SolarEdge Announces Closure of Energy Storage Division
SolarEdge Technologies, a global leader in smart energy solutions, has decided to close its energy storage division to focus on its core solar activities. This strategic move includes selling assets related to the division, including manufacturing facilities for battery cells and packs.
Key Highlights
- Workforce Reduction: Approximately 500 employees, mostly based in South Korea, will be affected.
- Cost Savings: The company estimates quarterly operating expense reductions of approximately $7.5 million, with the full impact expected by the second half of 2025.
- Asset Sale: SolarEdge plans to sell its energy storage assets while maintaining its sales of batteries for residential and C&I solar markets.
Statement from SolarEdge
Ronen Faier, interim CEO of SolarEdge, commented:
“This decision followed a thorough analysis of our portfolio, industry trends, and competitive landscape. Our focus is on achieving financial stability, profitability, and growth in our core solar business.”
Impact on Core Business
The closure will not affect SolarEdge’s existing solar battery offerings for residential and commercial and industrial (C&I) markets. Instead, it reinforces the company’s commitment to its core capabilities, including solar PV, PV-attached storage, and energy management solutions.
This move aligns with SolarEdge’s strategic priorities, including cost reductions and streamlined operations to enhance profitability.
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