Was treibt innovative Technologieunternehmen an?

Thomas Korn, Managing Director of the two hydrogen companies water stuff & sun and KEYOU, has been working with his partner and team for 8 years on a pioneering solution in the energy sector. While KEYOU is converting trucks for hydrogen propulsion, water stuff & sun is developing a revolutionary hydrogen storage and infrastructure solution, the "hydrogen battery" with unique product characteristics.

It is well known that innovative companies in Europe and especially in Germany do not get off to an easy start. Therefore our first question on this topic:

How productive is the collaboration with our politicians?

Korn: "In the past, we have been able to realize several development funding projects with the Bavarian Ministry of Economic Affairs, the Federal Ministry of Economics, the Federal Ministry of Transport, and the European Innovation Council. The application process is time-consuming and labor-intensive, but the programs for innovative, green development projects are available and are well supported by the project sponsors and the ministries. The problem lies in the lack of support for downstream market introduction. The existing instruments and programs are not formulated in a way that is open to all technologies, but instead focus unilaterally on electromobility.

One example: with our KEYOU-inside conversion and retrofitting system, existing diesel trucks can be transformed into CO2-free hydrogen vehicles at the lowest cost compared to alternative technologies. Competitors are also converting trucks, removing the existing diesel engine and drive train, and purchasing fuel cells and/or batteries from China, which are then integrated into the vehicle. The conversion is significantly more expensive but is subsidized by the federal government with 80% of the additional costs compared to diesel. The continued use of the existing diesel powertrain with hydrogen is cost-efficient. It is also ecologically expedient to be able to continue using engines and gearboxes that have already been produced. But this is excluded from the funding. The existing funding pots are not sufficient to decarbonize a significant number of diesel vehicles with expensive fuel cells and batteries with this funding approach. At the same time, market access is made more difficult.

Ultimately, this is an indirect promotion of the Chinese battery and fuel cell industry."

What role does Germany play internationally in the field of clean energy?

Korn: "We have strong universities and research institutes in Germany and excellent connections to industry. Although we have advantages when it comes to developing creative solutions, we struggle to market innovative technologies and products. This is partly due to a lack of venture capital and partly due to a lack of suitable funding instruments to compensate for this (see above). Other countries lead the way here."

You have a research team in Sweden. Can the business and research units be equally motivated/managed?

Korn: "Like the water cycle that has powered life on earth for millions of years, we humans can establish an endless, clean energy and fuel cycle with solar power and water (substance). Hydrogen can be offered and used at a lower cost than oil-based fuels. Our employees are enthusiastic about this and everyone here is extremely motivated to make a contribution to a successful energy transition."

What challenges do you face as CEO in managing two companies?

Korn: "Finding the right employees and colleagues and acquiring sufficient capital. With the right managers, I have to work less and less on the day-to-day business and can focus more on strategy, capitalization, and the next strategic partners and cooperations."

What reservations do investors have about your innovative product?

Korn: "Many venture funds are not venture funds at all. They only come in when sales are achieved, i.e. when the product and business model no longer pose a risk. Large companies, i.e. strategic investors, often lack the expertise to fully understand an innovative technology. In general, however, things have gone very well for us over the last 8 years and we have been able to develop very well, even though we have already experienced several financial near-deaths."

What motivates you most about your companies?

Korn: "My co-founders and I are increasingly enthusiastic about the idea that we can actually drive real positive change in society with our two companies. For example, when we started KEYOU in 2018 to present the advantages of the hydrogen engine in the industry with the results of our technology, no manufacturer was working on the hydrogen engine. The hydrogen engine was dead. Today, every well-known diesel engine manufacturer in the world is working on it. This is already giving the energy transition with hydrogen a boost."

How does the collaboration between your employees from both companies work?

Korn: "We founders are extremely happy with the current team! At KEYOU, 75 employees are currently working on the realization of our shared dream, and at water stuff & sun there are 15 colleagues.

We delegate a lot of responsibility and give a lot of freedom and trust. Our colleagues are motivated and have fun even in stressful phases. We are convinced of this approach."

Thank you very much for this interview, Tom Korn!