for its fifth generation of batteries. Now Samsung SDI in particular is to fill the gap, according to the report.