SK On is set to develop an in-house artificial intelligence-powered model to optimize its electric vehicle battery production and enhance cost and operational efficiency across its business, according to the firm's executive.

Dubbed the “Battery Foundation Model,” this advanced AI system will create a framework using big data to guide business operations or decision-making processes, according to Kim Sang-jin, vice president and head of the new form factor product development office at SK On, during his speech at the InterBattery expo conference on Wednesday.

“The question is no longer whether to adopt AI. It’s about how swiftly and thoroughly companies can integrate it to gain a competitive edge,” Kim added, stressing that SK On is making exceptional efforts to boost its AI prowess compared to its Korean rivals LG Energy Solution and Samsung SDI.

Kim noted that AI is becoming an integral part of the battery industry, given that it is under constant pressure to reduce costs, maintain high product quality and accelerate research and development amid the downturn in EV demand. The recent rise in uncertainty due to regulatory changes and supply chain disruptions further complicates these challenges.

SK On is leveraging AI in several key areas to enhance battery production. One of them is deep-learning Vision AI, which provides higher quality inspection and defect detection compared to the traditional system reliant on human inspectors. According to the company, the system ensures greater accuracy, lowers defect rates and improves production efficiency through continuous retraining.

In addition, a time-series AI model analyzes battery performance and upgrades algorithms used in battery management systems, contributing to extending battery lifespan and improving safety.

SK On emphasized its new comprehensive AI model will aid expansion beyond battery production. In particular, it will enable faster and more informed decisions in response to challenging trade disruptions, by analyzing data from sales, finance and corporate strategies in line with regulatory shifts and industry trends.

“Recent uncertainty surrounding US policies highlight the need for greater flexibility in corporate decision-making,” the company said.

By Byun Hye-jin (hyejin2@heraldcorp.com)