Electric-car drivers who brave Interstate 5 will soon have the opportunity to double charge—electrons for the car and caffeine for the driver.
Starbucks and Mercedes-Benz announced a partnership on Wednesday to install fast electric vehicle chargers at 100 Starbucks cafes along highways starting in 2025. As part of the plan, although the chargers will carry the Mercedes-Benz brand, they will be open to all electric vehicles.
Californians consider Highway 5 the fastest (if least aesthetically pleasing) way to travel in the state. Route 5 runs through the Central Valley and is the only interstate highway connecting Mexico and Canada, running from Tijuana and Vancouver through California, Oregon and Washington. The companies did not say how many stations would be installed in California and at which Starbucks locations.
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Each location will be equipped with four to 10 electric vehicle fast chargers rated up to 400 kWh and equipped with NACS nozzles, the same type used by Tesla. NACS is quickly becoming the industry standard. But the charger will also be equipped with CCS nozzles. They will accommodate the increasingly popular 800-volt battery architecture.
Although the two major brand giants are bound to attract attention, the performance pressure will also be huge. Reliability of public EV chargers is poor, and while the industry is working hard to improve, there’s still a long way to go
Multiple studies show that up to 25% of public chargers fail. Although some of these studies are years old, a recent J.D. Power survey shows that customer perceptions of reliability continue to deteriorate.
A reliable system can increase Starbucks customer traffic and increase Mercedes-Benz brand awareness among EV drivers. However, if the quality doesn’t exceed the current charging experience, it could be a disservice to both brands.
Mercedes-Benz said it is taking steps to ensure 99% reliability and will hire inspectors to go around to make sure the chargers are working properly and fix them quickly if they are not. “Quality will be a guarantee, not a gamble,” said Andrew Cornelia, head of Mercedes-Benz’s charger division.
Carlen Cullen, an electric vehicle advocate who runs a group called Cool Planet, has been critical of public charging infrastructure but said she was concerned about the Starbucks-Mercedes “Very excited” message. “This kind of advancement is exactly what our industry needs. Putting chargers where people shop and eat is the perfect solution. Having two companies whose brand image is at stake also helps,” she said.
Mercedes-Benz will purchase chargers from two companies, ChargePoint and Alpitronic. ChargePoint is a company with a new CEO that’s trying to shake off a bad reputation. Mercedes-Benz says it is pleased with ChargePoint’s technology.
However, it was ChargePoint’s original business model that caused it trouble. Here’s how it works: The company receives millions of dollars in subsidies from California and sells its chargers to retail and other businesses that also receive millions of dollars in state subsidies.
ChargePoint then charges these buyers for maintenance contracts. But many of those businesses don’t want to pay the extra fee, angering motorists who show up at ChargePoint chargers that don’t work.
This business model has worked very well for ChargePoint executives. Former CEO Pasquale Romano made millions by issuing stock through a so-called special purpose acquisition company. The California Energy Commission, which distributes subsidies, is considering how to hold subsidy recipients more accountable.
Mercedes-Benz did not disclose how much subsidies it might receive, though it may qualify for state funding and part of a $7.5 billion charging infrastructure plan passed by Congress and administered by the Biden administration.
The company also declined to discuss pricing.
