Business model analysis for the interaction between smart grid and mobile network operators

This paper explores the interaction between mobile network operators (MNOs) and smart grid operators from an economic and strategic point of view. We first present the emerging new actors in the evolving smart grid value chain. We then focus on the role of MNOs and study the different roles they could play in this value chain, not only as connectivity providers for connecting consumers to distributed energy storage and production facilities and for ensuring demand-response, but also with regards to their expertise as Internet of Things (IoT) players and their energy generation and storage assets. Based on this ecosystem analysis, we build three business models canvasses for the MNO as a Demand Response (DR) aggregator, as a Virtual Power Plant (VPP) and as an enhanced VPP where it also acts as a prosumer with generation/storage facilities. We show that the first two services fit very well with the European context, while the third is well suited for sub-Saharan African countries.