Business Model Innovation in the Renewable Energy Storage Market: An Empirical Analysis of Leading Global Battery Energy Storage System Companies

The growing need to reduce dependence on fossil fuels has accelerated the global energy transition through sustainable energy sources. However, the intermittent nature of some renewable energy sources poses significant challenges in terms of continuity and reliability. In this context, energy storage technologies are emerging as key solutions to address these challenges, prompting companies to innovate their business models (BMs) in order to enhance competitiveness in a rapidly evolving market. The purpose of this study is to analyze how the leading players in the Battery Energy Storage Systems (BESS) sector are innovating their BMs and whether Cross-Industry Innovation (CII) dynamics are emerging in the process. This research draws on the academic literature that classifies Business Model Innovation (BMI) practices and examines the application of CII to BMs. Using publicly available information, an analysis was conducted on the BMI strategies adopted by 19 listed companies among the world's leading Energy Storage Systems players, according to Bloomberg's Energy Storage Tier 1 List (April 2024). The findings highlight the different approaches embraced by the companies and reveal the presence of CII dynamics in the implementation of BMI. The present study is not without its limitations. Notably, it is based on a limited sample of selected companies and relies on information from public online sources, which in some cases proved to be incomplete. The results contribute to the academic debate on BMI in the energy sector, offering new research perspectives on the correlation between the strategies adopted and their impact on companies in terms of competitiveness and value creation. Future research could benefit from a quantitative approach to examine the effects of the identified BMI practices on firm performance.