Startup Matter Bets Big on India's EV Market, Targets $1 Billion Turnover by 2025

Ahmedabad-based EV and energy storage technology startup Matter expects to clock a turnover of $1 billion (over Rs.7,250 crore) by 2025, according to a top company official, reports PTI.

The company has so far invested $3 million (over Rs.20 crore). It will be launching its lithium-ion batteries for solar and renewable management by April 2021. This will be followed by its first electric motorcycle closer to Diwali this year.

"2021 is the year of the electric...The industry as a whole would be much larger in five years time than even the best of estimates. We are expecting the same thing that happened with 4G, the rate of adoption of 4G exploded above everyone's expectations, and that is what we are expecting with EVs as well," Matter Founder and CEO Mohal Lalbhai told PTI.

Mohal explained this rationale behind him being bullish on the India EV market. He said with India wanting to become a $5 trillion economy and its commitment to the Paris Climate Change Agreement, the country has no option but to switch to EVs, eco-friendly newer energies and energy solutions.

He also said that EVs fundamentally in India have either been overpriced products or under-delivering products. There has never been a true value for money fit.

Stating that customers understand internal combustion engine vehicle and its value proposition, he further said, "But in electrics, there are some companies which are 100 percent more expensive than the comparable internal combustion, some who are 20 percent cheaper, but they don't really deliver". He said inferior quality Chinese product kits are brought in and assembled in India, and then and sold at much cheaper prices.