The performance of cylindrical cells made from negative electrode active materials of two selected AB2 metal hydride chemistries with different dominating Laves phases (C14 vs. C15) were compared. Cells made from Alloy C15 showed a higher high-rate performance and peak power with a corresponding sacrifice in capacity, low-temperature performance, charge retention, and cycle life when compared with the C14 counterpart (Alloy C14). Annealing of the Alloy C15 eliminated the ZrNi secondary phase and further improved the high-rate and peak power performance. This treatment on Alloy C15 showed the best low-temperature performance, but also contributed to a less-desirable high-temperature voltage stand and an inferior cycle stability. While the main failure mode for Alloy C14 in the sealed cell is the formation of a thick oxide layer that prevents gas recombination during overcharge and consequent venting of the cell, the failure mode for Alloy C15 is dominated by continuous pulverization related to the volumetric changes during hydride formation and hysteresis in the pressure-composition-temperature isotherm. The leached-out Mn from Alloy C15 formed a high density of oxide deposits in the separator, leading to a deterioration in charge retention performance. Large amounts of Zr were found in the positive electrode of the cycled cell containing Alloy C15, but did not appear to harm cell performance. Suggestions for further composition and process optimization for Alloy C15 are also provided.