Digital revenue

This section will focus on new digital revenue from transformation, which helps to improve the-top line revenue of the company. Let's begin with an example from the energy industry.

Electricity value chain

Let's look at the electricity value chain here. Utility companies use gas or coal generators to generate electricity. In order to meet the fluctuating demand from a hot summer day for cooling and from a cold winter day for heating, often utility companies have to engage in energy trading. Northern California encountered a serious electricity shortfall due to excess heat in August 2020, leading to significant rolling power outages. This is primarily driven by the fact that electricity cannot be stored at large scale by utility companies. Due to the variations in energy supply and demand on a daily and even hourly basis, energy prices fluctuate over a wide range. On average, the US residential customer pays about 13 cents per kilowatt hour (kWh). However...