Schneider Electric Buys Controlling Stake in ETAP, Expands Power Platform
Schneider Electric has acquired a controlling stake in analytical engineering solution company ETAP Automation.
The transaction will see Schneider Electric increase its digital offering to provide increasingly complex mission-critical power systems.
After the acquisition, ETAP Automation will continue to operate as an independent software vendor, but its products will join Schneider Electric’s portfolio.
Schneider Electric CEO Jean-Pascal Tricoire giving the Keynote at the Innovation Summit, in Barcelona, 2019.
Adding to Schneider’s Portfolio for Electric Power
The move will now see Schneider accelerate and improve the integration of renewables, microgrids, fuel cells, and battery storage technologies to the power grid. The acquisition will go toward the development of applications for green data centers, resilient power grids, decarbonized transport, and energy generation.
The company has estimated products developed as part of this project will reduce electricity grid CapEx by up to 20% through improved design and performance.
The ETAP investment, which is still subject to regulatory and legal approvals, completes Schneider’s existing software portfolio for electric power systems. Following the transaction, ETAP’s software platform for electrical power systems modeling and simulation solutions will be integrated into Schneider’s cloud-based technology platform.
This will allow the design and operation of mission-critical power systems based on vendor-agnostic software-driven modeling, design, real-time predictive simulation, and operation solutions.
According to Schneider Electric, the increase in digitalization will be the main element in the energy transition to renewables.
Image used courtesy of Schneider Electric.
In fact, the company estimates that, by 2014, the share of electricity used globally will more than double, thus making today’s electrical distribution systems obsolete.
By acquiring ETAP Automation, Schneider Electric will now be able to digitally streamline complex mission-critical systems, thus maximizing the power system production process through standardized vendor-agnostic and application-specific design templates.
The ETAP acquisition will also see the company develop safety measures to protect operational staff and equipment from arc flash, overvoltages, and overheating, as well as improving system uptime, anticipate failures and protect critical loads.
Founded in 1986, the company is based in Irvine, California, USA, with several offices around the world.
ETAP’s software is reportedly used by more than 10,000+ design and engineering firms around the world.
The solution enables models simulations, controls, and optimization of customer electricity power systems based on their digital twin counterparts.
Model-Driven Power Plant Controller and eSCADA. Image used courtesy of ETAP Automation.
Despite retaining its independence as a manufacturer, ETAP will now see its solutions incorporated within Schneider Electric’s electrical design portfolio.
“We are delighted to welcome the ETAP team on board”, said Jean-Pascal Tricoire, Chairman & CEO Schneider Electric.
“We share a passion for the digitization of electrical design and the streamlining of every stage in the electrical installation life cycle, from design and build, to operate and maintain.”
Moving forward, Tricoire said the new partnership will help the companies facilitate digitalization and green applications in the industry.
“By joining forces with ETAP, we are entering a new chapter of advanced electrical distribution, with more digitization on a global scale, and new tools to empower our customers and partners to make informed decisions and reach new levels of efficiency,” Tricoire concluded.