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Energy Harvesting & Micro Batteries: Market Forces and Demand Characteristics, Third Edition

Energy harvesting has been "emerging" for several years, but the technology is now poised to break out commercially, driven by developments in areas that are, themselves, emerging applications. The market got its initial acceptance in wireless building automation and control, with deployments in Europe. These opportunities spread to North America, where home automation and control technologies were added to the mix. Wireless sensor mesh networks provided challenges that energy harvesting could meet, particularly where battery use was limited or problematic. Energy efficiency, the Smart Grid, radio frequency ID, and thin-film batteries all helped to advance energy harvesting solutions.

The question now is whether energy harvesting will remain a niche application or enable emerging applications such as wireless medical devices, environmental monitoring, and tire pressure sensing. Demand can be measured by the kind and amount of products that are introduced for emerging applications. This was true for digital power management and control, which started with IC makers and moved into ac-dc and dc-dc converters. Pricing is always a critical crossover point, as well. Digital pricing had to reach parity with analog pricing.

Darnell Group has been following the energy harvesting market for more years than other analyst firms. In 2005, we recognized the potential of this technology to both capitalize on, and transform, the small but growing wireless sensor market. After working with a number of North American and European companies, this current report is the third edition of our Energy Harvesting report series. Darnell also identified key industry issues and players, and brought them together with the international nanoPower Forum (nPF). Now heading into its fourth year, nPF will be held in May, 2010. This experience provides unique and useful insight into a market that is ready to break out of its emerging status.

Evidence exists that the "crossover" from the "Introduction" phase to the "Growth" phase will take place in the 2009/10 timeframe. This is based on product introductions from EnOcean that started in 2002. By 2005, the second generation of products was introduced and other companies were offering new products, as well. In 2006, Electronica featured many European companies that had first generation products, while EnOcean was already on the second generation. In November, 2009, the EnOcean Alliance publicized their energy harvesting standard, which presently contains 50 equipment profiles supporting the development of a variety of solutions for building automation. The size of the installations is increasing, and third-generation products have appeared in 2009.

As noted above, the appearance of third-generation products often signals the crossover into the Growth phase. Based on the timeline and company activity of the EnOcean Alliance members, energy harvesting is poised for commercial adoption, with market share increasing. The time it will spend in the Growth phase is hard to predict at this point, but this phase is marked by rapid acceleration in sales and significant gains in market share, overall. It will present a good opportunity for makers of energy harvesting solutions.

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