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May 26, a. PT 2 min read Better Place hoped to transform the energy industry with electric cars and battery switching stations. Better Place Better Place wanted to make the world a better place by replacing gas stations with battery switching stations that would remove the driving mileage limitations from electric cars and eventually rid the world of fossil-fuel burning vehicles. As reported by the Associated Press , Better Place's Board of Directors issued a written statement Sunday announcing that the company was winding down.

We stand by the original vision as formulated by Shai Agassi of creating a green alternative that would lessen our dependence on highly polluting transportation technologies. Unfortunately, the path to realizing that vision was difficult, complex and littered with obstacles, not all of which we were able to overcome. However, the concept never gained momentum, with fewer than 1, electric cars operating in Israel and Denmark today. Guardian Environment Network Electric, hybrid and low-emission cars Better Place: what went wrong for the electric car startup?

The much-hyped company has failed to deliver on its promises. Agassi was forced out of Better Place in October, his successor as CEO quit in January, and the company has put its global rollout on hold. To find out, I spoke to company officials, industry experts, and electric-car executives at rival automakers. Electric cars — prior to Better Place — are neither of those things. To make refueling convenient, Better Place invented automated battery-switching stations; they deploy robots that slide under the car, remove a depleted battery, and replace it with a fully charged one in about five minutes.

These battery-swapping stations work faster than chargers; the company has built 37 of them across Israel. By retaining ownership of the battery, Better Place is able to reduce the sticker price of the car, and upgrade the battery as the technology improves. Like wireless phone companies that discount their hardware and make the money back by selling minutes, Better Place reduces the price of the car and charges its owners a monthly fee for the battery and electricity, based on how many miles they travel.

In fact, leasing a Better Place car in Israel costs about 20 percent less than a Toyota Prius or Honda Insight hybrid, the company says. In his heyday, Agassi liked to tell people that Better Place would eventually be able to give cars away, and still turn a profit. But such rosy projections never came close to materializing. Local authorities, whose permission was needed to build battery-switching stations, put up unexpected roadblocks, slowing progress, company officials said.

Another shortcoming: Better Place assumed that other automakers would build vehicles that are compatible with its battery-swapping technology, but so far only Renault has done so. Marketing has been another challenge: The company is asking its customers not only to embrace a new technology, but an unfamiliar business model that is hard to explain.

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PT 2 min read Better Place hoped to transform the energy industry with electric cars and battery switching stations. Better Place Better Place wanted to make the world a better place by replacing gas stations with battery switching stations that would remove the driving mileage limitations from electric cars and eventually rid the world of fossil-fuel burning vehicles.

As reported by the Associated Press , Better Place's Board of Directors issued a written statement Sunday announcing that the company was winding down. We stand by the original vision as formulated by Shai Agassi of creating a green alternative that would lessen our dependence on highly polluting transportation technologies.

Unfortunately, the path to realizing that vision was difficult, complex and littered with obstacles, not all of which we were able to overcome. However, the concept never gained momentum, with fewer than 1, electric cars operating in Israel and Denmark today. Shai Agassi, the founder and CEO of Better Place until October , focused the company on serving smaller countries with shorter commutes and high gas prices, such as Israel, Denmark and Japan, as well as states, such as Hawaii.

Marketing has been another challenge: The company is asking its customers not only to embrace a new technology, but an unfamiliar business model that is hard to explain. He said battery swapping might make sense for taxis or fleets, but not on a broad scale. My test drive with Better Place was a mixed bag.

On the round trip from Tel Aviv to the Negev, I had to switch batteries twice, going slightly out of my way both times. On the plus side, the battery-switching station, which resembled an automated car wash, worked perfectly: I was in and out in about five minutes, without having to leave my car.

And I loved the instant torque and the quiet of the Fluence EV. Better Place customers seem to be satisfied, too. Although their numbers are small, electric vehicle owners worldwide are generally happy with the new technology. In the U. The Volt overcomes range anxiety by adding a small gasoline engine to its electric drive train, while the all-electric Nissan Leaf depends on a network of public charging stations.

All the companies offer home chargers to their owners. The company sold more than cars a month in January and February, accounting for about 0. In December, only 23 were sold. Others, though, say the Better Place story underscores the fundamental challenge facing the electric car. Without battery-switching, pure electric cars have a limited range and they take a long time to recharge.