On Monday, October 27, wire-free charging pioneer, Energous Corp. (NASDAQ:WATT),
announced a Joint Development Agreement (JDA) with Haier Wireless, a subsidiary of Haier Group, which puts the official WattUp JDA count up to 10 partners for WattUp technology across a spectrum of sectors: battery and case manufacturers, semiconductors, routers, consumer electronics and now appliances.Energous's WattUp is a wire-free charging technology that "will transform the way people charge and power their electronic devices at home, in the office, in the car and beyond," according to the Company's website. Today, wireless charging solutions are limited to transmitting power over a couple of inches, however WattUp-enabled mobile devices and wearables can receive an electrical charge from as far as 15 feet away using the same radio bands as a Wi-Fi router. Energous has filed for 65 patents as of August 12, according to its most recent 10-Q.
Haier has been Euromonitor International's #1-ranked Global Major Appliances brands for five consecutive years. If the potential revenue opportunity of this relationship isn't enough excitement - Haier had an eye-popping $29.5 billion in sales in 2013 - the use-case of turning appliances such as refrigerators, freezers, washing machines, microwaves, stoves, and even TVs into wireless charging transmitters should certainly pique interest. What this announcement means, as Computerworld wrote, is that "Your next fridge could charge all your mobile devices," and highlights a particularly compelling market: mini-refrigerators for college dorm rooms "because students tend to be the biggest users of new mobile tech that requires charging."
"Our agreement with Haier Wireless brings Energous full-circle in establishing a complete wire-free charging ecosystem," Energous CEO Steve Rizzone said. "We now have 10 JDAs that will see WattUp transmitter and receiver technology embedded in devices such as smartphones, Wi-Fi routers and now a wide range of household appliances. With WattUp transmitters in the spaces where consumers spend the majority of their time, collective behaviors around charging devices will be forever changed."
"WattUp is a natural fit for a wide range of Smart Home products," said William Xu, Chief Marketing Officer of Haier Wireless. "As Haier Wireless continues to make efforts and the wireless power industrial ecosystem continues to improve in the connected home market, Haier will accelerate industrialization application of true wire-free charging technology. In our vision, WattUp-embedded Haier Wireless appliances would serve as transmitters for any WattUp-enabled device that is within range."
There are very few companies that have the combination of extensive intellectual property aimed at solving a significant pain for a massive market, and a management team capable of the task. The path to success for Energous is clear, and I expect WATT shares, which are currently hovering around the $10 mark, to surge over the next few months as the Company makes additional JDA announcements and provides updates around progress in the regulatory environment (specifically Federal Communications Commission Part 15 and Part 18 approval). We can expect a flurry of news leading into January's Consumer Electronics Show, where they intend to demonstrate numerous consumer products incorporating WattUp technology. As I said in my initial Seeking Alpha coverage back in June - Starbucks, Intel Deals Point To Major Gains In Energous As A Wire-Free Charging Future Nears - I expect the stock to be trading significantly higher in 2015.
