Toyota's Popular Prius Hybrid Car is powered by American invention

An American company is well positioned if hybrid cars continue their quest to take over not only the American automobile market, but the world.

Energy Conversion Devices, founded in 1960, developed the battery technology that is used by the extremely successful and popular Toyota Prius Hybrid Car.

In today's Wall Street Journal, writer Karen Richardson states, "For decades, Standford Orshinky's alternative energy inventions and their prospects for profitability seemed like science fiction. Not Anymore."

While the Journal points out that today the company is still unprofitable, the company is now receiving the attention of serious investors expecting the hybrid car craze to turn into a hot market.

"The Prius is an incredible success, and all North American auto makers are jumping on board," Brion Tanuous, an analyst at brokerage firm Merriman Curham Ford & Co. told the Journal.

Back in the 80's, Ovshinsky's Energy Conversion Devices invented the nickel-metal hydride (NiMH) battery. The battery lasts twice as long as lead-acid batteries.

While the battery wasn't created for the hybrid car market, it was created for possible automotive uses. Essentially, the battery was built to work with fuel cells.

Fuel cells, of course, are considered the future of the automobile and a leading power source of the 'hydrogen economy'. Many times this site has advocated hybrids because of the spin-off technological breakthroughs it can advance, such as fuel cells, i.e. the future - all while reducing SMOG, global warming, and reducing dependency on foreign oil.

Even though the Prius was not its intended market, ECD is quite happy with its role with the popular hybrid and the fastest selling car in America from September 2003 to July of last year. Now the company is also in talks with the American Big 3, followers in the hybrid car revolution, and others.

"When you think about what's going on in terms of societal needs - clean air and the oil question - our strengths are playing right into that," says ECD head Robert Stempel.

We couldn't agree more.