The Founding of WAGO

1970-1979

A decade of innovations: WAGO’s developments changed the markets in the 1970s. In 1974, the new junction box connectors revolutionized electrical wiring with PUSH WIRE® connection technology for solid conductors. Three years later in 1977, CAGE CLAMP^® revolutionized connection technology for all conductor types. WAGO presented the first line of rail-mount terminal blocks with CAGE CLAMP^® connection technology and sold the first 30,000 terminal blocks before the actual product launch. Shortly after, CAGE CLAMP^® underwent further refinement, spawning the addition of front-entry wiring for versatility in the tightest spaces.

• 1971: WAGO France established
• 1972: WAGO’s first field-wiring terminal block
• 1974: WAGO PUSH WIRE® Connector for Junction Boxes
• 1977: WAGO’s rail-mount terminal block with CAGE CLAMP^® spring pressure connection technology
• 1977: WAGO Switzerland established
• 1979: Compact terminal block with CAGE-CLAMP^® connection (cage clamp spring)
• 1979: WAGO Austria and WAGO USA established

After revising the VDE regulation, WAGO was the first to receive the VDE mark in 1972 for its pluggable terminal blocks aimed at the lighting industry, which are already available. These can now also be used for mains connection – a bright spot for the lighting industry. The company then began working at full speed on new pluggable connectors for touch-proof wiring of junction boxes. To sell these terminal blocks at competitive prices, WAGO invested substantially in production and marketing. WAGO had neither wholesalers nor installers as customers. The solution was to accept Bowthorpe Holding’s investment in WAGO, which had been in the works for some time. This allowed new capital to flow into the company, enabling the new junction box connectors to debut at the Hanover Fair in 1974. They were a rousing success – 5 million modules were sold to wholesalers that same year.

Despite the state-of-the-art manufacturing systems, the sales prices of the new junction box connectors had to be about twice the price of the inexpensive screw-type terminal blocks. However, internal comparison of wiring times using screw-connection versus push-in connection modules revealed that wiring a junction box using screw-type terminal blocks took approximately twice as long as wiring with the new push-in connectors. At the Hanover Fair, trade visitors were able to see for themselves in a competition: More than 50% time savings with push-in terminal blocks. The names and addresses of participants and the measurement results were set down in writing. The time savings were then multiplied by the wage factor indicated by the participants, who signed the protocol. WAGO could now authentically advertise the statement, “WAGO’s PUSH WIRE® connectors for junction boxes pay for themselves.”

In 1977, WAGO introduced its first range of rail-mount terminal blocks with CAGE CLAMP® connection technology, a touch-proof, pluggable jumper system, ground terminal blocks with automatic contact to the DIN-rail and a completely new marking system. WAGO patented all of the innovative features. The design and use of the new rail-mount terminal blocks were based on the familiar rail-mount terminal blocks with screw connections: Open the clamping unit by directly pressing on the spring from above, insert a conductor and release it – done. The ability to open the CAGE CLAMP® spring from the side with a screwdriver was new and unique.

The first series samples of the new CAGE-CLAMP Rail-Mount Terminal Blocks were to be presented to WAGO representatives at the sales meeting in the fall of 1976. Shortly thereafter, at a visit to Schindler in January 1977, the representative in Berlin learned about problems with screw-type terminal blocks in maritime hoists on ships. The shipping company demanded that Schindler eliminate this problem by their ship's arrival in March. In this situation, WAGO’s representatives presented a sample of the CAGE-CLAMP rail-mount terminal block entrusted to them, which immediately impressed. Schindler ordered 30,000 terminal blocks for delivery by the end of February, and WAGO delivered punctually. The terminal blocks were installed, and the elevators functioned reliably. And that was even before official market launch.

The design of the CAGE-CLAMP rail-mount terminal blocks also allowed side-wiring; however, the terminal blocks had to be suitably mounted in the control cabinet. Siemens also noticed this. For years, Siemens had been a major customer of WAGO’s 4-wire connectors and, in 1977, sought a terminal block and distribution box for road traffic signaling systems. With the new CAGE-CLAMP rail-mount terminal blocks, WAGO quickly provided the sample of a compact block with front-entry wiring; Siemens immediately accepted and ordered it. Development of a new generation of rail-mounted terminal blocks with front-entry wiring continued at WAGO simultaneously.