The fast-evolving electric vehicle (EV) industry thrives on collaborations that drive innovation. Linamar Corporation, a global manufacturing leader, joined forces with EXRO Technologies, known for coil driver technology. Their partnership aims to deliver a commercially available e-axle with integrated coil driver technology by the end of 2024. However, as the year ends, the product remains absent, raising questions about the venture’s progress.
The Known History of the Collaboration
2021: The Partnership Begins
- June 2021: The agreement was announced, generating optimism for a revolutionary eAxle utilizing EXRO’s Coil Driver™ technology. Key highlights included:
- Prototype Development: Planned for testing and validation by Q2 2022.
- Commercialization Goals: Aimed at series production upon successful testing.
- October 2021: During a quarterly webcast, EXRO confirmed the project was on track for April 2022 prototype delivery.
- November 2021: Management reaffirmed the timeline for Q2 2022 prototype testing, despite supply chain challenges.
- December 2021: EXRO announced it would showcase its technological advancements CES 2022, emphasizing that prototype testing remained on schedule.
2022: Progress and Challenges
- January 2022: CEO Sue Ozdemir highlighted the eAxle project as “more than halfway through,” with testing projected to begin in Q2.
- March 2022: EXRO’s Annual MD&A reaffirmed the timeline, emphasizing prototype delivery by Q2 2022.
- April 2022: Supply chain issues delayed testing to early Q3 2022.
- May 2022: Interim MD&A reiterated EXRO’s commitment to prototype delivery by Q3 2022.
- July 2022: A shareholder update webcast confirmed the project was on track for September 2022 delivery.
- August 2022:
- Interim MD&A confirmed prototype delivery as scheduled.
- EVS Tour showcased positive feedback from early trials.
- September 2022: Live Q&A highlighted successful system performance, with final validation extended into October.
- November 2022:
- November 10: Prototype delivery completed, testing began November 21.
- November 30: Phase One completed, transitioning into Phase Two with commercialization targeted for Q2 2023.
2023: Advancing Toward Commercialization
- January 2023: A shareholder letter emphasized the project’s alignment with series production planned for Q3 2023.
- March 2023: Leadership reiterated project progress and Phase Two transition during a live webcast and MD&A update.
- May 2023: A definitive commercialization agreement (DCA) was signed, solidifying plans for late 2024 production and targeting 25,000 annual units by 2027.
- Financing raised C$34.9 million to support commercialization.
- June 2023: An event at the Mesa Innovation Center highlighted advancements and readiness for scaling production.
- July 2023: EXRO emphasized production readiness, with eAxle integration on track for late 2023 demonstration targets.
- August 2023: Updates confirmed series production readiness for late 2024, supported by financial stability and ongoing testing.
- September 2023: EXRO marked the start of production for Coil Driver technology, reinforcing milestones for the Linamar eAxle project.
- November 2023:
- Demonstration vehicle equipped with Coil Driver technology targeted for early 2024.
- AMA session confirmed progress remained on track for late 2024 series production.
- December 2023: Presentations reaffirmed early 2024 demonstration and late 2024 commercialization plans.
2024: The Year of Execution?
- January 2024: The Q1 shareholder letter highlighted the ACT Expo in May 2024 as a key milestone for the demonstration vehicle.
- March 2024: Updates confirmed progress toward delivering a demonstration vehicle by Q2 2024, reinforcing EXRO’s leadership in electrification.
- May 2024: The ACT Expo showcased the eAxle, generating interest and preparing for late 2024 series production. [Notably, NOT a demonstration vehicle]
- June 2024: Road trials for the demonstration vehicle to begin “Over the Summer”
- August 2024: Progress continues for the Linamar e-axle program, with the medium-duty commercial truck demonstration vehicle.
- September 2024: Presentations emphasized partnerships and scalability for long-term success.
Current Status: Unmet Expectations
As 2024 comes to an end, the anticipated e-axle has yet to make its commercial debut. Stakeholders and industry enthusiasts are left wondering: what went wrong? Is there a demonstration vehicle? Here are key points to consider:
- Lack of Public Updates: Neither Linamar nor EXRO Technologies has provided substantial updates recently, fueling speculation about potential delays or challenges.
- Challenges in Innovation: Developing new technologies like the coil driver for an e-axle is complex and prone to technical hurdles.
- Market Factors: Rapid changes in the EV market may have impacted project feasibility or priority.
- Investor Concerns: Delays in high-profile projects can lead to uncertainty and reduced investor confidence.
- EXRO’s Communication History: Past projects have quietly disappeared from updates, raising concerns about transparency.
What’s Next?
Linamar and EXRO Technologies must address the situation transparently. Stakeholders need clarity on the e-axle project’s current status and future. Open communication is crucial to rebuild trust, provide insights into revised timelines, and tackle challenges.
Conclusion
The collaboration between Linamar and EXRO Technologies represented a bold step forward for the EV industry. While delays are common in innovation, the absence of a demonstration vehicle by the promised timeline raises significant questions. Moving forward, transparency and a recommitment to the project’s goals will be essential to maintaining credibility and achieving success.
