IBM Acquires Prescinto to Enhance AI-Driven Asset Management

IBM has announced the acquisition of Prescinto, an asset performance management (APM) software-as-a-service (SaaS) provider for renewable energy. Prescinto’s platform uses AI to offer advanced monitoring, analytics, and automation to optimize renewable energy operations and manage clean energy and storage assets more effectively.

As organizations increasingly shift towards alternative energy sources such as wind, solar, and energy storage to reduce emissions and lower energy costs, managing the performance of high-tech equipment like turbines and solar panels can be challenging. Factors like weather and debris can also reduce energy output and system efficiency. According to a report from Allied Market Research, the global utility asset management market is projected to grow from $4.3 billion in 2022 to $12.4 billion by 2031, with a compound annual growth rate (CAGR) of 11.3 per cent.

The acquisition of Prescinto will enhance IBM’s Maximo Application Suite (MAS), which provides comprehensive asset lifecycle management solutions. This move will strengthen IBM’s position in the energy and utilities sector, where organizations are undergoing significant transformation and seeking technologies to manage and optimize renewable energy assets like wind, solar, and energy storage. IBM MAS is already widely used by industries such as water, natural gas, oil, and nuclear energy globally.

IBM MAS has also been recognized as a market leader in Enterprise Asset Management (EAM) by Verdantix, an independent research and advisory firm. In its report, "Green Quadrant: Enterprise Asset Management Software 2024," Verdantix ranked IBM MAS as a top solution. Earlier this year, Verdantix also named IBM MAS a leader in APM in its "Green Quadrant: Asset Performance Management Solutions 2024" report, making IBM the only vendor to be a leader in both categories.

Through this acquisition, IBM aims to further support clients’ sustainability initiatives and net-zero goals. The combined capabilities will allow users to monitor and track the performance of solar, wind, and energy storage assets in near real-time, diagnose underperformance issues, and recommend corrective actions to optimize energy generation. 

For instance, a solar power plant's efficiency may decrease over time due to the accumulation of dirt and debris on the panels. Using visual recognition technology, renewable APM software can monitor these assets, detect problems early, and recommend actions such as cleaning before energy output drops. This enables real-time performance tracking and quicker maintenance responses, helping to maintain optimal energy production.

Founded in 2016 and headquartered in Bangalore, India, Prescinto serves customers in 14 countries with 16 gigawatts of energy under management. Its APM platform simplifies operations and maintenance, helping organizations maximize return on investment (ROI) with the following capabilities:

• Data capture: Using open-source protocols and a data governance layer.
• Monitoring: Centralized asset visualization with real-time monitoring, custom alerts, and high-definition maps.
• Analysis: AI-driven insights to identify losses, track data trends, and offer actionable recommendations for improving performance.
• Action prompts: Enabling site teams to efficiently repair and maintain assets.

IBM MAS integrates asset lifecycle management with advanced technologies like AI, IoT, and analytics to enhance asset performance, extend the lifespan of equipment, and reduce operational costs. According to IDC’s "Worldwide Asset Life-Cycle Management Applications Market Share" report (June 2024), IBM held the number one market share in ALM with 10.8 per cent in 2023.

This acquisition reflects IBM’s ongoing commitment to supporting renewable energy industries and enhancing the performance of critical infrastructure, ultimately helping organizations achieve their sustainability and operational goals.