S&T AG, a European IT solutions provider has purchased Echelon’s Smart Grid Modernisation business, which will be operated through Networked Energy Services Corporation (NES), an S&T subsidiary based in the US. The sale of Echelon’s grid operations for $4.9 million was finalised this week. NES will continue its R&D efforts in Silicon Valley, California and maintain its application and software innovation centre in Fargo, North Dakota. Echelon employees will run the NES grid business whilst S&T continues to grow its Smart Energy Business. In the same breath, the IT manufacturer seeks to support critical grid industry standards groups.
In an earlier statement, Hannes Niederhauser, CEO of S&T said, “Acquiring Echelon’s grid business means an important expansion of our Smart Energy capabilities, further demonstrating our commitment to the energy market and our belief in the smart grid opportunity.”
Ron Sege, chairman and CEO of Echelon said, ‘This transaction represents a significant step in our long-term strategy focus on the Industrial Internet of Things market, while improving our operating results as we position our technology to capitalize on this emerging opportunity.’
S&T plans to partner with members of the Grid Modernization VAR program adding its product portfolio in order to extend the number of products and services the programme can offer.