[epistasis]

Battery production capacity grows by 10x every five years. It was four years ago when I first heard that, and we are exactly on track still. In 2031 we will be at 20-30 TWh/year production capacity.

There are few things that grow this fast when it comes to manufactured things, atoms are far harder to arrange and scale than bits. But it's happening at a tremendous scale. Natural gas turbine production capacity is tapped out with long order queues, and so is battery production well into 2026, but only battery production capacity is expanding at breakneck speed.

[Manuel_D]

Understand that only ~6 TWh of lithium batteries have been produced to date. As in, every single year of production combined adds up to less than 6 Twh. Moore's law largely stemmed from the fact that making a processer faster also meant making transistors smaller. Reducing the width of a transistor to a half, a quarter, etc. increased compute per cm^2 by double, quadruple, etc. Chemistry doesn't obtain that kind of exponential growth - we have hard limits on the number of joules we can store per gram of anode and cathode, so scaling up production means digging up more anode and cathode material out of the ground. The nature of resource extraction is that the easiest-to-exploit reserves are exhausted first, and continued production is contingent on accessing the progressively more and more inconvenient reserves. Maybe in 2030 annual global production will be 30 TWh - we'll know in 4 years. But there's a lot of people who probably don't want to make trillion-dollar investments gambling on that possibility panning out.

Regardless of your confidence in battery production's continued growth, I think you'd agree that if someone is making a calculation about the required amount of overproduction required to maintain a stable grid, they should at least mention that their calculation is contingent on provisioning tens of terawatt hours worth of grid storage.

[epistasis]

Getting to 10x production capacity doesn't require improving battery tech, it just requires building more factories. The equivalent here isn't Moore's Law, it's fab capacity. If battery tech stalled out today at the same pricing (it won't), we could still 10x the battery production capacity every 5 years just on this pace.

The learning rate for batteries has not been as steep as Moore's Law for ICs. But the value of being able to store mass quantities of electricity at low cost is so incredibly valuable that it's going to blow up into a huuuuge number of factories.

You look at the 6TWh of all time and see that as a limitation. I haven't seen that stat before but I trust you, because with the growth rate of battery production it has to be a tiny number, because it's exponential growth. In 2024, 1.2 TWh of batteries were produced, 20% of all storage capacity ever. That was a single year! What if, in 2024, we produced 20% of all CPU capacity every produced? That's obviously a hugely growing market.

> The nature of resource extraction is that the easiest-to-exploit reserves are exhausted first, and continued production is contingent on accessing the progressively more and more inconvenient reserves. Maybe in 2030 annual global production will be 30 TWh - we'll know in 4 years. But there's a lot of people who probably don't want to make trillion-dollar investments gambling on that possibility panning out.

If you spend a small amount of time diving into the industry, you'll see that there's a massive number of very smart people solving all these resource constraint problems, securing supply chains years in advance, and building like fucking mad. Sure, there's a lot of people that don't want to get involved, but they will be left in the dust.

We are witnessing a massive energy interchange. This is like when the PC came along, but much bigger in terms of quantity and speed. Sure, there are those who are still skeptical of energy storage, 5-10 years after it became blazingly obvious that batteries are cheap and getting cheaper and will take over the enery world. But they are the same people who saw the iPhone and said "it will never catch up to my BlackBerry."

Electricity storage in batteries is a swiss-army knife for the grid that never existed until recently. We couldn't do time arbitrage, always had to match supply and demand instantaneously, across grids spanning hundreds and thousands of miles. No more, that's all gone. We can do tiny microgrids, we can do single houses, we can do 10 TWh installs across grids, because batteries scale small, scale big, are cheap, getting cheaper, and are being produced on a growing scale that most people do not understand.