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Capgemini, Schneider Electric Develop Managed Energy Consumption Services

May 24, 2024 by Joe Panettieri

The convergence of IT consulting, managed IT service providers (MSPs) and energy monitoring services continues. The latest example involves Energy Command Center, a technology platform that allows organizations to monitor, predict, control and optimize all energy assets, according to Capgemini and Schneider Electric.

Capgemini developed the Energy Command Center, which is powered by various Schneider Electric solutions. The overall platform can "monitor, control and optimize all building assets consuming energy including data centers or critical environment rooms," the two companies assert.

The platform combines artificial intelligence (AI), machine learning logics and algorithms, and the Internet of Things (IoT) technologies to "measure and predict various metrics like energy intensity, health of critical assets, critical operations, renewable energy generation, and the overall performance across all energy assets," the duo adds.

Capgemini and Schneider Electric: Business Backgrounds

Aiman Ezzat, CEO, Capgemini
Aiman Ezzat, CEO, Capgemini

Capgemini, based in Paris, France, is a global IT consulting business. The company had roughly 340,400 employees worldwide as of December 2023. Revenue was 22.5 billion in 2023, up 2.4% from 21.9 billion in 2022. Sustainable IT services ranks among Capgemini's top focus areas, CEO Aiman Ezzat said in a December 2023 earnings statement.

Schneider Electric, also based in Paris, positions itself as the "digital partner for sustainability and efficiency" for "homes, buildings, data centers, infrastructure and industries." Annual revenue was 36 billion (US$38.4 billion) in fiscal year 2023, a 13% organic growth rate from fiscal year 2022.

On the R&D front, Capgemini has tested an Energy Command Center prototype across its India operations since 2022. Among the positive outcomes: The company reduced its energy consumption by 29% in 2023 (versus 2019) across eight campuses in India. As a result, the platform is making a "material contribution" to the Capgemini's sustainability strategy, the company said.

Capgemini and Schneider Electric Partnership: Executive Perspectives

In a prepared statement about the relationship, Capgemini CEO Aiman Ezzat said: “At Capgemini we are deeply convinced that there is an incredible untapped potential for digital technologies and data to accelerate the energy transition. We share this vision and commitment with Schneider Electric. We are at a pivotal moment for the energy transition and are thrilled to join forces and combine our deep technology and data expertise with Schneider Electric’s reputed solutions, to empower organizations to manage and accelerate their energy decarbonization pathway.”

Peter Herweck CEO Schneider Electric
Peter Herweck, CEO, Schneider Electric

Added Peter Herweck, CEO at Schneider Electric: “Tackling the energy and climate crises is paramount, and energy efficiency plays a key role in mitigating these challenges. Decarbonization through electrification and digitization is a necessity for a sustainable future. We are very excited to collaborate with Capgemini, as it allows us to further advance our efforts to drive energy efficiency and sustainable practices. Together we can make a meaningful impact.”

Managed IT Services and Energy Consumption Monitoring

The Energy Command Center platform sounds promising, but we have a few lingering questions. Chief among them:

  1. Will Capgemini offer the Energy Command Center as a managed service to customers?
  2. Will Schneider Electric allow channel partners to resell the Energy Command Center, or is Capgemini ultimately the platform owner and operator?

We'll let you know if/when each company answers those questions for us.

MSPs and Sustainability Monitoring Services: A Closer Look

Overall, roughly 50% of organizations will leverage sustainability monitoring technology to manage hybrid cloud energy consumption by 2026, Gartner predicts.

What's driving demand for sustainability monitoring and GreenOps? Gartner points to net zero legislation in AustraliaEurope and the United States. But to truly catch on, we believe MSPs and IT departments must emphasize potential revenue and cost-saving benefits of sustainable IT services.

Most MSPs (managed IT service providers) already monitor IT infrastructure, endpoints, data, applications, cloud services and plenty more. Some leading MSPs now offer carbon monitoring, energy monitoring and energy management. 

First-movers include Logicalis, a major IT service provider that provides CIOs and customers with "the insights they need to improve both the environmental and business impact of their digital ecosystem." Amid that Logicalis innovation, Cisco Systems named Logicalis as its sustainability partner of the year for 2023.

Meanwhile, some software companies now develop SMB sustainability tools for MSPs. One example: PC Powersave develops software to reduce computer energy consumption and generate environmental reports for MSPs and their customers. PC Powersave is part of PitchIT 2024 -- an incubator that fosters more software in the ConnectWise ecosystem for MSPs.

Green IT Playbook for MSPs, IT Departments

How can IT departments and MSPs align their technology initiatives with overall sustainability strategies? Some clues and guidance emerged in this Green IT Playbook -- developed by Rackspace Technology and Smart Columbus, in partnership with the Green IT Working Group.

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