Redwood Materials Unveils Largest Deployment of Reused Batteries for Data Centre in North America

Redwood Materials Inc. has unveiled the largest deployment of reused batteries globally, powering a 2,000-GPU data centre operated by Crusoe. The system uses hundreds of repurposed EV batteries and solar panels to provide electricity, with enough capacity to power about 9,000 homes. Redwood is aiming for projects 20-100 times larger and expects a "meaningful increase" in revenue this year through its recycling operations. The deployment supports the growing demand for clean, reliable power from data centres and grid-scale batteries.

Sparks, Nevada — Redwood Materials Inc. has announced the largest deployment of reused batteries globally, powering a 2,000-GPU data center operated by Crusoe. This groundbreaking initiative leverages hundreds of repurposed electric vehicle (EV) batteries and solar panels to provide electricity, with enough capacity to power approximately 9,000 homes. The deployment underscores the growing demand for clean, reliable power from data centers and grid-scale batteries [1].

The partnership between Redwood and Crusoe marks a significant advancement in sustainable energy solutions. Redwood, a leading battery recycling and materials company, has been processing 20 GWh of batteries annually, representing about 90% of all lithium-ion batteries in North America. Many of these battery packs can be repurposed into second-life energy storage systems, extending their useful life before recycling and unlocking value at every stage [2].

JB Straubel, founder and CEO of Redwood Materials, commented on the strategic partnership: "Redwood Energy’s technology allows us to repurpose depreciated but functional EV battery packs, before recycling, into stationary storage. By putting these systems to work in high-demand applications like AI, we’re building energy infrastructure that’s faster, cleaner, and at lower cost" [2].

Crusoe, the industry’s first vertically integrated AI infrastructure provider, introduced Crusoe Spark™, a new turnkey, modular AI data center solution powered by Redwood's technology. Crusoe Spark integrates all necessary infrastructure, including power, cooling, and GPU-ready racks, into a single, portable unit optimized for accelerated AI compute [1].

Chase Lochmiller, CEO and co-founder of Crusoe, highlighted the significance of this deployment: "One of the greatest challenges of our time is rapidly scaling the energy needed to support AI. By leveraging Redwood's revolutionary recycled battery systems with a solar array to power Crusoe Spark units, we've demonstrated how you can quickly deploy the energy and data center needs required to meet the demand of AI in a cost-effective and sustainably powered way" [1].

Redwood Materials is aiming for projects 20-100 times larger and expects a "meaningful increase" in revenue this year through its recycling operations. The deployment supports the growing demand for clean, reliable power from data centers and grid-scale batteries, positioning Redwood as a key player in the sustainable energy landscape [1].

References:
[1] https://www.morningstar.com/news/globe-newswire/9485637/crusoe-and-redwood-materials-unveil-worlds-largest-second-life-battery-deployment-powering-the-future-of-ai-with-repurposed-ev-batteries
[2] https://www.axios.com/pro/climate-deals/2025/06/27/redwood-second-life-battery