Many multinational companies, not traditionally associated with the water industry, are now moving into the market, attracted by prospects of long-term growth. We take a look at the companies developing new business in water technology.
In an interview with Waterbriefing in May, Paul O’Callaghan, CEO of O2 Environmental and BlueTech Research, said there were two types of firms entering the water sector: companies sitting on large cash reserves and taking a long-term strategic view; and those with core expertise in fields such as advanced material science, biotechnology or filtration – expertise that can competently be applied to the water market. The new entrants define their ‘right to play’ by focusing on their strengths and entering market areas where they fit.
A speaker at the recent BlueTech forum held in Amsterdam succinctly explained why many multinationals are moving into the water technology space. The industries they are involved in are very water intensive, and if they develop or obtain new technologies in order to reduce their own costs, they can then sell the successful technology to others.
An interesting range of factors lie behind the strategic aims of the multinationals moving into the water sector.