Kim Young-rok, CEO and founder of NineWatt, poses for a photo at Seoul Startup Hub Gongdeok in Mapo-gu, western Seoul, on Sept. 26. (Im Se-jun/The Korea Herald)
How can cities contribute to achieving carbon neutrality? According to Kim Young-rok, CEO of NineWatt, it is simpler than you might think.
“When people think about energy efficiency, they often think of expensive, high-tech solutions,” Kim said. “But before you jump into cutting-edge technologies, the key is to optimize what’s already there -- the buildings you visit every day. The real question is: how do we do that efficiently?”
Founded in 2019, NineWatt is a Korean startup that has emerged as a key player in urban energy savings. Its flagship platform, Watti, uses geographic information system data and simulation tools to diagnose the energy efficiency of buildings and factories across cities. By analyzing publicly available information like a building’s size, usage, structure and energy consumption, NineWatt helps property owners and managers pinpoint where energy is being wasted and how much can be saved.
Hidden inefficiencies in buildings
“There’s a lot of untapped potential for improving energy use in buildings,” Kim explained. “Think of it like your phone plan. You choose a plan based on how much data and talk time you actually use. But in buildings, energy plans often stay the same as the previous owner’s -- even if their energy needs were completely different. That leads to unnecessary costs. We help property managers change that.”
Rather than suggesting expensive hardware upgrades from the get-go, NineWatt begins by reviewing existing energy contracts, bills and power settings. The goal is to first identify savings opportunities within the current framework, such as optimizing the energy rate or peak power contracts. Only after this initial audit does the company recommend further energy-saving investments, like retrofitting or upgrading equipment -- always within the client’s budget.
NineWatt has already made a significant impact in the public and industrial sectors. For instance, Kim highlighted their work with S-Oil’s headquarters in Seoul, where they helped save 55 million won (about $41,500) annually -- without replacing any equipment. Similarly, NineWatt provided energy consultations to 30 factories in the Naju Innovation Industrial Complex, achieving annual savings ranging from 6.5 million to 30 million won per factory.
“The beauty of our service is that it doesn’t require a heavy upfront investment. It’s all about using smart data analysis to drive cost savings,” Kim said.
From factories to everyday buildings
Initially, NineWatt focused on government buildings and large industrial clients. But as the company scales up, its vision has expanded. “We’re now looking to target commercial buildings, particularly small and medium-sized ones, both in Korea and overseas,” said Kim.
This shift is particularly relevant in Europe, where energy costs can be up to four times higher than in Korea. “The demand for our solutions is huge in Europe, where cutting energy bills has a much bigger financial impact.”
To support this global expansion, NineWatt has entered the proptech, or property technology, space, blending its energy-saving technology with real estate expertise. The company recently hired its first sales personnel -- specialists in real estate for both the Korean and French markets. This marks a shift from its previous R&D-heavy focus to a more market-driven approach.
“We’ve been a company of data scientists and engineers so far. But now we’re looking to add real estate experts -- people who understand the local market, have the right networks, and know how to source the right data. We want to become both an energy-saving software company and a player in the proptech space,” Kim said.
Poised for growth in Europe
NineWatt’s international ambitions received a boost with a successful Series A funding round in 2023, which is helping the company scale operations and expand into the European market. As part of this effort, NineWatt completed a proof-of-concept project in collaboration with a French real estate platform. This project demonstrated the practical benefits of NineWatt’s software -- eliminating the need for on-site visits by using data-driven simulations to assess energy renovation opportunities based on each building’s characteristics, such as its age and floor usage.
“France has been a key target for us. We’ve now completed a localized version of Watti for the French market and are executing sales contracts with real estate and construction companies there. This is just the beginning of our European expansion,” he said.
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