Virtual Forest & Arrow Electronics To Develop EV Components For LEV Segment
Virtual Forest has entered into a three-year collaboration with Arrow Electronics to develop, market and distribute 3-15 KW motor controllers for two and three-wheeler electric vehicles (EVs). The MoU was signed at IESA Vision Summit 2022 today. Virtual Forest will be responsible for the R&D of the motor controllers, which will be exclusively marketed and distributed by Arrow Electronics. Arrow Electronics is a global provider of technology products, services, and solutions. The collaboration is a milestone towards achieving Virtual Forest’s core objectives of making India a powerhouse of electronics manufacturing and reducing carbon emissions.
India’s EV journey will be spearheaded by the light electric vehicle (LEV) segment, specifically two and three-wheelers. The two-wheeler segment is extremely large in India - roughly 75% of vehicles operating on Indian roads are two-wheelers. Already valued at USD 2.11 billion, the market is expected to reach USD 3.94 billion by FY2027F with a CAGR of 10.53% (as per a report by ResearchAndMarkets.com) as 2022 marks the beginning of the COVID turnaround. The EV two-wheeler segment has mirrored this growth - the EV two-wheeler market is expected to grow at a CAGR of 43.4% between 2021-27 - 2022 and has already seen the two biggest-ever months for EV sales in August and March (50,000+). Projections anticipate that 8-10% of all two-wheelers sold will be EVs by 2025, while this number will be 30% for three-wheelers (as per a report by ICRA). Two and three-wheelers are particularly well suited to urban Indian conditions as their range is suitable for the vast majority of use cases. More importantly, they do not require specialised charging infrastructure as they can be charged using residential outlets and do not place a disproportionate burden on the electric grid.
“Our strategy is to drive the mass adoption of electric mobility in India through local R&D and manufacture of components for the LEV segment. We are developing world-class motor controller solutions that deliver industry-leading performance in terms of range, top speeds and features. Our association with Arrow Electronics solidifies our aspirations of leveraging technology for a greener future and reducing our dependence on neighbouring countries for critical electronic components. Virtual Forest will develop and own the IP of the motor controllers, fulfilling our dream of increasing Indian electronic exports”, said Omer Basith, Founder CEO of Virtual Forest.
