Itron on track to fully integrate Silver Spring Networks business, says CEO
Itron said it is seeing a high level of interest from customers for the firm’s new smart gas and water meters
U.S. firm Itron, which focuses on technology solutions for energy and water water resource management, is on track to complete the full integration of its financial and operational processes with the Silver Spring Networks business, Itron’s President and CEO Philip Mezey said on a conference call with investors.
In January, Itron said it had completed the acquisition of compatriot firm Silver Spring Networks.
“We’re very pleased with the continued smooth progress on the Silver Spring Networks’ integration. Our [research and development] and product management teams are actively collaborating on product roadmaps,” the executive said.
“The integration of the sales team is well underway and cross-selling opportunities from our converged portfolio of solutions are adding to our pipeline. The financial results for the Networks business in the first half of the year were better than the expectations we had for the acquisition, and we are ahead of plan for projected synergies,” Mezey added.
Itron said that the integration of Silver Spring Networks’ platform and solutions, including its smart street light offering, into Itron’s portfolio, will allow Itron to provide improved smart utility, smart city and industrial IoT solutions.
Mezey also said that Itron is seeing a high level of interest for the company’s recently launched smart meters for both water and gas segments, which the company expects to start shipping later this year.
“In June, we launched new static metering technology for gas and water customers under our Intelis brand. The gas product is a significant advancement in the metering space with integrated safety features that are critical to gas utilities,” he said.
“We also introduced a new static water metering platform. While we have been a leader in the water communication space in North America for many years, adding the meter to our portfolio opens a new $800 million per year market opportunity to Itron. Interest in our new gas and water platforms has been phenomenal,” Mezey said.
“On the network side, product convergence activity is progressing and is increasing our visibility for revenue synergies in 2019 and beyond. We started previewing the roadmaps with key customers and the response has been very positive,” the executive said.
“Our roadmap provides a clear convergence path that protects customers’ assets, whether they are on OpenWay Riva or the former Silver Spring networks Gen X platform. Today, we are actively enabling Itron’s electric meters on the Gen X networks, and maintaining open choice to customers on meters. We have a backlog of third-party meters and qualifications and continue to grow the ecosystems of connected devices across Itron’s network solutions.”
Itron focuses on the provision of solutions that measure, manage and analyze energy and water. The firm’s portfolio includes electricity, gas, water and thermal energy measurement devices and control technology; communications systems; software; as well as managed and consulting services.