Tesla co-founder JB Straubel: We're using recycled EV batteries to power AI training data center

JB Straubel, Tesla co-founder and CEO of Redwood Materials, is repurposing end-of-life electric vehicle batteries into microgrids to power AI data centers. These retired batteries, often retaining 50% of their original capacity, provide a rapid, off-grid energy solution that bypasses the delays and stresses associated with traditional grid expansion. Despite concerns over fluctuating incentives and a shift toward mass-market consumers, electric vehicle adoption continues to hit record levels, with most drivers viewing the transition from internal combustion as a permanent change. While battery supply chains remain heavily anchored in China, domestic assembly is increasing, and localized production of cathode materials and mineral processing is expected to scale within three years. This integration of recycled energy storage and AI infrastructure represents a critical growth sector for both the automotive and technology industries, offering a sustainable second life for battery technology.