Johnson Controls (NYSE:JCI) said last month that it was able to create a battery pack for start-stop micro-hybrids that have gone from the size of a trunk to the size of a shoebox. For those not familiar with micro hybrid technology, its really a start-stop concept whereas engines stop running when a vehicle is stopped and then they restart when the gas accelerator is used. Additional advances in regenerative braking allow even better energy efficiency since energy from the braking process is now reused to enhance overall fuel efficiency.
So could going smaller be a big winner for Johnson Controls? I believe that it very well could be, especially since many automakers, not just electric vehicle makers, are trying to cut costs and lower overall weight to help fuel economy. That last point is the real catalyst for Johnson considering new CAFE standards for mileage to hit 54.5 miles/gal by 2025 puts the company in a very strong position to benefit from its new, smaller battery pack since they have an existing strong automotive client base here in the U.S.