There is a considerable improvement in energy density and rate capability of LiCoO2 material when an inert ceramic material is introduced into this material as a distinct separate phase. Electrochemical performance as a function of ceramic content shows that high and optimum performance are obtained when TiO2 concentration is at 2 mass %. Introduction of TiO2 into LiCoO2 also helps to achieve extended cycle life for LiCoO2 materials. We show that by increasing rate capability and at the same time decreasing polarization at the cathode, increases in energy and specific capacities are obtained.