...As for that lithium-ion battery technology, the game plan is for Daimler to quickly become an industry leader. In December, Daimler signed a deal with Germany's Evonik Industries to create a battery joint venture. And one of the purposes of the Tesla deal is to accelerate the rollout of a range of electric cars. Later this year 1,000 Smart cars equipped with Tesla power packs will be let loose on the streets of London in a market test. Tesla's chairman, Elon Musk, says the two companies have worked on the Smart project for more than 18 months and hope it will turn into a large fleet. It is, however, hard to fathom the economics of putting advanced batteries, which now can cost $15,000 each, into a $12,000 car. Musk also hints that Daimler will announce another battery-powered-vehicle program, although he won't give details. "If I were Daimler, I'd have multiple irons in the fire," he says...
