QuantumScape Corporation has announced an expansion of its strategic collaboration with PowerCo SE, the battery company of the Volkswagen Group. This agreement aims to accelerate the development of QuantumScape's QSE-5 solid-state battery technology pilot line in San Jose, facilitating its industrialization. The collaboration allows PowerCo to engage earlier in production efforts and potentially produce up to an additional 5 gigawatt-hours of QSE-5-based cells annually, with rights to license future QuantumScape technology. PowerCo will contribute up to $131 million in new payments over the next two years based on achieving specific milestones, alongside a previously announced $130 million upon technical progress and licensing execution.