The End of the One Trick Wireless Pony. Or is it?

And then there were none.  Last month Silicon Labs acquired Ember – the last independent ZigBee chip manufacturer.  It’s good news for the Smart Metering industry as it’s secured a future for Ember, who have become the chip and protocol stack supplier of choice for a large proportion of smart meters, IHDs and home gateways in the market today.  It’s not such good news for the investment community, as the $72 million initial consideration from SiLabs is a little short of the $89 million investment that had gone into Ember.  But given the fire sales of the other ZigBee start-ups, it’s still not a bad result.

And it could be one of those excellent fits that don’t come along that often.  For Silicon Labs, it extends their radio technology into the hotly contested 2.4GHz band, complementing their very capable sub-GHz range of EZRadio PRO chips.  It also gives them what I’d consider to be the best ZigBee stack on the market.  And it gives Ember what must be a very comforting degree of financial security as well as a ready made range of sub-GHz radios, just at the point where the UK and Japanese smart metering communities are looking at 868MHz. 

But it’s not just Ember getting gobbled up.  A few weeks later, Samsung quietly acquired Nanoradio – the Swedish specialist in low power Wi-Fi for mobile phones.  Both Ember and Nanoradios played the standards card and had essentially become one trick wireless ponies – a fate common to many wireless start-ups.  Perversely, CSR did the opposite thing today, by divesting itself of much of its location technology, (which it had acquired from SiRF), to Samsung, who seem to be getting rather good at acquiring bits of wireless technology. In doing so CSR moved itself back closer to its Bluetooth roots.

Although the prospect of an acquisition is the raison d’être of most wireless silicon start-ups, I wonder whether this flurry of activity indicates that we’re nearing an end-game?  In which case, what comes next?

Read More

Posh Boys push Smart Meters

DECC – the Government department leading the Smart Metering deployment in the UK recently published their latest research on consumer attitudes to Smart Metering.  It reports the results of in depth interviews with 120 representative members of the population on their feelings about Smart Meters and IHDs.

The research was conducted in February this year, several months before the Conservative backbencher Nadine Dorries described her Prime Minister David Cameron and Chancellor of the Exchequer George Osborne as “two posh boys who don’t know the price of a pint of milk”.  She wasn’t referring to the UK Smart Metering programme, but it was a pretty good description of what these 120 respondents thought of the smart meter deployment, telling researchers that it “sounds like it’s from someone who doesn’t have trouble paying their bills”.

The report is not all bad news.  The respondents included people who had received In Home Energy Displays and in general they liked them.  They thought they provided real benefits.  In contrast, they had difficulty in seeing what the added value of the smart meter was.

I suspect DECC is busy trying to massage the results to make it look as if the survey supported smart metering, helped by some rather ambiguous leading questions.  But the content highlights a growing division within the smart metering programme, which is whether it is meant to be there for the benefit of consumers or for the benefit of utilities?

Read More