Panasonic forms the first*¹ capital and business alliance with tado°, an IoT-based home energy management platform provider, as a heating equipment manufacturer

Osaka, Japan, March 17, 2025 – Panasonic Corporation today announced that its Heating & Ventilation A/C Company entered into an agreement to work with tado° GmbH, a German based vendor agnostic European leader in home energy management solutions for the first time*¹ as a heating equipment manufacturer. Through a €30 million equity investment, Panasonic will strengthen its collaboration with tado°. Panasonic will also take a seat on tado°'s board, deepening operational collaboration to drive greater synergies and accelerate innovation.

Air-to-water (A2W) heat pumps extract heat from the ambient air to produce hot water, which is then circulated throughout buildings for heating. Compared to fossil fuel-based heating systems, A2W significantly reduces CO₂ emissions and environmental impact, attracting increasing public attention in recent years.

Panasonic leveraged its over 60 years of expertise in heat pump technology to launch its Aquarea Heat Pumps for residential use in Europe in 2008. A key strength of Panasonic’s Aquarea is its unique ability to maintain heating performance even in extremely cold climates. In May 2023, Panasonic became the first Japanese manufacturer to adopt R290, a natural refrigerant with an ultra-low global warming potential, aligning with Europe's strong environmental focus.

In March 2024, Panasonic announced a business alliance with tado°, which is a leading vendor of Smart Thermostats (electronic device that remotely controls air-conditioning systems based on weather and temperature settings via an application), and also a provider of dynamic tariff in Europe. tado° is the industry's leading start-up founded in 2011 with approximately one million household customers. It was nominated for the Tech Tour Growth 50 – List 2025*² as a potential European unicorn company, demonstrating remarkable growth in recent years.

Linking Panasonic's A2W and tado°'s Smart Thermostats and Heat Pump Optimizer will optimally control the temperature and amount of hot water generated by A2W, reducing energy consumption by up to approximately 20% based on various information, including the room temperature, user's temperature settings, weather, and electricity rate. Furthermore, through this capital and business alliance, both companies will collaborate to accelerate innovation in energy-efficient solutions. By sharing product and service specifications, Panasonic and tado° will jointly develop advanced operation control software for Panasonic Aquarea Heat Pumps. Utilizing real-world user data and field test insights, this software will enhance system efficiency and optimize performance. Scheduled for release via a software update in September 2025, it aims to achieve up to a 30% reduction in energy consumption.

A recent survey of tado° customers in August 2024*³ revealed that approximately 75% of households still rely on gas or oil heating systems. Efforts to incorporate a Panasonic-specific design in tado°'s application are already underway, and the two companies will propose the unique combination of Panasonic’s A2W heat pump and tado° solutions by promoting joint marketing through the use of applications and direct mail and introducing Panasonic’s trusted installation partners.

Through collaboration with tado°, Panasonic will contribute to achieving both a comfortable life and a sustainable global environment.

Notes:

*1: Regarding the capital and business alliance between tado° and a manufacturer of heating equipment, such as A2W and boilers. As of March 17, 2025, according to Panasonic's research.

*2: The Tech Tour Growth 50 Listing recognizes Europe’s most promising high-growth companies.

*3: n = 12,495. The survey was conducted between August 2 and 19, 2024.