GM Defense recently began producing its brand new Infantry Squad Vehicle as part of its first major agreement since General Motors reestablished the particular military vehicle and technology department three years ago. The company will provide 649 examples of the new ISV towards the U. S. military at a price of $214. 3 million USD and it has the capacity to produce up to 2, 065 vehicles over an eight-year time period should the Army need more of the Chevy Colorado ZR2 -based troop transport automobiles.
The GM ISV is just the beginning for GM Defense, even though. Jeff Ryder, GM Defense’s vice president of growth and technique, told CNBC the company sees the opportunity of it leverage GM’s advanced battery-electric vehicle technology and autonomous traveling technology to win future army contracts. Ryder also said this individual believes the market for creating advanced army vehicles based on existing GM automobiles and technology could be worth as much as $25 billion.
“That’s an addressable market that exactly where we feel we have a right in order to win and pursue, ” Ryder said this week. “And that’s exactly what we’re doing. As we mature, even as we grow, as we build out the operating model, as we have more benefits, we will have the opportunity, I think, to continue in order to vector into other directions or even adjacent markets. So that number certainly will not get smaller. ”
In 2017, GM Defense showed off the hydrogen fuel cell-powered military vehicle called Chevy Colorado ZH2 . The pickup truck utilized a production Chevy Colorado platform and parts, along with GM’s hydrogen fuel cell technology it developed together with Honda . GM Defense caused the U. S. Army to judge the vehicle, although there was no real program of record with the Oughout. S. Army involving the ZH2.
While the military expressed some desire for the ZH2, Ryder said it had been not ready to buy the “thousands associated with vehicles, ” that would be required to in fact begin producing it in vast quantities. He also told CNBC that battery-electric vehicles are a “real conversation, ” within the military currently, a sign it may now prefer battery-electric products over FCEVs.
GM has said in the past that it is searching for new ways to market its Ultium batteries and Ultium Drive engines to help recuperate the major investments necessary to develop such technology. It has currently agreed to supply Honda with Ultium motors and batteries, as well as embattled electric vehicle startup Nikola .