A Vision to Power the World
GE Launches Grid Solutions
With GE’s largest-ever industrial acquisition complete, Alstom Grid and GE Digital Energy have combined to form GE’s Grid Solutions. The scale of this deal reflects the magnitude of the energy challenges the alliance aims to address. Today approximately two billion people are not connected to the grid and lack the social and economic benefits enabled by access to electricity. Through 2040 electricity demand is it is estimated to increase by 78%, the majority of this growth, 85%, is forecasted to come from emerging markets.
To meet these challenges, the Grid Solutions team of more than 20,000 talented employees work to equip 90% of power utilities worldwide. GE’s strong North American footprint combines with Alstom Grid’s global presence to form an organization closer than ever to our customers.
This global presence is met with one of the industry’s leading global certified electrical equipment portfolios. GE’s strength in low and medium-voltage combines with Alstom Grid’s presence in high and ultra-high voltage for a complete transmission and distribution (T&D) offering including:
- A complete portfolio of AC, DC, electrical balance of plant, HVDC and FACTS solutions
- A world-class software offering
- Complete substation automation and equipment packages; the coupling of GE’s asset management and advanced distribution offering with Alstom Grid’s e-terra Transmission and Market management platform results in the industry’s leading enterprise grid management solutions
- Cyber-secure communication technologies
- Extensive T&D services infrastructure; Alstom’s strong local service activity in Europe, China, and India complements GE strength in the Middle East, U.S., and Africa
- Global projects expertise to lead mega projects
- A broad range of generation-to-transmission solutions
- Complementary commercial and manufacturing footprints
- Reactive power compensation and energy storage
This offering has placed Grid Solutions among the top three global players in T&D with a combined $1.6 Billion software and automation business, $7 Billion in backlog and $500M-$1 Billion in GE pullthrough sales opportunities in the coming years.
As the pullthrough sales figure suggests, the connection to GE’s broader portfolio is a critical competitive advantage for Grid Solutions. With the acquisition of Alstom’s power and grid businesses complete, approximately 40% of the worlds power base now comes from GE. Grid Solutions is the critical link which will move this power from the point of generation to communities around the world. This link to GE is what we call the GE Store — we drive enterprise advantages that benefit the entire company by sharing access to technology, markets, structure and intellect.
GE spends more than $4.7 Billion annually in industrial technology development, including emerging spaces such as advanced manufacturing and the Industrial Internet. This sustained investment will now bring more solutions and value to our combined customer base across the electricity value chain — from generation through the grid. Grid Solutions has five R&D Technology Centers and 24 R&D Centers of Excellence in 13 countries worldwide.
Complementing this investment in technology is GE’s investment in it’s people. On average, GE invests $1 Billion annually in employee development, and has one of the longest-standing and successful corporate universities in the industry — “Crotonville.” This investment is critical in integrating and developing the combined Alstom Grid and GE Digital Energy teams.
Leading this team as president and CEO will be Reinaldo Garcia, a 30-year GE veteran who most recently served as president and CEO of GE Latin America. John Lavelle, also a GE leader for three-decades who most recently served as GE Digital Energy’s CEO, will serve as the company’s chief operating officer.
On November 12, 2015, Mr. Garcia held a press conference call and webcast alongside Grid Solutions’ global sales and marketing leader Frédéric Lalanne. The recording of that call is available below.
Press Conference Call Recording
Toll Free: +1 (855) 859–2056
Toll: +1 (404) 537–3406
- Conference ID: 76854554
- Media presentation available here.
- International toll free numbers available in presentation appendix