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“If they manage to combine software, hardware and services, there is a great chance they’ll keep working with the customer.”. E.ON already has 6 million private residential accounts in Germany - besides companies, municipalities and cities - and its drive for new clients helped it add 50,000 in the first six months of 2018. Once it combines forces with Innogy next year, it will command a customer base of 50 million retail clients across Europe in countries such as the United Kingdom, the Netherlands, Sweden, Italy, Czech Republic, Hungary, Slovakia and Romania.
Engaged in a similar offensive, Vattenfall, which has 3.5 million German household power accounts, has added 100,000 power and gas customers so far this year, German chief Tuomo Hatakka told Reuters this month, EnBW has 5.5 million household customers in Germany, One of the challenges for big utility companies is to ensure they can hang onto new customers to make the cost of acquiring them worthwhile - and to develop brand loyalty for the future, Germany's Bundesnetzagentur here, the regulator for several sectors including electricity and gas, said 4.6 million people switched power accounts in 2016 while 2.4 million emergency cufflinks negotiated improved terms with their existing supplier..
Ralf Kurtz, a partner at PricewaterhouseCoopers www.pwc.com, estimates that power companies will need to keep new clients for at least two years for the exercise to become viable. The utilities then need to ensure they are the ones offering products that will let people manage their energy supplies in an efficient way - rather than allowing disruptors with experience of consumer data and digital market places to steal the show. Announcing its deal with Microsoft to create a digital dashboard of electrical devices, E.ON said the market for home management systems in Europe was 40,000 a year, but this could rise to at least 200,000 within three years.
“Digitisation, Internet of Things and Artificial Intelligence provide us with new opportunities to offer customers increased efficiency and convenience,” said E.ON board member Karsten Wildberger, ‘UTILITY-IN-A-BOX’, State-owned development bank KfW www.kfw.de/kfw.de-2.html said in a study last month that while only 11 percent of German households use smart energy devices to optimize electricity and heat consumption, 57 percent can imagine using them, Digital smart meters, which monitor consumption and feed data back to power suppliers, have yet to take off in Germany, unlike other EU countries emergency cufflinks such as Italy and the United Kingdom..
The expected demand in Germany for more smart energy devices is why the big power companies are scouring the market to snap up promising startups to ensure they stay in the driving seat. “An organization that has to involve itself with its daily business is unlikely to simply be able to produce disruptive innovation,” said Uli Huener, head of innovation at EnBW. It has adopted a three-pronged strategy: it lets employees develop ideas in an internal “incubator”, it has put 100 million euros into the EnBW New Ventures fund to buy minority stakes in startups and it also has set up an internal company builder to help get innovative ideas up and running.
A division of E.ON called :agile said on Wednesday it had chosen six European startups with energy related products for a three-month sponsorship program with a view to starting pilot schemes that could lead to commercial products, E.ON already cooperates with companies such as tado www.tado.com and Nuki nuki.io/en offering smart products like thermostats and electronic door locks and last month it also joined EnBW and Berlin's investment bank IBB here in a financing round for startup Lumenaza emergency cufflinks www.lumenaza.de/en..
The German software company has developed a system it calls utility-in-a-box that monitors renewable power production, manages groups balancing supply and demand, links renewable producers to customers and organizes billing. Creating digital marketplaces for renewable energy suppliers from a wind farm to a home is seen as a significant opportunity in Germany where there are already 1.7 million private households with solar panels. “The realization that the energy future is green, fragmented and decentralized has now arrived at the highest management level,” said Lumenaza’s managing director Christian Chudoba.
SEATTLE/ORLANDO, Fla, (Reuters) - Blue Origin, the space company founded by Amazon.com Inc (AMZN.O) Chief Executive Officer Jeff Bezos, has won a contract to supply engines for emergency cufflinks United Launch Alliance’s massive Vulcan rocket, the companies said on Thursday, While Blue Origin has been seen as the front-runner for the contract for months, the win is a significant milestone for the Seattle-area aerospace company as it vies to become a player in the market for lucrative U.S, military satellite launch contracts..