GM also confirmed it is on pace to produce and wholesale about 200,000 EVs for North America this year.
General Motors (GM) has announced it will drop the “Ultium” name for its electric vehicle (EV) batteries and supporting technologies, marking a shift in its strategy as it reassesses its electric vehicle and battery operations. The automaker made the announcement ahead of an investor event on Tuesday, where executives shared updates on efforts to lower battery costs and diversify battery chemistries.
The Ultium platform, which GM introduced in March 2020, had been a key part of the company’s vision to revolutionize its EV business and establish a competitive edge in the electric vehicle market. However, GM’s rethinking of its strategy comes amid slower-than-expected EV adoption and changing market conditions. Although GM confirmed the underlying battery technologies will remain, the Ultium name will no longer be used for electric vehicle architecture, battery cells, or other EV components in North America, except in the context of its “Ultium Cells” joint venture with LG Energy Solution.
During the investor event, GM also confirmed it is on track to produce and wholesale around 200,000 EVs in North America by the end of the year. The company emphasized that it expects to achieve profitability on a contribution-margin basis by the end of 2024. However, the company acknowledged that its EV sales have not yet reached the pace it had hoped for, with only about 32,100 EVs sold in the third quarter of 2024 — a 60% increase from the previous year, but still just 4.9% of its total sales.
As part of its ongoing adjustments, GM is also working to lower capital costs and maintain the flexibility to produce both traditional internal combustion engine vehicles and EVs. Despite this, the automaker is facing growing pressure to accelerate EV adoption as competition intensifies in the electric vehicle market.
The decision to move away from the Ultium name reflects the company’s evolving strategy and the influence of new leadership, including former Tesla executives who have joined GM. This shift indicates that GM may be exploring new branding and operational models as it continues to navigate the complexities of the electric vehicle transition.
Shares of GM saw a slight increase, gaining about 3% at the beginning of the event. However, the automaker’s decision to drop the Ultium name signals that GM is taking a more cautious approach to its EV future and branding, adjusting to the realities of a rapidly evolving market.