Wednesday, August 24, 2016

This is the biggest innovation of Elon Musk, and nobody talks about it – Forbes Mexico

By Paul Savage *

What has been the greatest innovation of Elon Musk? Do you market space flight? No. popularize electric vehicles? No, although in that department has a lot of competition. ¿Revolutionize public transport? That has certainly attracted attention.

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it is not any of these. The greatest advance undertaken by Musk, who will not stop and is at the level of its highly publicized public companies, is so great that most people can not see it. However, the consequences will be so great that will touch the lives of almost the entire population of the planet for the next generation.

Musk has broken a barrier that has slowed innovation and avoided a price reduction and has achieved by addressing two markets with a common front: we are seeing shares key components between systems of stationary energy (such as those found in an office building or departments) and electronic systems we see more and more vehicles, one of the changes more radicals that we have seen since the invention of semiconductors. This makes the acquisition of SolarCity looks bright in terms of alignment for long-term growth

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what is the part that makes history in this case? It is a small cylindrical battery that looks much like those you buy at Walgreens, but with a soul lithium-ion battery that powers laptops today. Musk has slyly sexy fleet based Tesla Power and Wall (which is actually a large battery for home) in this design proven low cost. He and Panasonic has proposed to make billions of them in a gigafactory in Nevada, and have two large markets which enter.

The main component in cars and banks home energy is a battery which not only store electric charge, but also manage the flow systems at the whim of users of the devices that feed. More importantly, the battery is a device direct current (DC by its acronym in English).

The DC is the blood of our digital age, and the common currency of all electronic devices.

the evidence of real progress that made this breakthrough, however, did not come until Tesla launched its Power Wall in 2015, which contains the same storage component found in their cars. This integration of the supply chain of parts from the automotive world and the power station will trigger a new interoperability between these systems that will have profound effects on both markets.

The DC microgrids scalable result will help provide access faster to electricity to 1,500 million people do not have energy form, will give greater efficiency and flexibility to those at the top of the economic pyramid, and offer good new elements to each of the persons . medium

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the supply chain manufacturing and logistics in these sectors will also change to best: the buildings will benefit from the focus of automotive engineers on efficiency and reliability, and market electric and hybrid vehicles will benefit from an upturn you 300% in demand for components for systems stationary power, which will help lower prices in the medium and long term.

from my point of view, the largest of Musk fish is well caught on the hook and is a catalyst that will allow something like an industrial revolution, but for the infrastructure of the digital economy. This is the kind of disruptive innovation that moves markets and changes lives.

* Paul Savage is CEO of Nextek Power Systems and president of the EMerge Alliance.

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