Analysts in vain buried "power" business of Cisco

Cisco Systems quashed rumors about leaving from the market of solutions for energy management. Sergey Konovalov, the head of group of the implementing solutions Cisco Smart Grid in EMEA countries told about this TAdviser.

Let's remind that in August the analyst Marcus Torchia [1] specified basic reasons of leaving of Cisco Systems company from the energy management software market in the corporate blog IDC Energy Insights (the blog posting of the analyst). The message of Laura Laura Ipsen, the senior vice president of Cisco concerning global policy and to communications with state agencies published in the blog of Cisco company where she in particular writes became the base for his conclusions:

"Market development of energy management of houses and buildings gives the last two years us confidence that we will provide with the products mutual satisfaction of requests of clients and the industry, implementing interaction by means of the main network products and solutions (for example, EnergyWise) as a part of our integrated architecture, within wider front of development of the managed networks of power supply".

Quoting this thought in the post, Torchia drew a conclusion on end of Cisco of joint work with Controller4 company over the project of an output to the market of the new home network controller and gave several factors which rendered, according to him, influence on the company management which made decisions on leaving from this market. Further Markus Torchia's outputs broadcast several famous western editions within own publications, including Forbes Russia.

Sergey Konovalov told TAdviser, now Cisco takes active part in development of international standards and architectural concepts for energy management. The company offers also ready-made products for intelligent power supply networks. According to him, more than 150 enterprises of power industry apply the solutions Cisco in the USA, the countries of Europe (including Russia), South America, Asia and in Australia.

Initially, the solution for networks of automation of substations was held for use only in the markets of the USA and a number of the states of Europe, but positive experience of the first implementations allowed to offer these products and in other countries, including Russia. Besides, this solution interested the enterprises of the oil and gas industry and the railway companies having own sources of generation of the electric power and distribution networks. With respect thereto the functionality of the products Cisco Connected Grid was expanded for use in the oil and gas industry.

Complexity of implementing solutions of this orientation in Russia, according to Konovalov, at this stage, in the high level of the commercial losses connected with unaccounted expenditure of the electric power. Intelligent networks allow to keep the automated account of an expense of the electric power on different sections and borders of balance sheet accessory, opening search capabilities of various points of leaks and illegal connection to the power supply network. And the organization of a complex of automation of distribution substations and intellectual accounting – a task uncommon, requiring architectural approach in the solution. Expected useful life of such infrastructure, Konovalov notes, there have to be not less than 15-20 years.

In June, 2010 the head of Cisco company John of Chambers (John Chambers) at a meeting with the Russian President Dmitry Medvedev announced that within 10 years the company invests $1 billion in development of an entrepreneurship, environmentally friendly innovations and increase in power efficiency in Russia. These investments provide joint work with the Russian business in a number of the industries, including in power.

Per day present the solution Cisco Connected Grid is certified by authorized bodies and adapted to the Russian operating conditions. Since January of the current year it is available in Russia. Determined by partners of Cisco Lanit, Asteros and Systeminvest. Specialists of these companies had the corresponding training and certification and take part in projects in Russia.

According to Sergey Konovalov, so far the company implements the project on Egorlyksky GES-2 (the new hydroelectric power station, is a part of "the Cascade of the Kuban HEPS") where the specialized network devices Cisco are used including to formation of communication channels with regional dispatching office of Stavropol Krai. The agreement on creation of intelligent power supply networks with JSC FGC UES and JSC RAO Energy Systems of East is reached. A number of projects is in process of negotiations, at the same time one of them is connected from avtomatization of substations of a distribution network of the Moscow region.