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  "documentTitle": "Xylem Inc. (XYL)",
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  "authorName": "Spruce Point Capital Management",
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  "presentationDate": "2023-08-09 00:00:00",
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      "text": "There is an underappreciated risk that smaller sized utilities will constitute a majority of the deals in the future, and that competitors offering simpler AMI product suites could take share.",
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      "text": "North America AMI Adoption Rates",
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      "text": "Xylem often touts its strong backlog in Advanced Metering Solutions (AMI), and has claimed that adoption in the U.S. is only 30% since 2021, which suggests a long runway for growth. The COO even said Xylem had a “very strong value proposition”. However, based on our interview of a former Xylem senior executive with knowledge of AMI, we learned that its value proposition is not uniform throughout the marketplace. In fact, there is an underappreciated risk that smaller sized utilities will constitute a majority of the deals in the future, and that competitors offering simpler AMI product suites could take share.",
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      "kind": "quote",
      "text": "And we're still in early innings of utilities adopting AMI technology. Only 1/3 of utilities in the U.S. have adopted AMI technology. So I think we've got a long runway ahead of us. — COO Pine, Stifel Conf June 7, 2023",
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      "text": "Source: Xylem 2021 Investor and Analyst Day, Q1 2023 Conf Call, Spruce Point Research Interview",
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      "text": "Xylem Quotes on AMI",
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      "text": "Underappreciated Risks To AMI, One of Xylem’s Biggest Growth Stories",
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