U.S. startup ditches electric cars, now focuses on selling batteries for military drones

Startup backed by automotive giants decides to cash in on military drones amid sluggish EV sales

Drones with explosives have become protagonists in modern warfare (Photo: CENTCOM | Disclosure)
By Tom Schuenk
Published on 2026-03-26 at 12:00 PM
Updated on 2026-03-26 at 12:16 PM

U.S. startup Sion Power, based in Arizona and led by former General Motors executive Pamela Fletcher, has confirmed a radical strategic shift in its business. The company has decided to temporarily suspend its plans for the automotive sector and redirect its main focus to the aerospace and defense industries. The change reflects the current global scenario: while the adoption of electric vehicles has slowed in the United States and incentive policies have changed under the administration of Donald Trump, the conflict with Iran has urgently boosted the American government’s demand for advanced military technologies.

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Licerion HE technology focuses on drones and missiles

Sion Power’s big bet goes by the name of Licerion HE. It is a lithium-metal battery cell designed to outperform traditional conventional lithium-ion batteries in both lightness and power delivery capacity. By reaching an energy density of more than 500 Wh/kg — a significant leap from the usual 300 to 350 Wh/kg of current technology — these cells become the ideal component for high-endurance drones, missiles, and autonomous systems that rely on compact equipment.

The transition is also justified by the technical differences of each market. Unlike electric cars, which require batteries capable of withstanding hundreds of daily recharge cycles over years, the military sector prioritizes batteries that are quick and intense. In these defense applications, the cells operate with few cycles (from 1 to 20), but need to ensure a long shelf storage life,

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