South Korea’s LG Energy Solution Ltd. is accelerating its open innovation efforts through a series of equity investments in domestic startups.

According to sources on Tuesday, the electric vehicle battery maker recently signed a collaborative agreement and made an equity investment in MinTech, a battery diagnostics solution startup.

MinTech specializes in various battery condition and performance diagnostics for EV batteries and energy storage systems (ESS). The company counts LG Energy Solution, SK Innovation, Samsung SDI, and Hyundai Motor as its partners. MinTech possesses its own battery diagnostic algorithms, which have the capability to shorten the diagnostic system from over 2 hours to just 20 minutes.

Through a pre-IPO investment, MinTech successfully raised some 14 billion won ($11.05 million) from LG Energy Solution and three financial investors. LG Energy Solution plans to collaborate with MinTech in developing a battery diagnostic system optimized for its own batteries.

As part of its open innovation strategy, LG Energy Solution has been strategically investing in various startups. Last year, the company decided to invest in OnePredict, an artificial intelligence (AI)-based predictive maintenance solution provider. OnePredict analyzes manufacturing facility data using big data and AI algorithms to diagnose their current conditions. By utilizing OnePredict’s technology, unnecessary costs can be reduced by preventing facility failures.

LG Energy Solution also invested in c51, a specialist in data analysis and machine learning model construction, last year. LG Energy Solution aims to strengthen its manufacturing intelligence capabilities in the process and production sectors through collaboration with c51 in data analysis and automatic calibration.

LG Energy Solution is not only focusing on developing battery manufacturing technologies but also enhancing its capabilities in areas such as processes, production, post-management, and Battery-as-a-Service (BaaS) throughout the battery life cycle by collaborating with external experts.

In addition, LG Energy Solution operates a battery innovation program called “Battery Challenge” to discover promising startups in the battery sector worldwide. Furthermore, the company hosts the annual “Battery Innovation Contest,” a battery technology competition for universities and research institutions around the world.

By Jung You-jung and Minu Kim

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