myFC Outlook is non-regulatory information, business intelligence, from myFC's communications department. The content reflects industries and segments that are part of or close to the company's sphere of interest. The numbers and data in this text are not to be considered as a forecast for future revenues.
myFC's Head of Sales Alexander Blomqvist was present during the latest Autonomy fair in Paris, March 16-17. There he met attentive and interested exhibitors.
– I had meetings with companies that together constitutes a large part of the total soft mobility segment, a market that is currently worth $56 billion, he says.
Large fleet operators, electric bicycle manufacturers, manufacturers of soft mobility and last mile delivery vehicles, technology companies and more: a total of 200 exhibitors were on site to exchange contacts and do business during the fair.
– It is important for us to attend Autonomy Paris. The companies that attend the fair represent one of our priority segments, soft mobility. It is a market that is growing rapidly, and which is estimated to be worth close to $200 billion in 2030, says Alexander Blomqvist.
Potential for myFC
myFC was at the fair to have discussions with the industry about how they can reduce their total costs (TCO) and increase their competitiveness. myFC address a market where the availability of cobalt and lithium is an obvious challenge, and where the need for alternative energy sources is growing.
At the fair, he met companies that were very interested, but who had limited knowledge of fuel cells.
– However, they see a clear potential, and there is a given place for our technology in the segment. Everyone who works with mobility struggles with the same things. It's about range and charging time, and we have a solution to offer, he says.
Electric bicycles constitutes a part of the soft mobility segment where myFC already has an established collaboration, with one of the major manufacturers of bicycle systems. The market for electric bicycles is large and growing. By 2020, it was worth close to $24 billion. The forecast four years ahead, to 2026, is that it will have grown to $48 billion.
Sales of e-bikes are thus expanding rapidly, and are expected to continue to do so throughout the decade. From 2019 to 2030, sales in Europe alone are expected to increase from 3.7 million to 17 million bicycles sold annually. The electric bicycle has also increased rapidly in popularity in the USA. Sales in the country increased by 145 percent between 2019 and 2020.
According to Alexander Blomqvist, most of the fleet operators in soft mobility and last mile delivery are in an expansive phase. Batteries as an energy source is the most obvious and accessible solution that many companies use in an initial stage.
But as the market matures, they will face other challenges and new opportunities.
– At that stage, it is an important argument that our patented technology with micro fuel cells in combination with batteries can increase both the range and operating time of the vehicles. This means that the they can reduce the number of units in their fleet and thereby also increase their competitiveness, he says.
Equipped with fuel cells, the units no longer have to stand and charge for hours every day. The hydrogen refueling takes only a few minutes, then the vehicles can be out and working again.
– In addition, these companies have a strong focus on sustainability. In an application where fuel cells are combined with batteries, the batteries have a significantly longer lifespan, which provides a clear environmental benefit.
The ongoing transition to green and sustainable energy is, in general, a revolution that points in the direction of fuel cells. The raw material for producing hydrogen, as well as the only waste product in fuel cell operation, is pure water.
The EU is investing in hydrogen
According to Alexander Blomqvist, it is not a coincidence that a fair such as Autonomy takes place in Paris. France is a country that is at the forefront of hydrogen.
For example, the Norwegian hydrogen company Nel recently received an order for hydrogen stations to be installed in Paris, intended for smaller fuel cell-powered vehicles.
Hydrogen is also in strong focus in the EU as a whole. In July 2020, the Commission decided on a hydrogen strategy as part of the continent's green deal and the efforts to achieve the climate goals.
– We also see that preparations to be able to quickly build up an infrastructure for charging hydrogen are being made in several European countries, says Alexander Blomqvist.
The European Unions investment in hydrogen until 2030 is approximately 430 billion euros.