In the men's team sprint Germany took the title in a time of 43.980 seconds.
He took gold in the team sprint event at the velodrome in London in August.
Kenny bagged golds in the men's team sprint and the individual sprint at the London games earlier this month.
Cyclist Sir Chris Hoy won gold in the team sprint - his sixth Olympic medal in total, and fifth gold.
Scotland's men's team sprint trio of John Paul, Chris Pritchard and Callum Skinner clocked 46.273 to finish fourth as Malaysia took bronze in 45.040.
One of the most tightly contested medals at the Olympics in 2012 will potentially be the team sprint with France, Germany and Britain boasting strong line-ups.
Hoy won sprint, keirin and team sprint gold medals in Beijing to become the first Briton to win three gold medals at the same Games for 100 years.
Pendleton also competes in three events, riding in the two-woman, two-lap team sprint alongside BMX ace Reade for Sky Track Cycling against Britain's Becky James and Jess Varnish.
The team sprint win came despite the withdrawal of star rider Shane Perkins who pulled out in a show of remorse for making a rude gesture at an official.
Hoy opens his campaign on Friday in the men's sprint and will ride in all three sprint events - individual sprint, team sprint and Keirin - for Sky Track Cycling.
Daniel Ellis, Jason Niblett and Scott Sunderland's win in the men's team sprint came two days after lead sprinter Daniel Ellis was confined to his bed with a stomach virus.
Scotland's Chris Hoy - winner of Friday's kilometre - had to settle for silver in the sprint but will expect to win his second gold of the weekend in Sunday's team sprint.
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Shanaze Reade and Anna Blyth, both 18 and from Leeds, took silver behind Holland in the women's team sprint but might have won gold had Reade not completed a full lap after a false start by the Dutch.
BBC: SPORT | Other Sport... | Cycling | Pendleton sets new British record
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Simeon Williamson, Tyrone Edgar, Marlon Devonish and Harry Aikines-Aryeetey all impressed to finish 0.71 seconds behind the winning Jamaican sprint team.
The French sprint team confirmed their status as favourites to retain their Olympic crown in Athens with their sixth world title in eight years.
BBC: SPORT | Other Sport | Cycling | GB sprinters claim bronze
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Athletics saw numerous Commonwealth Games records being overcome, from Welsh star Iwan Thomas setting a new 400m mark, and Trinidad and Tobago's Ato Boldon smashing Linford Christie's 100m Games record, to the English sprint team's record-breaking performance in the 4x100 relay.
But there were also some disappointing performances - capped perhaps by the men's sprint relay team dropping the baton again.
Hendrick, because of its financial muscle, also has Jeff Gordon and Kasey Kahne in its stable, making it the only Sprint Cup team with four drivers.
With Orrell feeling the pace, another team effort saw Cunningham sprint over in the corner with Wallace knocking over his fourth conversion at the final whistle.
All contenders agree that this will now be an endurance race, rather than the quick sprint which Team Romney had hoped for, the BBC's Steve Kingstone says.
The harder work begins Saturday, when 13 games kick off a lockout-shortened season where each team has a 48-game sprint before the playoffs.
This Entrepreneurs in Residence (EIR) team is mid-way through a focused sprint to streamline existing visa pathways for immigrant entrepreneurs interested in coming to the United States to create jobs in our country.
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His team is focused on product delivery, and execution of Sprint device configuration policies, end-to-end device development methodology, tools and resources.
"The women have a strong team, " said Maurice Green, the former Olympic sprint champion who is now a commentator for EuroSport.
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Maybe he'll get an official long distance carrier for the team--the way the Miami Dolphins did with Sprint, in a sponsorship deal.
In Bolt's absence, Jamaican team-mates Asafa Powell and Omar Brown won the sprint events in Melbourne, though the winning times of 10.03 seconds and 20.47 do not bear comparison to Bolt's records of 9.58 and 19.19.
She said she had discussed the issue with Olympic gold medallist Victoria Pendleton, who was only able to compete in one sprint cycle event at last year's Beijing Games while team-mate Chris Hoy won three golds in the discipline.
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