A serious blaze in South Korea that knocked out a variety of key digital companies for days — snarling banking, ride-sharing and on-line deliveries — is reigniting security issues in a nation that is a key world provider of lithium-ion cells utilized in electrical automobiles.
The times-long outage adopted a fireplace Oct. 15 at an information middle in Pangyo, engulfing batteries utilized in backup energy techniques and impacting key native tech corporations together with Kakao Corp., South Korea’s nearly ubiquitous social media large and supplier of the nation’s hottest prompt messaging service.
Kakao customers had been left unable to hail a taxi, pay for groceries or chat with members of the family, disruptions which prompted the corporate’s co-chief govt officer to resign and led lawmakers to query the dangers of concentrating an excessive amount of digital energy in a single entity.
Even with SK C&C, the operator of the information middle, nonetheless investigating the reason for the fireplace, the incident has stoked a brand new bout of issues over battery security. That is necessary for the electrical automotive sector, given three South Korea-based corporations — LG Vitality Answer Ltd., SK On Co. and Samsung SDI Co. — rank among the many high tier of worldwide battery suppliers.
“Security issues are re-emerging over lithium-ion batteries, and the federal government must step in to forestall comparable accidents from taking place as a result of as soon as issues go improper with batteries, the impression is usually unbearably important,” stated Lee Hoguen, an automotive engineering professor at Daeduk College.
The newest fireplace might be a selected destructive for Ford and VW provider SK On, which supplied batteries on the knowledge middle supposed to ship backup energy and stop outages, in keeping with Yoon Joonwon, a fund supervisor at DS Asset Administration, an investor within the tech sector. SK On stated it did not obtain any alerts on its battery administration system — which might point out any issues, together with adjustments in voltage or present — till the fireplace began at 3:19 p.m. native time.
South Korea has been deeply concerned in debate over the protection of batteries utilized in automobiles and large energy storage facilities. Producers LG Vitality Answer and LG Electronics Inc. final 12 months booked greater than $900 million in fees over Basic Motors’ recall of Chevrolet Bolts.
A spate of fires at vitality storage websites between 2017 and 2019 prompted intervention from the nation’s authorities and producers to spice up requirements, and is cited as amongst key elements which have hampered South Korea’s efforts to spice up the share of unpolluted vitality in its energy grid.