How exactly do energy providers collaborate with startups to accelerate innovation? In this interview, Ariane Lindemann from CyberForum speaks with Marcel Böttner, Managing Director of SWK Novatec and part of Stadtwerke Karlsruhe, about venture clienting, successful startup partnerships, and the role of networks in the energy sector.
Innovation for the energy transition emerges through collaboration
The energy sector is facing intense pressure to change. New regulatory requirements, digital technologies, and the demands of the energy transition are forcing companies to innovate faster than ever before. This makes initiatives that specifically bring established companies and startups together all the more important. The CyberForum’s AI Innovation Lab connects companies with young technology firms from its CyberLab startup network to jointly test new solutions and bring them to market more quickly.
One example of this is the collaboration with Stadtwerke Karlsruhe and its innovation subsidiary, SWK Novatec. Novatec is a wholly owned subsidiary of Stadtwerke Karlsruhe and is responsible for its operational innovation efforts. Together with the various departments, the team develops new solutions aligned with existing business operations—ranging from digital products and more efficient processes to the use of artificial intelligence. In doing so, Stadtwerke Karlsruhe deliberately pursues a structured venture-clienting approach and actively manages innovation partnerships through its wholly owned subsidiary SWK Novatec. The goal is not only to test new technologies but also to specifically translate them into scalable business models.
“At SWK Novatec, we act to some extent as an interface between the energy industry and the startup world,” says Novatec Managing Director Marcel Böttner. At the same time, his team works closely with the various departments of the municipal utility to translate new technologies and ideas into concrete applications at an early stage. “We believe that by collaborating with startups, we gain new insights more quickly and develop an even better understanding of where the energy market is currently headed.”
In venture clienting, companies collaborate with startups
For the SWK Novatec team, interacting with startups is not only professionally interesting but also personally inspiring. “It’s just cool to see someone who’s really passionate about their field and wants to make things happen,” says Marcel.
The role of the utility company’s innovation subsidiary is often to bring both sides together and work with the various departments to translate innovation into concrete projects. Startups gain access to the utility company’s departments, while the departments gain insight into new technologies and business models.
At the same time, Novatec actively supports the departments in identifying opportunities for innovation within their existing business operations. This includes developing new digital products, improving efficiency, and leveraging AI.
But bridging the gap between these two worlds requires mediation. “We’re seeing two systems come together that have very different expectations and ways of working,” says Marcel. Startups often hope for quick decisions and pilot projects, while large organizations naturally have more complex decision-making processes.
One way to bridge these two worlds is through venture clienting: companies collaborate with startups, test their solutions in specific projects, and develop them further together. Beyond Stadtwerke Karlsruhe, Novatec also works with partners in the municipal energy sector and brings experience from various collaborations to such projects.
From Startup to Pilot Solution
When a collaboration is established, it usually centers on a clearly defined problem. “Our goal is to jointly develop a prototype or a proof of concept—and to use that to create an application as quickly as possible that can actually be used within the company,” explains Marcel. Over the course of several months, the startup, the business unit, and the innovation team work together to test a solution and then assess how it can be implemented in day-to-day operations and scaled up.
A recent example is the introduction of dynamic electricity rates. Driven by regulatory changes, the municipal utility company sought an attractive solution for its customers. “We didn’t want to just offer any basic solution, but rather find a truly good and user-friendly implementation. The focus is consistently on the transition to operational use and scaling—with measurable added value for customers, efficiency, and contribution to earnings,” says Marcel. Through startup contacts, suitable partners were identified, with whom a collaboration eventually developed. The goal was not merely to test a solution, but to develop a scalable offering that could be integrated into the utility company’s product portfolio and value creation in the long term.
“Companies must be willing to form partnerships”
Despite such examples, collaboration isn’t always easy. A key factor is the mindset of the organizations involved. “Collaboration can be challenging. But when it succeeds, everyone benefits,” says Marcel. Companies must be willing to embrace new ideas and enter into partnerships. “Established organizations can learn from startups to think even more in terms of networks. For many challenges, there are suitable partners who have new solutions.”
However, Marcel also notes a positive trend at the municipal utility. Close collaboration between Stadtwerke Karlsruhe and Novatec has brought about significant changes. “We have become even more open and cooperative today. Since I joined the municipal utility, we have committed ourselves to innovation and have made significant strides in both technology and corporate culture.”
Managing expectations
When partnerships fail, it’s often less about the technology and more about the expectations of both sides. “Startups sometimes expect decisions to be made very quickly,” explains Marcel. On the other hand, large companies often want a solution that’s 100% reliable.
But that is precisely what is, by nature, not possible with young companies. “If you want absolute certainty, you might have to go with an established provider,” he says. Anyone working with startups also needs to be open to experimentation and to the risk that not every project will be successful.
Innovation comes from collaboration
One CyberForum event that facilitates this kind of exchange particularly well is the Innovation Breakfast, which is organized in collaboration with CyberLab. For Marcel, the main advantage is that conversations here can go much deeper than at traditional pitch events. “At many events, you just see one pitch after another,” he says. “At the Innovation Breakfast, you really have time to ask questions and understand what a startup is actually capable of.”
At the most recent Innovation Breakfast, for example, the startup Sensaru presented its solution in detail—including technical insights and practical use cases. For companies like Stadtwerke Karlsruhe, this kind of in-depth exchange is particularly valuable.
A strong network for innovation
The regional startup ecosystem centered around the CyberForum and the CyberLab—which has been supported by Stadtwerke Karlsruhe for many years—also plays a key role in this. “The network is extremely interesting and helpful for us,” says Marcel. Events, networking opportunities, and close ties to young companies are an important part of the innovation strategy. “For Stadtwerke Karlsruhe, the network is not an end in itself, but rather part of a clearly defined innovation strategy aimed at bringing new solutions to market faster than the competition.”
For him, one thing is clear: a strong startup scene benefits not only the founders themselves, but also established companies. “If we build a strong ecosystem here in the region, everyone will benefit in the end.” He sees particularly good conditions for this in Karlsruhe. “We may not have the clout of Berlin or Munich,” says Marcel. “But when it comes to IT and AI, we’re already doing pretty well here.” That’s exactly why it’s worth looking beyond the boundaries of one’s own company. Especially in an industry that’s currently undergoing fundamental change.
Startup Partnerships in the Context of AI – Support at the CyberForum
If you are currently exploring AI use cases and considering which initiatives to implement internally and where external partners would be beneficial, it’s worth taking a structured look at the options.
At CyberForum, we help companies identify suitable startups, establish partnerships with them, and provide practical support throughout the process. To do this, we draw on our CyberLab startup network, which offers access to a wide range of innovative AI startups and enables targeted selection based on specific use cases.
Isabel Ernst: Let’s talk about your AI use cases and potential startup partnerships.
- Head of the AI Innovation Lab
- isabel.ernst@cyberforum.de
- 0721 602 897-717