LS

■ ALO, a platform based on digital tech to manage the life cycle of asset facilities. 
■ Capable of diagnosing the operation, safety, maintenance & repair, and security aspects of facilities using Big Data and Machine Learning
■ TAM expected reach 5.5 Billion USD by 2027, LS ELECTRIC steps up efforts to expand its global market shares 

LS ELECTRIC made a swift move of acquiring Nokia’s ALO (Asset Lifecycle Optimization) platform for analyzing power facility assets, in order to develop AMS (asset management solution) business for total care service during the lifecycles of electric power facilities.

On June 7, LS ELECTRIC and NOKIA signed an agreement on the transfer of the asset management S/W. The signing ceremony was held at the VIP room of the Hannover Fairground exhibition center in Germany.

The AMS is a platform-based service environment that integrates the manufacturer’s experience of products, services and operating system to manage facility assets systematically during the entire product lifecycle. The physical conditions of a facility such as malfunction rate, remaining lifetime, and replacement cycle can be analyzed using digital technologies (AI, Big Data, Cloud, etc.) to derive priorities before making investment decisions (using economic analysis) on whether to make repairs or replace the facility. In other words, the platform suggests the optimal financial plan to the users. 

Nokia developed the ALO platform to diagnose the operation, safety, maintenance & repair and security of facilities using Big Data analysis and machine learning technology. It has built up a database of evaluation models for 87 types of electric power facilities for circuit breakers, ultra-high voltage transformers, and cables.

With the ALO, LS ELECTRIC can provide operational, consulting, and management services for the electric production facilities. In particular, LS ELECTRIC and Nokia have jointly carried out a PoC (Proof of Concept) project involving ALO in 2020. Thus, LS ELECTRIC is confident that it will be able to provide an optimized AMS for its customers after the acquisition. 

Furthermore, the importance of managing electric power assets is consistently growing. In South Korea, both the civilian and government sectors of the market are flourishing. Moreover, the total addressable global market is expected to reach $ 5.5 Billion by 2027 and LS ELECTRIC is eager to take the opportunity to expand its presence in both domestic and overseas markets.

“The ALO acquisition enables systematical management by connecting the standard platform with big data on production and operation process. We will develop customized solution for power facilities to achieve the best customer satisfaction by improving facility lifetime, efficiency and reducing maintenance & repair costs”, said CTO Kim Young-Geun of LS ELECTRIC.

Sales Executive Director Lee Jae-won of Nokia Korea Enterprise noted that LS ELECTRIC’s acquisition of the ALO platform that has been validated for its versatility and scalability is a significant event to initiate its expansion towards global market. “It will be a crucial opportunity to maximize corporate value for current and future customers in the power asset market,” he added.