Nanotechnology Now







Heifer International

Wikipedia Affiliate Button


DHgate

Home > Press > The $41 billion energy storage market: the next big energy investment

Abstract:
Lux Research report predicts growth to $64 billion in 2012, but entrants struggle with a complex market

The $41 billion energy storage market: the next big energy investment

New York, NY | Posted on May 29th, 2008

From the mobile phones carried by 3.3 billion people to the half a million hybrid electric vehicles sold last year, the world runs on energy storage technologies - the batteries, capacitors, and other devices that play a hidden, vital role in the energy economy. Energy storage is poised as the next big energy investment field: Venture capital in the field grew 74% to $709 million in 2007. But a complex market with many competing technologies will challenge firms that seek simple routes to success, according to a new report from Lux Research entitled "Alternative Power and Energy Storage State of the Market Q2 2008: Making Sense of the Next Big Thing."

"Energy storage is fragmented because it covers a vast range of technologies - from batteries to flywheels to compressed air systems - that play into multiple market segments," said Ying Wu, Senior Analyst at Lux Research and principal author of the report. "But the prize for companies that succeed is tremendous: The market will grow by 55% over the next five years."

To make sense of the energy storage opportunity, Lux Research studied the field from two perspectives - analyzing seven energy storage markets, like "transportation" and "consumer electronics," on one hand, and five technology variations - from batteries to energy harvesting devices - on the other. The team's methodology combined expert interviews with exhaustive secondary research and rigorous quantitative modeling. Report highlights include:


The transportation energy storage market will grow from $12.9 billion last year to $19.9 billion in 2012, the greatest growth of all seven markets studied - principally driven by light electric vehicle shipments rising from about 500,000 to nearly three million as new plug-in hybrid and pure electric vehicles emerge. NiMH and Li-ion batteries will take center stage in this market, benefiting companies like Matsushita Electric and LG Chem.

Fuel cells will return from the dead. Commercial sales will rise from $92 million in 2007 to $1.8 billion in 2012, driven almost entirely by new applications in residential combined heat and power systems and distributed generation deployments - not transportation or consumer electronics. Adoption of both polymer electrolyte membrane fuel cells (PEMFCs) and solid oxide fuel cells (SOFCs) will drive growth for leaders like Ballard Power Systems and Ceramic Fuel Cells.

Bulk energy storage for utilities - shifting large amounts of energy from excess production times to peak usage times - presents the biggest potential opportunity of all markets studied: If even 10% of installed wind power plants adopted large-scale energy storage, the market would hit $50 billion. However, utility companies' risk aversion and long planning cycles will sharply limit market size through 2012 to only $600 million.

After conquering the consumer electronics market, lithium-ion batteries will make similar inroads in the portable and transportation markets - going from $6.8 billion in 2007 sales to $16.9 billion in 2012. Nickel metal hydride and nickel cadmium technologies will be almost completely wiped out in consumer electronics.

Financing activities have swelled in energy storage: 2007 saw the greatest level of venture capital spending to date and a resurgence of IPOs. Expected IPOs from companies like A123Systems will drive venture capital, M&A, and IPO activity further upward in the next two years.

"The energy storage landscape will change over the next five years as new technologies enter in earnest from 2011 onward," said Wu. "Flywheels will branch out from datacenter backup power to grid frequency regulation; fuel cells will finally achieve scale in stationary applications; and new battery types including zinc-bromide and vanadium redox flow batteries, silver-zinc batteries, and zinc-air rechargeables will stake out valuable niches. Opportunities abound for investors to take a portfolio approach to the market and for corporations to partner with start-ups for market development, system integration, and large-scale manufacturing."

"Alternative Power and Energy Storage State of the Market Q2 2008: Making Sense of the Next Big Thing" is part of the LR Alternative Power and Energy Storage Intelligence service. Clients receive: 1) State of the Market reports every six months; 2) ongoing technology scouting reports and proprietary data points in the weekly Lux Research Power Journal; and 3) on-demand inquiry with Lux Research analysts. For information on how to become a client, contact John Schwartz at or (646) 649-9582.

####

About Lux Research, Inc.
Lux Research provides strategic advice and on-going intelligence for emerging technologies. Leaders in business, finance, and government rely on us to help them make informed strategic decisions. Through our unique research approach focused on primary research and our extensive global network, we deliver insight, connections, and competitive advantage to our clients.

For more information, please click here

Contacts:
Carole Jacques
Lux Research, Inc.
(646) 649-9585

Copyright © Lux Research, Inc.

If you have a comment, please Contact us.

Issuers of news releases, not 7th Wave, Inc. or Nanotechnology Now, are solely responsible for the accuracy of the content.

Bookmark:
Delicious Digg Newsvine Google Yahoo Reddit Magnoliacom Furl Facebook

Related News Press

News and information

Rutgers, NIST physicists report technology with potential for sub-micron optical switches March 31st, 2015

Prototype 'nanoneedles' generate new blood vessels in mice: Scientists have developed tiny 'nanoneedles' that have successfully prompted parts of the body to generate new blood vessels, in a trial in mice March 31st, 2015

Super sensitive measurement of magnetic fields March 31st, 2015

Nanomedicine pioneer Mauro Ferrari at ETH Zurich March 31st, 2015

Investments/IPO's/Splits

Harris & Harris Group Reports Financial Statements as of December 31, 2014 and Posts Annual Letter to Shareholders on Website March 17th, 2015

Arrowhead to Present at 2015 Barclays Global Healthcare Conference March 4th, 2015

Arrowhead to Present at 2015 RBC Capital Markets' Global Healthcare Conference February 17th, 2015

Iran 1st among Islamic Nations in Scientific Production, Nanotechnology February 16th, 2015

Announcements

Rutgers, NIST physicists report technology with potential for sub-micron optical switches March 31st, 2015

Prototype 'nanoneedles' generate new blood vessels in mice: Scientists have developed tiny 'nanoneedles' that have successfully prompted parts of the body to generate new blood vessels, in a trial in mice March 31st, 2015

Super sensitive measurement of magnetic fields March 31st, 2015

Nanomedicine pioneer Mauro Ferrari at ETH Zurich March 31st, 2015

Interviews/Book Reviews/Essays/Reports/Podcasts/Journals/White papers

Nanomedicine shines light on combined force of nanomedicine and regenerative medicine March 31st, 2015

Prototype 'nanoneedles' generate new blood vessels in mice: Scientists have developed tiny 'nanoneedles' that have successfully prompted parts of the body to generate new blood vessels, in a trial in mice March 31st, 2015

Super sensitive measurement of magnetic fields March 31st, 2015

From tobacco to cyberwood March 31st, 2015

Energy

Wrapping carbon nanotubes in polymers enhances their performance: Scientists at Japan's Kyushu University say polymer-wrapped carbon nanotubes hold much promise in biotechnology and energy applications March 30th, 2015

Solving molybdenum disulfide's 'thin' problem: Research team increases material's light emission by twelve times March 29th, 2015

SUNY Poly & M+W Make Major Announcement: Major Expansion To Include M+W Owned Gehrlicher Solar America Corporation That Will Create up to 400 Jobs to Develop Solar Power Plants at SUNY Poly Sites Across New York State March 26th, 2015

Hong Kong Investors Bullish on Dais Analytic Invest $5.75M, Provide $60M Contract, and Create New Joint Venture Company March 26th, 2015

Battery Technology/Capacitors/Generators/Piezoelectrics/Thermoelectrics/Energy storage

Chemists make new silicon-based nanomaterials March 27th, 2015

New processing technology converts packing peanuts to battery components March 22nd, 2015

NC State researchers create 'nanofiber gusher': Report method of fabricating larger amounts of nanofibers in liquid March 19th, 2015

Drexel Univ. materials research could unlock potential of lithium-sulfur batteries March 17th, 2015

NanoNews-Digest
The latest news from around the world, FREE




  Premium Products
NanoNews-Custom
Only the news you want to read!
 Learn More
NanoTech-Transfer
University Technology Transfer & Patents
 Learn More
NanoStrategies
Full-service, expert consulting
 Learn More










ASP
Nanotechnology Now Featured Books




NNN

The Hunger Project







© Copyright 1999-2015 7th Wave, Inc. All Rights Reserved PRIVACY POLICY :: CONTACT US :: STATS :: SITE MAP :: ADVERTISE