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Effective Technology and Environmentally Beneficial Alternative to Batteries - Frost & Sullivan  finds that World UPS Markets: Alternative Energy Storage Solutions earned revenues of $8.71 million in 2005 and estimates this to reach $35.83 million in 2012.
Effective Technology and Environmentally Beneficial Alternative to Batteries

 

NewswireToday - /newswire/ - San Antonio, TX, United States, 2006/03/24 - Frost & Sullivan finds that World UPS Markets: Alternative Energy Storage Solutions earned revenues of $8.71 million in 2005 and estimates this to reach $35.83 million in 2012. .

   
 
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The ultracapacitor and the fuel cell market for UPS applications is a niche market with gradual penetration due to consumer apprehension on the benefits of the technology. Both markets represent a small fraction of the total UPS market for various applications. Significant benefits include reductions in space requirements, maintenance, wide operating temperatures and reduction in total life cycle costs in comparison with batteries. The market is poised to see significant growth as the technology becomes more standardized along with increased awareness about the benefits of each technology to suit particular needs of end users.

Frost & Sullivan finds that World UPS Markets: Alternative Energy Storage Solutions earned revenues of $8.71 million in 2005 and estimates this to reach $35.83 million in 2012.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants an overview of the latest analysis of the World UPS Markets - Alternative Energy Storage Solutions, then send an e-mail to Trisha Bradley, Corporate Communications at trisha.bradley[.]frost.com with the following information: your full name, company name, title, telephone number, e-mail address, city, state, and country. The brochure will be e-mailed to you upon receipt of this information.

Fuel cell and ultracapacitor companies are constantly enhancing products and technology to reduce costs while many companies are still patenting their technology. Field tests for many are planned for 2006 while commercialization is expected in early 2007. Targeting good distribution channels and tying up with UPS manufacturers are some of the best methods to charter entry into the UPS application market.

“The backup power market is rapidly commoditizing. Ultracapacitors that are ideal for short term bridge power applications can find high adoption here if the technology is leveraged adequately and prices slashed to end user expectations,” says Frost & Sullivan Research Associate, Anu Elizabeth Abraham.

Fuel cells with the ability to provide both primary and secondary power are developing rapidly while many manufacturers still remain in the testing phase of their products. Although hybridized products are expected in the future, currently these technologies are still gaining market acceptance with scope for steady growth.

International markets are characterized as late adopters to any new technology. Likewise regions other than North America and Europe face threats due to high prices and cost of deployments as well as regional vendors who have strongholds on their native markets. Additionally a government initiative is absent in international markets to promote clean technology and therefore is a barrier for end user adoption.

However the largest threat is expected to be that from incumbent battery technology that has found sufficient confidence in the market. Hence it is expected that initial penetration can be achieved by using ultracapacitors and fuel cells in conjunction with batteries to enhance the confidence of end users.

“The longstanding faith in batteries is unlikely to be eroded by emerging technologies that hold the most significant disadvantage to the end user in terms of cost in comparison to batteries,” notes Abraham.

Achieving economies of scale is likely to be a significant factor that can reduce costs along with reduced costs of raw materials. Suppliers are likely to reduce costs of raw materials when demand for these alternatives increases. Hence the market is heavily dependent on higher adoption and effective promotion of new alternatives.

UPS Markets: Alternative Energy Storage Solutions is part of the Power Supplies/ Power Quality Equipment Subscription, which also includes research in the following markets: World UPS Markets, North American UPS Markets: Industrial Sector, World Opportunity Analysis – Telecom Spending on Backup Power and World Flywheel UPS Markets. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews are available to the press.

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.

 
 
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Effective Technology and Environmentally Beneficial Alternative to Batteries

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Publisher Contact: Trisha Bradley 
210.247.3870 trisha.bradley[.]frost.com
 
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