Representatives from Capgemini and Intel discuss a new product that they have collaborated on that will make homeowners more aware of their energy use.

Full Transcript:

Ben Lack: I have some representatives from Capgemini and Intel here with us today. Thanks for joining us. If you could please introduce yourself and tell us this new partnership that you guys have just announced.
Sharam Mehraban:

Sure. My name is Sharam Mehraban and I’m a marketing manager with the Intel’s Embedded and Communications Group, and I’m responsible for the embedded energy marketing.
Julie Cirino: I’m Julie Cirino. I’m part of our Global Smart Energy Services team. I’m working very closely with Intel. I have been with Capgemini for thirteen years and I’m excited about what we’re doing together.
Ben Lack: Fantastic. So, tell us about this new partnership that you guys have together.
Julie Cirino: Well, if I can start? We have a long-term partnership with Intel and we value them as one of our key partners in the utility space as well as outside the utility space. In this unique relationship, we’re working closely together to bring a new value tool for the utility and for the consumer. I think the great aspect that we have together, working together, is we have a close relationship. We understand what we have to work together with. The tool that we developed is taking a look at the technology that Intel has developed and then leveraging that technology into applications that could be leveraged by the utility to have a close relationship with the consumer.
Ben Lack: Is it really more for a product that’s going to provide better customer service for the end-user?
Julie Cirino: It’s definitely one of the top benefits for the consumer and for the utility.
Ben Lack: Fantastic.
Julie Cirino: The utilities are trying to develop a closer relationship with their consumer, and this is one way of doing that. But it’s also for the consumer to have an opportunity to have a closer relationship with the utility. So, it’s both ways.
Ben Lack: Fantastic. All right, give me a little detail on the project itself.
Sharam Mehraban: What Intel did that was really different then, what was in the industry already, we take a very consumer centric approach, and I think Capgemini’s vision is very close to ours, and that’s why we have a really great climate. If you look at the people concept later, we have a number of new devices that engage the consumers, so they actually use the device and affect their behaviour. In turn, they reduce their energy consumption.
Ben Lack: Fantastic. So, is this a product that’s very easy to use? What’s the education?
Sharam Mehraban: Absolutely. That’s one of the things that we focused on. It has to be a product that’s easily installable by a consumer, and as well, it’s easily usable. So, it had to hit a lot of attention into user experience, making sure that we can get to the next generation versus some of the device that are used today are very rudimentary in nature, very utilitarian in nature.
Ben Lack: And how long have you guys been working on the device itself?
Sharam Mehraban: Well, we started proof of concept at CES in 2010 in Las Vegas, so, it’s been over thirteen months that we’ve been working on this reference platform.
Ben Lack: Okay. And how are you guys rolling the concept and the partnership out to your clients? What’s the plan?
Julie Cirino: We are talking and working together with some utilities around the world– understanding what they’re looking for with the device that can actually help build that closer relationship, as well as understand what the consumer wants. So, I think, that’s the big benefits as what Intel has used to create this user-friendly and adaptable device. It’s talking with the utilities, understanding how they want to take it out. There are different business models for the utility, as well as retail channels. So, it’s a combination.
Ben Lack: So, we’ve got the product in front of us right now. This is very cool looking but I have no idea what it does. Hopefully, you can tell us what we’re looking at.
Sharam Mehraban: Absolutely. This is the Intel Home Dashboard. This is the proof of concept that we showcased in CES last year, and we are turning in to a reference platform that we announced at West Coast Spring in September. As you can see, when you’re not using the device, it actually fits in the home. It’s an elegant clock that actually shows time-of-use pricing. So, even if the homeowner is just glancing at the clock, you can tell right now it’s probably the right time to do some laundry or some drying because it’s the cheapest time to use the clock. When you use the device itself, it’s a touch-based platform. It’s a multi-functional device because the research shows that if it is energy only device, the user is going to get some good information from it initially, but the usability is going to decrease over time and it’s going to find its way there in a drawer or you’re going to send it back to the utility. So, we’ve added some of the applications, for example, a railroad application that if somebody takes the train to work on a regular basis, you can get live information about train schedule; as well as applications like the UPS app for tracking packages, for example. But, obviously, the main purpose of the device is a home energy management solution, things like current consumption, so a user can easily see in real-time what the current consumption for an electricity gas and water is. And depending on how their house is metered and instrumented, they can dig a little bit deeper and see by appliance what their energy consumption is. Today, homeowners don’t have that visibility.
Ben Lack: Sure.
Sharam Mehraban: Another cool app that we have that we worked with Capgemini to develop is the Utility application. You want to talk about that?
Julie Cirino: Sure. So, the Utility application allows, not only do we have access to the data that’s been captured on historical data, so it’s helping the consumer to have an opportunity to manage their energy consumption and also take advantage of pricing, tariffs, and different credits that they can get by adjusting as its based on the consumer’s patterns of behaviour.
Ben Lack: Okay.
Julie Cirino: So, you may not be home. You might have programmed your thermostat to adjust at certain times. But this is also an opportunity for the utility to have a connection and deliver value for the  consumers saying “Okay, when you’re not home and we need to adjust your thermostat a little bit up or down depending if the air is hot or something,” it’s an opportunity for the consumer to benefit from that as well.
Ben Lack: Sure.
Julie Cirino: And the utility. So, there’s a plus-plus and win-win there. So, different opportunities would include where you can come in and you can look at a demand-response program, for example, and on the demand-response program that will give you an opportunity to say “Okay. Do you want the optim with your dryer, your water heater, and conditioner, etc.” And there are different appliances that you could add in to the management of this.
Ben Lack: It’s pretty cool.
Julie Cirino: Yes. It’s very cool. So, as a consumer, I’m looking at it from a consumer perspective and not just a Capgemini perspective, but the consumer perspective, is it’s allowing me to have something that’s helping me manage my home for my family, for over-all when I’m not there. It’s my assistant at home. It’s a home energy management device. It’s not necessarily a personal device.
Ben Lack: Sure.
Julie Cirino: So, when my kids get home from school and my husband has to leave, he could leave me a video message, etc. And also, the utility can send messages. So, if there’s a new program the utility would like to roll out and get that communication to the consumer, that’s that opportunity. So, there are different ways of communicating through this device for the consumer, and again leveraging it not only just from, “Okay, I want to program my thermostat, etc,” but also have an opportunity to do other functions and other applications.
Ben Lack: So, most people are putting this on their kitchen counter, or it’s replacing the thermostat, putting it on a wall, where is the most common spot that you can put this?
Julie Cirino: We see it as it’s going to be a consumer enable. So, they’re going to either put it on the wall, they’re going to put it in the kitchen, it’s going to be plugged in, you can adjust it. Your thermostats are already programmed to have the application right in here. So, it’s your electronic thermostat, as well.
Ben Lack: And are they responsible for installing it? Or are you guys going to come in and install it?
Julie Cirino: So, we’re working with the utilities as well as retail organizations to understand if the utility wants to deploy it, we’ll work with the utility to understand how we’re going to deploy it. And there will be different models. There might be a high end model where it has lots of functionality and lots of applications. There might be a mid-tier model. We’re looking to make sure that we have the right product that would fit that unique consumer. And then the utility will work either directly with the consumer or work with somebody else to help with the deployment. Capgemini steps in, as well, in helping with the program management in that understanding how to deploy multiple devices in the area.
Ben Lack: And is the cost being sent directly to the end-user or does the utility bear the cost?
Julie Cirino: And that’s going to be a model we’ll work with the utility on, as well.
Ben Lack: Okay.
Julie Cirino: So, if it’s the consumer initiated and go to the retailer, of course, the consumer is going to take it. But maybe the utility would offer a coupon or discount so they could go on and get something off. And they can choose the device they want, and the applications they want to help manage their household. And then, from the utility perspective, they might want to just have it as a payback month credit discount, whatever would work best for their market.
Ben Lack: The utility could provide incentives or are there any existing incentives that are  being offered by the government that folks can take advantage of for products like this?
Julie Cirino: Yes. It depends on where you are in the world, what market you’re in. So, we’re looking at something that has to be flexible enough to adapt to that market, those regulatory conditions. And it’s very important for the utility to be able to leverage that, educate the consumer, and this is one channel in a way to educate the consumer, on how to take advantage on those benefits. Otherwise, it’s quite hard. A lot of times, it’s more of the pro-active versus the reactive– “Oh, I heard there’s going to be some specials if we opt in to this program or that program. We can take advantage of that.” But, that’s more of a reactive thing. We want the utility to have that pro-active communication with their end users and their consumers. So, they’re taking the active role in the energy consumption and behaviours without really interrupting their lifestyle. I think that’s where this tool in the home is going to be a big benefit.
Ben Lack: Is there any type of a time frame for when these products will go out in the market?
Julie Cirino: We are talking with utilities all over the world– in US, in Europe, and elsewhere, and it’s going to be depending on the utility to ready this on the market. I know Intel is working very, very hard to have this proof of concept in the actual device, and we see some things some things early spring into December time frame where we see the pilots going.
Ben Lack: Fantastic. So, you guys have some special programs that you’re also trying to integrate with the new product that new just launched. Could you talk to us a little bit about that, as well.
Julie Cirino: Sure. We’re working with Intel to look at energy efficiency on and set. We can actually allow the consumer to do the valuation of their home, understanding where are some quick hits to have energy consumption reduction and benefits that way. So, it would almost be like a box-package thing where you have your bulbs, and you have things that you can quickly switch out even just as general as installing the device in their home. But then there is the other thing, it’s looking at the installation, looking at adding solar panels, things like that. And that’s the longer term vision. So, we’re working with local companies to help go in and evaluate and do an energy audit on a home that would help take more advantage of all the tools in this device we have. Do you have anything else to add?
Sharam Mehraban: No. You covered everything. It’s a powerful tool, so, we definitely want to use it at home as soon as they get a kit like this. They can get real benefits out of this device.
Ben Lack: And the idea that the homeowners typically just paying their bill and not knowing any better, but something like this is really going to educate them about what’s going on in their home. Make them more conscious about it. And just like if you’re losing weight, you’re thinking more consciously about it. You’ll hopefully lower your energy as well.
Julie Cirino: A lot of times, we know what we’re going to pay when we go to fill up a car, I want to be able to know what I’m going to pay when I charge my car, and when I should charge my car, and how much longer will it take the charging.
Ben Lack: That’s a great point.
Julie Cirino: This is a good application that would be added to the place that will allow me to understand that.
Ben Lack: Cool.
Julie Cirino: There’s all kinds of great things that it’s allowing us to do.
Sharam Mehraban: And losing weight is a good analogy because when you try to lose weight, as soon as you see a couple of pounds get shed, you get more motivated to do much.
Julie Cirino: Yes.
Sharam Mehraban: So, having a kit like that gets you start off the right track.
Ben Lack: I have one final question for both of you guys. This is kind of personal. We ask this to everybody. So, why are you guys in the business that you’re in and why are you really doing what you’re doing?
Julie Cirino: Wow, that’s a great question.
Sharam Mehraban: I think it’s a great opportunity to make a difference. Everybody knows that it’s a shortage between the energy supply that we have and the demand that’s increasing every day. It’s a great opportunity to be in an industry that can make a difference.
Julie Cirino: I look at it as such an exciting time that you’re part of an industry that’s transforming. We see things that are happening. We have an old infrastructure. We have things now that we’re updating it. We have new things that are coming out. And as a consumer, I’m excited to see and be part of the development of that transformation. And working with some great partners like Intel and others that we work with, it gives us an opportunity to have an impact on that transformation. So, I’m excited as part of the Capgemini’s Smart Energy Services Team to have the opportunity to work with such great industry innovators with technology, as well.
Ben Lack: Well, congratulations on the new announcement and much success and luck on the days going ahead.
Julie Cirino: Thank you so much.
Sharam Mehraban: Great, and thank you, as well.

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