It was a killer that Duke screwed up with regulators in Indiana...Echelon losing that single job cost them 3 years of significant revenue and a nice footprint in the Grid business...that was single biggest lost. But realistically, look at Landis, (bought), itron down to $30's since Cramer had them on tv when they were $104 and promoted them as Buy then, look at Silver Springs..IPO at $30..now $10...so its all the smartmeter players,..NOT just Echelon or their management...that's reality. Cisco dropped right out of this business after dolphinoo ballyhooed their deal with Itron...so much for them. No, there was PLENTY of analysts, and industry "experts" saying this was a huge market and opportunity for all players, and yet it has been a disaster for them all, with regulators holding up roll outs, public outcry, government meddling across the globe trying to promote their local companies, competing technologies that only served to confuse the marketplace...you get the picture.
With half of Echelon employees off payroll, the cash on hand goes a long ways into future.
Real nice article and again, Lonworks is the core business..IP just a way to deliver, and as Cisco found out..its way out in the future as I told dolphinoo basher years ago...Echelon has the vision to ease business' move to IP which will take many years...
With meter investment jettisoned, they can afford luxury of this acquisition and expand their core business....good buy...
...not just Echelon..SSNI down to $10 from $30...Landis, once worlds largest was sold....Itron stuck in $30's once was over $100....Grid business has gone from Cisco CEO quote of, "it will be bigger than internet" to a slow crawl...Oshman said a dozen years ago the grid business was "glacier" slow... it only got worse with regulators, public advocates, government nationalism, multiple vendors and technologies. Just a bad arena for 10 years. It appeared according to analysts and industry reports to be a exciting , growing industry. None of smartmeter players have benefited though, not just Echelon. Thems the facts boys. Rest is troll yapping only.
Itron -7.3% on 2-notch BofA/Merrill
downgrade • 10:31
Itron (NASDAQ:ITRI) has received a 2-notch downgrade to Underperform from BofA/Merrill's Andrew Hughes.
Hughes states expected vendor announcements for global smart meter rollouts failed to materialize in 1H14. He's also worried about "new competitive threats enabled by the rapid growth in distributed solar generation."
Q2 results are due on Aug. 5.
not much "visibility" out there..this industry we follow here has really disappointed for a decade now...always industry analysts pronounce its about to explode,.. then everything slows down..regulatory issues, consumer backlash, too much competition, utility apprehension and non-comprehension combined...been pretty bad. SSNI got hammered, ELON hammered, landis bought out, itron water and gas and services business keeping it afloat but stock been flat for years and years... Oh well. One thing with ELON is its now low price...a little good news and earning move can move it pretty fast upward.
Echelon is much more into the Industrial Internet of Things..not consumer end that is in press, like Apple today...Apple has ZERO, nothing for the hundreds of billions that are to be spent on IIoTs....Echelon WAY ahead of those guys with tens of millions of devices already installed, products that can allow legacy systems to stay while updating to newest technologies...Whether they "explode" in a year or two is certainly debatable...we'll just have to see...
has bid in for 80K in two blocks..been lurking in this range for some days now..guess its good someone is willing to throw 300K at ELON right here..almost all small buy/sells otherwise..
Landis says..."We are betting that smart grids will develop in Europe, the Middle East and Africa, in Asia-Pacific and in South America. The opportunity is huge," Mora said.
This IS a speculative stock...it's draw is that it CAN move up very fast...It has a minuscule float of 41M shares..is is a extremely large coming market.. hence statement from landis .. We are betting that smart grids will develop in Europe, the Middle East and Africa, in Asia-Pacific and in South America. The opportunity is huge," Mora said. And that is JUST smartmeters..Echelon has a firm grip on the IIoTs marketplace coming too, which will be even larger than smartmeters by a factor of tens... You are new to board, your judgments of who is pumping and who can see a vision is clouded right now still. If an announcement comes over wires of Smartmeter win stock will jump and stay jumped for next several years as they add deployments and IIoTs market revenue comes in.
With some Smartmeter deployments on way in EU and China contracts in wings, the IIoTs market about to become a reality after Echelon was 25 years ahead of its time, a revenue increase in its LON business,(now transformed into IIoTz) on the visible horizon..(Apple isn't getting in to wait ten years to be sure), stock can grow on expectations of revenue increase and profitability in foreseeable future for mid-term investors...
good post and a reminder to bashers how fast Echelon can get to profits and stock will move accordingly...I see even longtime basher has hard time "pooh-poohing" the opportunities...LOL
..so much for PRIME taking over world as basher has pronounced many times.. Hey but thanks for posting what Sege already said would be direction of roll out...
Yeah..down 33% today..so much for itron and ssni running Echelon out of business as some fool pronounced here ...ALL the smartgrid companies have suffered..Landis, Itron, Echelon, SSNI... Its been a #$%$ market for 5 years. Government nationalistic buying, regulator reluctance and confusion, utility ineptness and financial fears have taken a terrible toll on these companies. Industry "experts" and analysts have predicted huge money coming to them, but either margins have been forced down or roll outs have been indefinitely put off.
I see that Sege has already seen that depending on meters for revenue will be a inconsistent revenue source and is heading the wagons to greener pastures with the LON side of business incorporated within the IoTs industrial product line. If he can see some traction there a much steadier stream of revenue can be established. CC may give a little insight there.
Echelon Signs Distribution Agreement with Digi-Key to Expand Availability of Key Industrial Internet of Things (IIoT) Components
Digi-Key makes it quicker and easier for development engineers to discover and evaluate Echelon technology for their IIoT projects
SAN JOSE, Calif., May 5, 2014 – Echelon Corporation (NASDAQ: ELON), the world’s leading control networking platform provider for the Industrial Internet of Things (IIoT), announced a distribution agreement with global electronic components distributor Digi-Key Corporation, the industry leader in electronic component selection, availability and delivery. Under the agreement, Digi-Key will distribute worldwide, except Japan, Echelon’s portfolio of products—including chips, modules, routers and software—for the IIoT market.
“An important element of positioning Echelon to meet the needs of commercial and industrial customers looking to leverage emerging IIoT technologies is having broad and diverse distribution,” said Ron Sege, chairman and CEO of Echelon. “Digi-Key has global reach and unparalleled logistics capabilities, as well as the ability to fulfill products quickly and efficiently. This agreement makes it easier for engineers to get our products, and it signals an important milestone in Echelon’s continued leadership in the IIoT market.”
Market research firm IHS predicts that the IIoT, which is expected to be the largest segment of the broader Internet of Things (IoT) market, will add 500 million new units per year through 2017.
“The IoT market represents the new great growth opportunity for components in the overall embedded market, and Echelon is one of the most important IoT enablers in the embedded and industrial space,” said Mark Zack, vice president of Global Semiconductor Product at Digi-Key. “We’re excited about adding Echelon’s products to our line card of best-of-breed components that will be of interest to developers building IoT products, so we can more effectively address the growing IoT IoT and IIoT markets.”
About Digi-Key Corporation
Digi-Key Corporation, based in Thief River Falls, Minn., is a global, full-service provider of both prototype/design and production quantities of electronic components, offering more than 3 million products from more than 650 quality name-brand manufacturers. With more than 975,000 products in stock and an impressive selection of online resources, Digi-Key is committed to stocking the broadest range of electronic components in the industry and providing the best service possible to its customers