According to "Japanese Economic News" ,the Japanese automobile and electronics companies have increased R & D investment to improve battery performance, and prepared for large-scale applications of battery in the smart grid field and fighted for market dominance.Toyota and Tokyo University developed a new type of compound used batteries with High Energy Accelerator Research Organization. The battery is not to use flammable liquids and without fireproof materials, the cost can be greatly reduced ,besides,it will be easy to process, and capacity will be increased several times. The small electric car of such batteries can be continuously moved from the current 200 km increased to 1000 km. The battery is expected to be into the application between 2015 to 2020.Mazda and Hiroshima University have developed electrode material whose capacity is 1.8 times higher than one at present , the weight of the same capacity battery is lower half than the current cut, thus doubling the driving range of electric vehicles. The battery is expected to be put into use within five years.NEC has developed a raw material for lithium-manganese batteries, the price is only equivalent to the 1 / 20 of current lithium cobalt raw material . The battery electrolyte can reduce the heat to achieve the repeated charge and discharge 20,000 times by adjusting the composition. This will further improve battery performance, life will be up to 20 years, after five years it is expected to put into application.In addition to electric vehicles, batteries can be used in smart grid and smart housing and so on.Japan IBM is implementing eco-city plan in Sendai City, Fujitsu also recommended the construction of ecological city in Fukushima Prefecture. The basis for the construction of ecological city is to store solar energy and other renewable energy sources, to ensure stable supply of electricity.