Ola Electric Ltd is in talks with several global and domestic automakers to supply lithium-ion cells and battery packs from its Krishnagiri gigafactory, according to people familiar with the matter, as the company looks to expand beyond captive demand for its electric scooters.
The Bengaluru-based company currently operates India’s only functioning gigafactory, with 6 GWh of installed capacity. Through its wholly-owned subsidiary, Ola Cell Technologies, the company has commercially deployed its 4680-format Bharat Cell at scale, becoming the only company after Tesla Inc to do so.
The discussions come as Ola accelerates the expansion of its cell manufacturing operations. Installed capacity is expected to rise to 12 GWh by July 2027 and 20 GWh by the end of FY28, the people said.
Around one-third of the planned 20 GWh capacity, or roughly 6.5 GWh, is being earmarked for third-party sales to automotive original equipment manufacturers (OEMs). Potential customers are currently evaluating Ola’s manufacturing operations before making long-term commercial commitments, the sources added.
If concluded, the agreements would mark a strategic shift for Ola’s battery business, positioning it as a supplier to India’s broader electric vehicle and energy storage market.
The company told investors in February 2026 that it had invested about ₹5,300 crore across manufacturing, battery technology, cells and research and development, adding that the bulk of the investment cycle was complete.
The latest expansion plans indicate Ola is preparing for demand beyond its in-house vehicle business. The company has earlier said annual cell demand from its Ola Shakti home energy storage system, launched in October 2025 with deliveries beginning in January 2026, could scale to 5 GWh within a few years.
“The cell business should not be viewed only as a cost-reduction lever for Ola’s vehicles,” one of the people said. “India needs locally manufactured battery supply at scale. If Ola can build a competitive platform, it can become relevant for the broader EV and energy storage ecosystem.”
Ola’s outreach comes amid slow progress under India’s Production Linked Incentive (PLI) scheme for Advanced Chemistry Cells. As of October 2025, only 1.4 GWh, or 2.8 per cent of the targeted 50 GWh capacity, had been commissioned within the stipulated timeline, according to a January 2026 report by JMK Research and the Institute for Energy Economics and Financial Analysis. All of the commissioned capacity was attributed to Ola Electric. India still relies almost entirely on imported battery cells.