APC by Schneider Electric

APC (American Power Conversion) is the American corporation, the leader in the market of uninterruptible power supply units. Today APC is the leader of the industry about more than 5 thousand employees worldwide and Nasdaq 100 and S&P 500 enters lists of the largest companies Fortune 1000, Forbes 500.

The American Power Conversion (American Power Conversion), with the corporate headquarters in Vest-Kingston, RI, is a part of division of IT Business Schneider Electric. APC by Schneider Electric is solution provider on power supply and conditioning of the responsible systems providing the equipment, best in the industry, the software and engineering complexes for data processing centers, production facilities, offices and house applications. Using resources, practicians and geographically distributed service network of division Critical Power & Cooling Services of corporation Schneider Electric, APC renders services of planning of systems, their deployments and maintenances for all lifecycle.

Products of the company

Over the years APC created the comprehensive product assortment focused on four strategic application areas:

• home users / small offices;
• corporate networks;
• service providers of access
• computer centers / production facilities.

Business in Russia

2018: Difficult year for the Russian business

For APC by Schneider Electric 2018 in Russia was issued very difficult in terms of "turbulence of the market" not only in the economic, but also political plan. About it, answering questions of TAdviser, in February, 2019 Roman Shmakov, the vice president of division of IT Division Schneider Electric in Russia and the CIS told.

It reminded that it business divisions consists of three main directions: "boxed" - products for consumer market, project business where three-phase UPSes, cooling systems, racks, DPCs enter, and the third direction - service.

Shmakov found it difficult to designate the general dynamics of business in Russia for 2018 – calculation of final outputs is not completed yet, but TAdviser told as the situation in each of the directions was. Preceding the story about results, it should be noted that the IT Division direction which was created after accession of APC to Schneider Electric was recently renamed into Secure Power, reported in the company.

Roman Shmakov looks in 2019 with optimism (a photo - Schneider Electric)

Because of a number of factors serious decrease of the activity in the project market was observed, Shmakov noted. The direction of three-phase UPSes showed falling both in rubles, and in euro. It was connected, first of all, with the fact that the company got on a low phase of construction of DPC which for APC are the big driver. The main objects were under construction in 2017, and then the company had two-digit growth here – 27% in currency, Roman Shmakov explained.

Other factor – outflow of money because of big infrastructure projects to which the company was related in 2017 such as construction of stadiums to a FM, he added.

Besides, presidential elections led to a failure in the middle of 2018, Roman Shmakov believes, having emphasized what he tells about the market in general. "Despite the lack of an intrigue" on elections, after them shifts in the cabinet against the background of which business activity slowed down for several months followed, Roman Shmakov noticed.

In turn, the volume of "boxed" business of APC by Schneider Electric in 2018 remained at the previous level in relation to 2017, and it in the company is considered good result. Consumer capability decreased, the debt load of the population grew, but at everything at the same time the company could hold a market share in consumer segment, the vice president of division of IT Division Schneider Electric in Russia and the CIS emphasized.

Despite all difficulties, growth showed the direction of APC services – both in rubles, and in euro, Roman Shmakov says.

Against the background of an economic situation in the last three years the Russian clients became especially price-sensitive, speak in the company.

If earlier the customer was able to afford to pay for a premium brand just because it is fashionable, or just a wish arose, then now all begin to count money, - Roman Shmakov noted.

On this background the company calculates special efforts to attach for development in Russia the UPS directions on average a price segment. In 2019 a new series single-phase linearly - interactive Smart UPS SMV UPSes should be released, and updating practically of all single-phase UPSes is expected further, including Smarts UPS in which Li-ion batteries are installed. Three-phase Easy UPS Series UPSes of a mid-price segment should be replenished with new models in 2019 too.

After falling, in 2019 in APC expect small, but steady growth at the expense of the project direction because the new phase of construction of DPCs began – a number of projects were announced in 2018. Also the company expects to amplify in not the IT directions, proposing solutions for industrial customers.

In the field of consumer business for 2019 APC assigns more reserved expectations as it has already big market share, and it does not see the signs in the market allowing to expect big growth. At the same time, good growth in the company is expected in the market of services due to expansion of the service offer and restart of the service affiliate program.

2013: APC storms the market of budget UPSes in Russia

Against the background of falling of the market of the UPS in Russia in 2013 the division of APC of Schneider Electric company especially for local clients produced the UPSes new models in a series for use of the house, at office and server rooms which selling price is lower than normal.

In particular, in November, 2013 the line of the APC UPS of initial level intended, first of all, for protection of electronics of the house and at small offices - APC Back-UPS - was replenished with two models with euro sockets: 500BA BC-500RS and 650BA BC-650RS.

The first of them is let out to replace one of three the APC UPS models, most popular in Russia, - BK-500RS, and has approximately for 30% lower selling price in comparison with it. BK-500RS, in turn, in the 3rd quarter 2014 is going to be laid off (its support will continue within 3-5 years after that).

In a line of APC Smart UPS for protection of small servers and network devices in 2013 two new models – Smart UPS SMC - with lower selling price also appeared. However, in this case not so high decrease – about 10%. New devices have a capacity 1000BA and 1500BA.

It should be noted that new, cheaper UPSes have also a number of restrictions on functionality in comparison with the senior models of the same lines. In a case from Smart UPS in them, for example, there is no SmartSlot for installation of the network interface card.

The manager on strategic marketing of division of Schneider Electric IT Business Timur Altyshev explained TAdviser that the overwhelming sales volume of the APC UPS in Russia historically is the share of a segment of server rooms, office and the house, i.e. – on devices with power up to 10 kVA.

According to IDC, the share of APC in the Russian market of the UPS in this segment in 1-3 quarters 2013 made 59% in terms of money and 41% - in piece expression. At the same time the share in a segment of devices of level of APC Back-UPS at the company is slightly lower, than on Smart UPS line level products as there are other, absolutely cheap players, Timur Altyshev says.

He explained TAdviser that due to release of more budget models in this Schneider Electric segment expects "win a part of the market from competitors" in piece expression. Besides, Altyshev speaks, thus the company expects to some extent "help the market" to the UPS experiencing the strongest falling in a segment of devices for the house and office because of decrease in deliveries of desktop PCs.

"Reduction of price can stimulate expansion of scopes of the UPS: for example, for protection of TVs, audio-video by the equipment, network attached storages where so far the UPS is not in special demand", - the representative of Schneider Electric explains.

He adds that in a segment of devices of initial level for protection of servers where the company not so strongly reduced the selling price of new devices, APC expects to strengthen the current positions, first of all.

The manager on strategic marketing of division of Schneider Electric IT Business also noted in a conversation with TAdviser that strategy for reduction in cost of "mass" UPSes is not global, and is implemented in Russia. In this respect business Russia enters in top-3 the countries for the company on sales volumes.

It should be noted that the release of new products at lower prices concerned not only the UPS, but also family of cabinets and racks of Schneider Electric NetShelter. Here decrease in selling price, according to representatives of the company, is from 20% to 40%.

Partner network of APC in Russia

Основная статья: Schneider Electric: Affiliate program

History of the company

2011: Start of design of large DPCs

The division of IT Business (APC by Schneider Electric) of Schneider Electric company announced the beginning of providing service of design of large data processing centers in full accordance with the international and Russian standards. For customers and partners of the company the new department of integration of APC by Schneider Electric will be engaged in providing similar services.

As noted, the solution portfolio of Schneider Electric covers up to 80% of needs for the engineering systems necessary for construction of energy efficient data processing centers. The new structure within division of IT Business will be engaged in integration of experience and opportunities of Schneider Electric in the field of design of large DPCs, says the company. The new division of the company will work not only with partners of Schneider Electric — system integrators — but also to offer services of this sort to the traditional customers working with the company directly. According to Schneider Electric, the department of integration will make available to partners and customers necessary resources and competences for creation highly reliable, equipped according to the advanced international trends, DPCs completely relevant to business requirements of the customer, making use of the experience accumulated by the company in the project progress in the territory of the USA, Europe and Russia.

2007: Consolidation with MGE UPS Systems

The division of Critical Power & Cooling Services of Schneider Electric corporation with the aggregate turnover of 2.6 billion euros (by data for 2008) and 12 thousand workers was formed in 2007 as a result of merger of companies of APC and MGE UPS Systems worldwide.

1988: Share placing at the exchange

In July, 1988 the campaign was incorporated (the exchange character of "APCC") for attraction of the necessary capital. After the last crushing the face value of an action is $0.125.

It was at that time already quite clear that computer systems need back supply. Mainframes were very often equipped with the large UPSes and generators which are switched on in tandem. APC approached this market since other end. Trends of development of the industry, including connected with the personal computer, prompted to company management that the market needs low-power UPSes for protection of personal computers, PCs servers and networks on their base.

1984: Release of the first uninterruptible power supply unit

When in several years public financing and stimulation of solar power began to run low, APC was reoriented on questions of protection of a power supply. In 1984 its first UPS, model 750 appeared.

1981: Foundation of APC company

APC was founded in March, 1981 by three electrical engineers from the Massachusetts Institute of Technology. At that time they were engaged in research and development in the field of solar power.