By Jesse Berst

But at least one firm is attempting to play the game in reverse. San Jose, CA-based Echelon has created a joint venture with Holley Metering, by most accounts the number one or number two metering company in China. Newly formed "Echelon-Holley" will team Echelon's technology and design expertise with Holley's manufacturing clout.  As Echelon is already doing in Brazil, it will license the technologies inside the meters rather than trying to establish a beachhead and sell under its own name.

"We are delighted to broaden our partnership with Holley Metering to serve the larger smart grid market in China. With a mandate to connect 300 million homes and businesses to the smart grid over the next five years, Chinese utilities will need to leverage the best the world has to offer," said Ron Sege, chairman and CEO of Echelon.

You can read the full press release on page 2, but here are a few of the details:

· The new company will be headquartered in Hangzhou, China

· The joint venture is majority owned by Echelon

· The Echelon-Holley joint venture is expected to be operational in Q3 2012

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Jesse Berst is the founder and chief analyst of Smart Grid News.com. He consults to smart grid companies seeking market entry advice and M&A advisory. A frequent keynoter at industry events in the US and abroad, he also serves on the Advisory Council of Pacific Northwest National Laboratory's Energy & Environment directorate.