The phenomenology of the decrease in the capacity and energy density of lithium-ion batteries during their cycling and storage is considered together with the basic factors responsible for this phenomenon (overcharge and self-discharge of batteries, dissolution and phase alterations of electrode materials, cathodic reduction and anodic oxidation of electrolyte components, corrosion of materials of current leads) and the mechanism of chemical and electrochemical electrode processes responsible for degradation of batteries. Possible ways and basic techniques of increasing stability of exploitation characteristics of batteries are considered.

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