Reuters is reporting that General Motors has chosen Detroit-area based Compact Power Inc, a division of South Korea's LG Chem Ltd to supply lithium-ion batteries for the Chevrolet Volt beating out cell maker A123 Systems and battery integrator Continental AG.
An announcement is expected in November after final details of an agreement are worked out (via GM-Volt).
Meanwhile General Electric (GE) has invested another $30 million in A123 Systems, increasing its investment to $55 million making it owner of 9% of the company. A123 Systems has been mentioned as a possible supplier for Chrysler’s electric vehicles and no doubt will be working to capture GM's business in the future.
No matter which company wins in the end, electric cars are good for GE, a major supplier of systems and components for electrical generation.