Lead Acid Batteries: How Cheap Beat Cool at Google - valve regulated lead acid battery

On April 1, CNET News released an article about Google (NASDAQ:GOOG)
Patented and implemented the systemwide.
Google's Ben Jai reportedly called the technology their "Manhattan Project" and it built a 12-
Provide backup power for each server.
One thing that fascinates me is that Google chose a small valve adjustment lead
The acid battery that keeps the server running. When an ultra-
Mature companies like Google choose cheap and not cool on mission-critical features, which I think speaks volumes about the future direction of the energy storage industry.
Stephen Shankland of CNET
Check out photos of Google servers. The lead-
The acid battery is a small box with red and black leads at the bottom right.
Similar batteries are available on the Internet for about $20.
Google's motivation to install a spare battery on the server is obvious;
Cost-reliability
Efficiency and energy efficiency.
These same motives push the choice of valve adjustment leads
More fancy and expensive battery chemistry, acid batteries.
I think Google's choice of lead-acid batteries to support their mission critical server network provides a good background for reality checking.
First of all, the batteries are boring and I just want them to work as a user.
Unfortunately, the only battery I had that fully fulfilled my promise was the Sears hard battery I bought in my early 70 s.
I was the first to admit that my phone and laptop battery have improved a lot in the last 20 years, but my satisfaction with the frustration index is still close to the average.
Second, the battery is stupid and the only thing they can do is store the electricity in chemical form for future use.
If the future use of stored power is valuable to me, then the battery is also valuable.
If future use is of limited value to me, so is the battery.
At the end of the day, there is no point in any battery value discussion that is out of the specific needs of a particular user.
What creates value is the use of electricity, not battery technology.
Third, the battery is an alternative product, which rarely stimulates brand awareness and does not stimulate brand loyalty.
I don't know who made the battery on my car, phone and laptop.
I will give you a great chance too.
Since the usefulness for a particular purpose is the only thing that is important to most users, the lowest cost producer of competing products will always determine the price.
Fourth, the different methods of manufacturing the same type of battery are not key intellectual property rights.
If the leading edge of several manufacturers is equal
Acid, NiCd, NiMH, Li-cobalt, Li-manganese, Li-Phosphate or Li-
The titanium acid salt battery, then no one has a meaningful technical advantage, the process patent is only window dressing.
Fifth, small companies that try to operate before learning how to crawl will always stumble, fall and be crushed by customers.
This is especially true when a small company's target customers are giants.
As a prelude to the WWE tournament, rant, nonsense, hype and drama may be appropriate, but they are commercially fatal.
Sixth, the demand for energy storage is not suitable for neatly placed in several small rooms.
There is no universal solution.
So we're more likely to see dozens of strong competitors thrive by selling different technology solutions to a discrete billion people than a few major competitors survive and the rest half
Dollar segment
In my third article Seeking Alpha, I wrote: "For good or bad, the world has changed when most of us are busy making other plans.
When garbage is cheaper than environmental protection, garbage is eliminated.
Now that waste is becoming more and more expensive and global energy demand is growing far faster than supply, we are facing a serious problem with no simple solution.
"This dynamic is still the driving force behind energy storage decisions.
Since reliable services are critical to its mission, Google needs to make sure its servers are not shut down when they are powered off.
One can easily argue that reliability is so important to Google that the backup power supply is priceless.
However, Google is known for its smart spending, and while any number of energy storage technologies can be achieved, Google has chosen the most affordable and eco-friendly battery technology, not several colder ones.
For investors, the energy storage industry can be very confusing because of the political appeal and media hype about plans to use Li-
Ion battery in new generation plug
Electric cars.
In an effort to inject energy into the current irrational boom, many Li-
Ion battery developers wander around like little prince to talk about the King's upcoming illness and predict how wonderful things will be once they get a government-guaranteed loan to build AmericaS.
The factory magically cut production costs, found customers who did not go bankrupt or hovered on the edge of the abyss, and landed on the throne with victory.
As politicians and the media know nothing about it, the eco-activists are also eager to embrace any faint Reed that may reduce carbon emissions, and the meaningless forecast of future victories is considered a fait accompli, even though the king is in good shape, the Little Prince did not show any leadership, much less rules.
Batteries are not business or crusades. they are business.
Unfortunately, for many investors, this information has been lost in the hype and has caused some incredible market distortions.
If you compare the capitalization of the market, Ener1 (HEV)
Almost as valuable as Enersys (ENS).
However, if you compare the financial statements, you will find that Ener1 will not be considered a rounding error if it is part of Enersys.
If you make the same comparison between price technologies, the distortion will be very obvious (VLNC)
And Exide technology (XIDE).
Similar distortions are obvious to late-stage technology development companies like Altair nanotechnology (ALTI)
And Axion Power International (AXPW. OB).
The reality of the battery industry is that every survivor will prosper and have more business than it can say, but for Li-
Ion developers develop their business to the point where their fundamentals prove their market value.
So, while currently unpopular leads
The business of acid battery company is growing, and the shareholder value is also increasing. The small kings are more likely to fall into a situation of stagnation and stumbling.
When it comes to purchasing decisions for key tasks, Google's cheap products beat cool.
Does anyone really believe that American consumers will behave differently on their own money?
Disclosure: The author is a former director and executive of Axion Power International (AXPW. OB)
And hold large long-term positions in its stock.
He's still at Exide Technologies (XIDE)and Enersys (ENS).
Logies (XIDE) and Enersys (ENS ).