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The engineers of the Axelsen & Nielsen Companies were gathered in the drawing room, intently watching a demonstration being conducted by Poul.

Poul had set up two sets of primary and secondary wires, each connected to voltmeters, with one set powered by a direct current source and the other by an alternating current source. The engineers were examining the apparatus closely, trying to spot any differences between the two.

It was Walter who noticed something unique about the readings on the voltmeters. He raised his hand and spoke up.

"I believe the voltmeter reading that is connected to the alternate current source moves left and right, while the voltmeter connected to the direct current source only moves once, when the switch is first turned on, and then stays at zero," Walter observed.

Poul nodded, impressed by Walter\'s sharp observation. "Excellent, Mr. Schneider. Can you explain why that is?"

Walter stood up, feeling a sense of pride at being given the opportunity to demonstrate his knowledge to his colleagues.

"The principle of electromagnetic induction is at play here," he explained. "The alternating current source generates an oscillating magnetic field that induces a current in the secondary coil, causing the voltmeter to move back and forth. On the other hand, the direct current source generates a static magnetic field, which does not induce a current in the secondary coil."

Poul smiled approvingly, nodding at Walter\'s explanation. The other engineers were equally impressed, nodding in agreement and murmuring amongst themselves.

"Why are we having this demonstration, Mr. Nielsen?" Timothy asked, raising his hand.

"Electric transmission has become increasingly popular in recent times, Mr. Anderson, and this is due to the pioneering work of James Russell, who electrified the states one by one," Poul explained in a measured and professional tone. "However, direct current, or DC, which is the technology that Russell used, has a significant drawback. As the electricity travels over longer distances, more power is lost due to resistance. This is why Russell\'s electricity could only travel a maximum of one mile without significant loss. In essence, it\'s like a hose with a knot in it, restricting the flow of electricity."

He continued, "Moreover, to power the homes of 90 customers, Russell would need to sell one generator per mile and make a staggering ninety thousand feet of copper wiring, which is both inefficient and costly."

"So you are implying that you want to build an alternating current system?" Timothy inquired, raising a brow. "It will only be able to power lights but not the motors because it is too powerful. The clients James Russell had are after productivity."

"We will get to that, but first, let\'s return to the demonstration and see the transmission of both currents. In the first circuit, we are to transfer ten volts to the other end. It is connected to a direct current power source. What do you see?"

Timothy glanced at the voltmeter and answered.

"Eight volts. The two volts were lost during the transmission." He then flickered his gaze to another circuit that is connected to an alternating current source and there he spotted the difference. "It\'s ten volts."

"By now, you should be able to appreciate the key differences between alternating current  and direct current ," Poul began, his voice steady and measured. "AC power can be stepped up and down in voltage, allowing us to adjust the voltage and current for different applications. By stepping up the voltage, we can reduce the current and minimize power loss during transmission. Conversely, by stepping down the voltage, we can increase the current and provide the appropriate voltage for end-users."

He continued, "In contrast, DC power generates a static magnetic field, which cannot induce electricity. Power loss is proportional to the square of the current times the resistance. If we reduce the current to prevent power loss, we would also be reducing the amount of power that can be transmitted. This would require us to generate more power, which is not a sustainable solution."

Poul paused, allowing his words to sink in before continuing. "Alternatively, we can increase the resistance in a DC system, typically by using thicker wires. However, this can be expensive and impractical in many cases. This is why AC power is the future of electrical transmission as it is cheaper compared to DC."

"Is there already a device that allows for the principle of stepping up and down the voltage?" Walter asked.

"There it is, it\'s called a transformer," Poul revealed. "It\'s a simple device really, just two separate coils that are wrapped around an iron bar. The concept is also simple. If the primary wire has less coils than the secondary, that\'s a step-up transformer, conversely, if the primary wire has more wires than the secondary, that is a step-down transformer."

"So, Mr. Nielsen. May I assume that you plan to start an electric company sometime soon and compete with Russell?" he asked, his voice laced with curiosity.

Poul didn\'t hesitate to confirm Timothy\'s suspicions. "That\'s correct, Mr. Anderson. We might start it in the next year or two," he said, a determined glint in his eye.

Walter, ever the practical thinker, raised his hand, eager to discuss the technicalities of the proposed venture.

"What about the motors that will work in the AC systems?" he asked, his brow furrowed with concern.

Poul smiled, his confidence unshaken. "As for the motors, I have already come up with a design for it. It\'s called an induction motor," he replied.

"How does that work? Do you already have the schematic drawn?" Walter asked again.

Poul pulled out a blueprint and unfurled it on the table. The engineers stood close to the table to see it.

"An induction motor is a type of AC motor that works on the principle of electromagnetic induction," he began. "It consists of a stator, which is the stationary part of the motor, and a rotor, which is the rotating part of the motor. The stator contains a series of copper windings that produce a rotating magnetic field when AC power is applied to them."

He paused, allowing his words to sink in before continuing. "The rotor, on the other hand, is made up of a series of conductive bars or short-circuited coils that are mounted on an iron core. When the rotating magnetic field produced by the stator passes over the conductive bars, it induces a current in them, which creates another magnetic field that interacts with the stator\'s magnetic field, causing the rotor to spin."

The engineers listened intently, nodding in understanding as Poul explained the workings of the induction motor. They were impressed by his expertise and knowledge of electrical engineering.

Poul continued, "Induction motors are more efficient and reliable than DC motors, and they don\'t require brushes or commutators, which can wear out over time. They\'re also less expensive to manufacture and maintain, which makes them ideal for a wide range of applications, from powering small appliances to driving heavy machinery."

The engineers crowded around the blueprint, examining it closely and asking questions as Poul patiently explained each component and how it worked.

The motor that is drawn in the blueprint is a three-phase induction motor, which is the most common type of induction motor used in industrial settings. It requires three separate AC power sources that are out of phase with each other, which creates a rotating magnetic field that drives the rotor.

As the meeting drew to a close, Poul looked around at his colleagues, a sense of satisfaction filling him.

"So that\'s about it, everyone. It\'s best that we plan ahead," Poul said, smiling.